south florida housing report
- The average lender is currently offering rates at their highest levels since early March, presenting a challenge for both buyers and sellers. Specifically, 30-year fixed rates are hovering around the high 6 to 7% range.
- Buyers should be ready to strike when and if interest rates decrease, as this can significantly enhance affordability. Keep your preapprovals updated and stay informed about all available mortgage options available, such as buydowns and mortgage assumptions, to maximize your chances of success in the current market.
- Sellers find themselves in a state of uncertainty within the market. While many desire to make a move, they hesitate due to the prospect of trading their pandemic-era rate for a higher one. However, selling now, when listings are limited, can yield the highest returns for their homes.
- The South Florida real estate market exhibited decreases in both single-family and condo categories in all areas including sales, average price, and the number of new listings and pending sales. The exception being average prices for condos in Broward and Palm-Beach counties which saw slight increases.
- The demand for condos has been adversely affected by new legislation and increased owner expenses following the Surfside Collapse in 2021. As a result, there has been a rise in owner-occupied condo listings, as owners are choosing to sell rather than cope with the additional changes and fees brought about by the incident. These include expensive property insurance and higher HOA fees, which are necessary to cover new building safety requirements and maintenance costs.
- Home sales have experienced a decline compared to the heightened levels observed during the pandemic. This decline is expected as part of the market’s adjustment process.
- The increase in housing supply will not only contribute to better availability but also improve affordability for buyers. Moreover, last month Governor DeSantis has signed Florida’s new comprehensive affordable housing law, known as the “Live Local Act.” This legislation allocates over $700 million towards housing initiatives with the aim of creating more affordable housing options throughout the state.
In April of 2023, Broward County single-family and condo/townhome closed sales, new listings, and pending sales decreased, with a slight increase in average price for condo/townhomes.
In April of 2023, Miami-Dade single-family and condo/townhome saw decreases in all categories.
Palm Beach County
In April of 2023, Palm Beach single-family and condo/townhome closed sales, new listings, and pending sales decreased. The average price increased for condos and townhomes and decreased for single-family homes.
Data provided by SunStats then compared to the prior year.
As we navigate this unprecedented time and the impact it’s having on buying, selling, renting, and homeownership, being informed is one of the first steps in knowing what to do next. Click on the button to visit the South Florida Real Estate Updates page and never hesitate to contact us with questions.