Longboat Key, Florida | November 21st, 2017 – There are plenty of reasons to expect that more sellers and buyers shall be engaging the residential property market in the months and years ahead. Encouraging for sellers, residential prices have recovered a decade since the last U.S. real estate crash that triggered the Great Recession.
In fact, it is heartening to note that our North Port–Sarasota–Bradenton region counts among the areas which have been leading the housing market’s rebound. In May this year, an industry analysis cited our market territory as one of the “10 biggest comeback stories” from the 2007 U.S. real estate crash. Based on the study’s estimated 2016 median price of $238,700 for the North Port–Sarasota–Bradenton metro, our region has posted an 8 percent annual price growth since the market bottomed out in 2011.
Sound Growth Drivers in Place
It is also a source of optimism for realtors like us at the Judy Kepecz–Hays team that this remarkable recovery rests on a solid platform conducive to long-term growth. The market’s current upward trajectory, industry observers noted, are being driven by factors so much unlike the prior real estate boom that led up to the disastrous 2007 crash.
Seen today is a market vitality more solid and truer than the previous regime of rising prices brought about by subprime lending and low-documentation mortgages, as well as real estate flippers pursuing short-term gains.
In a marked contrast, a robust household growth is currently, one of the main drivers of our market. The dynamics of the current market likewise include a historically low inventory of residences for sale that is pushing prices higher. Lending standards now are also tighter, helping keep flipping and overbuilding in check.
Moving forward, further stimulus on residential buying could be expected from the millennials who, by one estimate, comprised 52 percent of all residential shoppers last spring. As promising, the largest slice of the millennial generation will be in the 30-year-old bracket in 2020, and their demand for housing is projected to increase as they become more mature financially.
Joys of a Holiday Market
In the shorter-term, much could be expected as well from prospective buyers who have recognized the advantage of a residential purchase during the holiday season just a few weeks away.
Smart buyers time their house-hunting during the holidays during which there is less buying competition in the market. Also, properties sales-listed in the fall with no takers post-Thanksgiving would typically make the sellers more motivated to clinch a deal.
Sellers putting up their residences on sale during the winter holidays also most often have a compelling need or reason to cash in on their properties. Relocating in the new year could be an urgent priority for them, for instance.
As a buyer given this, chances are greater that you could find sellers who are more flexible in their pricing each month of December. Taxation could be at play here, especially if you’re dealing with a rental property wherein the seller may opt to sell at a manageable loss which could be recouped as a tax deduction claim in the coming year.
Thus whether you’re a buyer or a seller, the conditions are ripe for you to enter the market. Call or e-mail us at the Judy Kepecz–Hays team, so we can help you avail of the many exciting opportunities in our vibrant real estate market.