PENDING SALES RAMP UP FOR SPRING HOMEBUYING SEASON

via themortgagepoint.com—In a new report, the National Association of REALTORS (NAR) reported that pending home sales increased by 3.4% in March. Transactions increased in the Northeast, South, and West each month, but the Midwest decreased. Year-over-year (YoY), the Northeast and South decreased, while the Midwest and West improved.

The Pending Home Sales Index (PHSI), a forecast of home sales based on contract signings, rose to 78.2 in March. YoY, pending transactions increased by 0.1%.

“March’s Pending Home Sales Index—at 78.2—marks the best performance in a year, but it still remains in a fairly narrow range over the last 12 months without a measurable breakout,” said Lawrence Yun, NAR Chief Economist. “Meaningful gains will only occur with declining mortgage rates and rising inventory.”

Max Slyusarchuk, Founder and CEO of A&D Mortgage, weighed in on pending home sales trends and what it could mean for potential homebuyers this spring season.

“The trend of Pending Home Sales remaining flat annually continues to be a concern as we get deeper into the Spring homebuying season,” Slyusarchuk said. “The yearly numbers are beginning to raise a red flag for the federal government. We don’t expect them to lower interest rates soon, but they must know that the market can’t continue like this for a third year. And so, we suspect additional housing stimulus initiatives will be announced by the end of this year, based on the current, feeble state of the housing market.” …READ MORE

The Current Miami Springs Market

TIME TO BUY OR SELL?
CALL US FOR AN EVALUATION

There are twenty-nine (29) active listings in the MS/VG market this week. One of the listings is a spec house that hasn’t been built. The list price is a whopping $3.2 million! We do not use this listing in calculating market values for this report. Inventory has hovered around 30+/- listings these last months. Increased inventory is better for Buyers, but prices remain strong for Sellers. We are truly in a unique market! Though the market appears to be slowing down a bit, prices remain strong in Miami Springs and Virginia Gardens and demand continues despite high interest rates and high prices. Please refer to the articles posted on our website.

There are ten (10) active listings over one million dollars. Twelve (12) of the active listings have had a price reduction; one (1) this week. There are two (2) pending sales this week. We have been transitioning to a more neutral market. However, the tight inventory and high demand for entry-level homes makes it difficult for Buyers. The high interest rates, however, also create a difficult situation for Sellers that have a mortgage with a low interest rate. Where do they go if they decide to sell? Sales activity has slowed down a bit. Any additional interest rate increases in the future can mean fewer Buyers. Interest rates aside, we continue to anticipate more inventory increases.

DEMAND IS STILL THERE!

Mortgage interest rates have remained around 7%. There are still serious qualified Buyers looking for the right property. Timing is everything! Multiple offers are more common again. The number of days properties are staying on the market is averaging 79 days. There are no properties listed under $500,000. The low inventory at entry-level, higher interest rates, and homeowner insurance costs make it difficult for many first-time Buyers. There is one (1) listing priced between $500,000-$600,000; seven (7) listings are priced between $600,000-$700,000; five (5) are priced between $700,000-$800,000; five (5) are priced between $800,000-$900,000; one (1) is priced between $900,000-$1,000,000; nine (9) between $1-2 million; and one (1) spec house listed for over $3 million.

SELLERS, THIS IS THE MOMENT TO PRICE IT RIGHT!
Increasing Inventory + Increasing Interest Rates = Less Demand.

During the period of April 19, 2024 through April 26, 2024, there were reported 0 new listings, 3 closed sales, 2 pending sales, 5 active with contract, 0 expired listings, 2 cancelled listings, 0 temp off market, 1 price reduction, and 1 price increase.

HOW DOES YOUR HOUSE COMPARE?

The table below shows the current status of the Miami Springs/VG real estate market as of April 26, 2024. All closed sales are within the last 90 days.

*Disclaimer: The data relating to real estate displayed on this website and the chart above comes from the Miami Board of Realtors MLS. All listing information is deemed reliable but not guaranteed and can be independently verified.

 A complete list of all the properties for sale in Miami Springs or any other area of 

Miami-Dade County can be sent to you on regular basis. 

Request it at:  charlie@leonardrealestategroup.com

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