RECORD HIGH PAYMENTS PUSH POTENTIAL BUYERS TO THE SIDELINES

via investors.redfin.com—During the four weeks ending May 5, the median monthly housing payment in the U.S. hit an all-time high of $2,894, up 14% from the previous year, while home prices grew 4.5% to their own record high. This is according to a recent study from Redfin.

Many prospective sellers remain apprehensive of high interest rates, therefore the overall supply of homes for sale slowed. New listings increased 9% year over year, the smallest gain in three months (with the exception of the four weeks ending March 31, which had an artificially slight fall owing to Easter).

Except for 2020 and 2023, the four-week period ending May 5 saw the fewest new listings of any similar time on record. Many would-be sellers pulled out when interest rates climbed in April, preferring to stay put and keep their cheap mortgage rate.

“The market is a mixed bag, with high mortgage rates causing some listings to sit longer than I would expect in the springtime and high prices holding steady,” said David Palmer, a Redfin Premier agent in Seattle. “Sellers can rest assured that there are plenty of motivated buyers who are jumping into the market now; they finally understand that rates aren’t going to plummet anytime soon. Those buyers are the people who are moving because they need to: They’re relocating for a new job, going through a divorce, or growing their family. So even though some of my listings are taking longer to sell than they would in a typical spring market, they are selling eventually.”.…READ MORE

The Current Miami Springs Market

TIME TO BUY OR SELL?
CALL US FOR AN EVALUATION

There are twenty-eight (28) 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 fourteen (14) active listings over one million dollars. Eleven (11) of the active listings have had a price reduction; one (1) this week. There are four (4) 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 are now over 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 74 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 are two (2) listing priced between $500,000-$600,000; four (4) listings are priced between $600,000-$700,000; five (5) are priced between $700,000-$800,000; two (2) are priced between $800,000-$900,000; one (1) is priced between $900,000-$1,000,000; thirteen (13) 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 May 3, 2024 through May 10, 2024, there were reported 2 new listings, 3 closed sales, 4 pending sales, 1 active with contract, 0 expired listing, 3 cancelled listings, 0 temp off market, 1 price reduction, and 0 price increases.

HOW DOES YOUR HOUSE COMPARE?

The table below shows the current status of the Miami Springs/VG real estate market as of May 10, 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:  [email protected]

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