POTENTIAL HOMEBUYERS RETREAT AS RATES REMAIN ELEVATED

via dsnews.com — New listings of U.S. homes for sale have ticked up 2% since the start of September, and they haven’t fallen as much from summer to fall as they typically do, according to a new report from Redfin.

This is due in part to more homeowners putting their homes on the market, despite being locked into relatively low mortgage rates, as the total number of homes for sale is down 14% from a year earlier during the four weeks ending October 8—the smallest decline since July.

“Despite last week’s hotter-than-expected jobs report, rates have fallen after the Fed signaled this week that it is unlikely to hike interest rates again and war broke out in Israel,” said Redfin Economic Research Lead Chen Zhao. “Buyers should also remember that the average mortgage rate in the news is just that: an average. Many buyers can secure a lower rate by shopping around; the difference between rates among lenders is bigger when rates are higher. Buying down a mortgage rate is always an option, too.”

Experts are encouraging home sellers to take advantage of still-rising prices, as the median sale price is up 3% YoY despite low housing demand. However, with the share of for-sale homes with a price drop at its highest level in nearly a year and high mortgage rates cutting into homebuyers’ budgets, Redfin agents recommend setting a fair price, as in some parts of the country, many move-in-ready, fairly priced homes are selling quickly.

In comparison, homebuyers are retreating as mortgage rates sit near their highest level in more than two decades and the median U.S. monthly mortgage payment approaches a whopping $3,000. Mortgage-purchase applications inched up slightly this week, but they’re still …READ MORE

The Current Miami Springs Market

TIME TO BUY OR SELL?
CALL US FOR AN EVALUATION

There are fourteen (14) active listings in the MS/VG market this week—almost a 25% decrease in inventory since last week. Inventory continues to fluctuate in this unique and unpredictable market. One thing is for sure—values remain strong in Miami Springs and Virginia Gardens. Despite interest rate increases, there are still many qualified Buyers out there. With tighter inventory and continued high demand, the market is transitioning back to a Sellers' market. Please refer to the articles posted on our website.

Fifty percent of the active listings are over one million dollars, with one listing even priced for over $2,000,000.00!! Five (5) of the active listings have had a price reduction; one this week. There are four (4) pending sales. We were transitioning to a more neutral market. However, the continued tight inventory and demand, despite higher mortgage rates, gives Sellers an advantage and makes it difficult for Buyers. Although, things may start to slow down! Expected interest rates increases in the future can mean fewer buyers. We still anticipate more inventory increases.

DEMAND IS STILL THERE!

Mortgage interest rates are over 7% this past month. There are still serious qualified Buyers looking for the right property. Timing is everything! Multiple offers are becoming more common again. The number of days properties are staying on the market is averaging 46 days. The demand remains high for properties under $500,000. There are no listings under $500,000. The low inventory at entry-level, higher interest rates, and homeowner insurance costs make it difficult for many first-time Buyers. No properties are priced between $400,000-$500,000; none (0) are priced between $500,000-$600,000; two (2) are priced between $600,000-$700,000; two (2) are priced between $700,000-$800,000; one (1) is priced between $800,000-$900,000; two (2) are priced between $900,000-$1,000,000; six (6) between $1-2 million; and one (1) is listed for over $2 million.

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

During the period of October 6, 2023 through October 13, 2023, there were reported 0 new listings, 4 closed sales, 4 pending sales, 1 active with contract, 0 expired listings, 0 cancelled listings, 0 temp off market, 0 price reductions, 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 Friday, October 13, 2023. 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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