UNCERTAINTY FUELS RECORD LOW HOME TURNOVER

via themortgagepoint.com—According to a new Redfin analysis, in the first eight months of 2024, only 25 out of every 1,000 U.S. homes changed hands, representing the lowest turnover rate in decades. Further data found that some 31% fewer homes were sold this year than in the final pre-pandemic year of 2019 (36 of every 1,000), and 37.5% fewer homes were sold this year than during the peak of the pandemic buying frenzy in 2021 (40 of every 1,000).\

“Mortgage rates have already fallen more than one percentage point from their 2024 peak, but we have not yet seen a significant increase in the number of homes changing hands. Of the homes listed this year, many have gone stale because of the lack of demand—especially homes which needed a little extra work,” said Elijah de la Campa, Senior Economist at Redfin. “With the majority of homeowners locked into low mortgages, rates will need to keep falling consistently for many to feel comfortable moving on from the deals they secured years ago.”

Redfin compared the first eight months of 2024 across various metro areas, property kinds, and neighborhood types in order to measure housing turnover. Redfin is using turnover, which shows how frequently homes are sold in a certain location, as a gauge of housing availability. Expanding on Redfin’s findings, this year’s turnover rate is the lowest in at least the last 30 years. The analysis examined data from 2012–2024. In the early to mid-1990s, existing home sales were comparable, but there were fewer homes overall, which meant that the turnover rate was higher.

In the first eight months of 2024, there were fewer homes listed for sale as well—a level not seen since at least 2012, the first-year listing data was available. Out of 1,000 homes, just 32 were for sale in the first eight months of this year. This figure represents a 29% drop from…READ MORE

The Current Miami Springs Market

TIME TO BUY OR SELL?
CALL US FOR AN EVALUATION

There are thirty (30) active listings this week. Inventory in the MS/VG market has hovered around 35+/- listings these last months but decreased since last week. Values remains strong; 40% of the active listings are over a $1,000,000.00! Increased inventory is better for Buyers, but prices remain strong for Sellers. Interest rates have decreased slightly and prices are still high but we are seeing a significant number of price decreases on active listings. We are truly in a unique market! It is slowing down but there are still many qualified buyers out there, despite high interest rates and high prices. Please refer to the articles posted on our website for more insight.

There are fourteen (14) active listings over one million dollars. Sixteen (16) of the active listings have had a price reduction; one (1) this week. There are no new pending sales this week. We have been transitioning to a more neutral market. However, the tight inventory and high demand for entry-level homes still makes it difficult for Buyers. The high interest rates 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? Properties are staying on the market for longer but some houses still quickly sell. 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 hovering under 5.5% with lower rates expected. There are still serious qualified Buyers looking for the right property. Timing is everything! Multiple offers still happen in some cases. The number of days properties are staying on the market is averaging 58 days. There are no properties listed under $500,000. The limited options for entry-level homes, higher interest rates, and homeowner insurance costs make it difficult for first-time Buyers. There are zero (0) listings priced between $500,000-$600,000; seven (7) listings are priced between $600,000-$700,000; three (3) are priced between $700,000-$800,000; four (4) are priced between $800,000-$900,000; two (2) are priced between $900,000-$1,000,000; thirteen (13) between $1-2 million; and one (1) priced for over $2 million.

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

During the period of September 27, 2024 through October 4, 2024, there were reported 0 new listings, 5 closed sales, 0 pending sales, 2 active with contract, 1 expired listing, 4 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 October 4, 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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