I am sitting at my desk today doing research on Tampa Bay’s real estate market statistics for my upcoming Bay News 9 appearance and thinking to myself WOW! No wonder I am feeling such a pinch in listings right now!
Before you read these numbers and freak out too much – it should be noted that year-over-year, Closed Sales in September were down significantly but this is directly related to the length of time businesses, schools, and other institutions were closed before and after Irma’s impact. It should also be noted that there were only 20 business days this September, and even if title agencies, banks, and other major players in the market were only closed for four days, that is 20% fewer business days to get things done.
Pinellas County: Closed Sales are DOWN 25% from last year’s September’s numbers. You would think that’s a bad thing. Well, it is if you are trying to buy a home, but it’s not if you are a seller. That indicates a shortage of homes available because the average sale price is actually UP in the same area by 11.2%. It’s basic supply and demand. Supply is way down, so demand (and prices) are up. We are at a 2.6 months supply of homes. To give you an idea what that means – 6 months supply is a balanced market – meaning neither a seller’s nor a buyer’s market. Below 6 months is a Seller’s Market, above 6 months is a Buyer’s Market. 2.6 months is UNHEARD OF. I am talking about this is the lowest we’ve seen since maybe the boom – definitely since I’ve been in the business, and I was licensed in 2006. Yes you read that right, we currently have the lowest number of homes available in 11+ years. I am totally blown away by this number.
Hillsborough County: Closed sales DOWN 18% from last year, and the average sale price up 13.5% – even higher than Pinellas! Also a 2.6 months supply in Hillsborough. Booming!
Pasco County: Closed sales DOWN 11.9% from last year, not quite as low as Pinellas and Hillsborough but still showing the same trend. Pasco’s average sale price up is 10.6% and they have 2.7 months of inventory.
Overall, homes in the greater Tampa Bay area priced under $600,000 are going under contract generally in under 30 days, and closing within 60 days or so. Sellers getting on average around 96%-97% of asking price.
New Construction Homes under $350,000
Homes over $600,000 are in a little bit different category. They are still selling well, but not quite at the same rapid pace that the ones under $600,000 are. As price tags climb over $1,000,000 buyers will find themselves in a bit more of a Buyer’s Market with more to choose from and more days on market.
What does this mean? There is a MAJOR shortage of homes available in the Tampa Bay area and sellers are getting their prices. Read: SELLERS MARKET BIG TIME. If you’ve been on the fence, now’s the time to sell. Many people are hesitating to sell around the holidays because – let’s face it – it’s inconvenient when there are holiday parties to attend and host, and events to go to, but the reality is homes sell and show better when they are decorated elegantly for the holidays. People are in a good mood when home shopping for the holidays, and many relocation buyers are in the market from November through December and are the most serious buyers you will find. Not to mention, because the shortage of homes is so apparent, it is likely that you may end up with multiple offers and getting your asking price (or above!)