South Florida Housing Market Update [February 2021]
- Hey, it's Andy Mandel with the Mandel Team Remax and I'm here to bring you your February, 2021 housing market update. As always for the purposes of this video we're gonna be talking about single family homes only in Boca, Parkland and Coral Springs. Those are the areas where our team does the predominant amount of our business and we're not gonna be talking about 55 and over communities, condos or country clubs. So single family home, single family homes only, all ages communities, no country clubs.
When we do these stats, we wanna give you the leading indicators to show you what's going on in the market right now and where the housing market is going, not where it's been. So we're not gonna talk about the closed sales price because that's really indicative of what happened 30, 60, and sometimes even 90 days ago. We're gonna show you what's going on right now to give you an update on where the market is going to be in the next couple of months.
So the first stat we'd like to look at is the number of new homes hitting the market. Now across all three cities on average, that is down 27% compared to the same time in 2020. So we're seeing fewer homes hit the market. The next step we'd like to look at is the number of pending sales. So the number of homes going off the market, that's actually up 27%. So fewer homes hitting the market, more homes going off the market, that's leading to a supply and demand imbalance. It's the same thing we've been seeing basically almost all of 2020.
Since the pandemic really started, tons of buyer demand homes are flying off the market and not enough inventory, not enough homes are hitting the market to keep up with all the buyer demand. As you could expect, when you have a shortage of homes and a lot of demand, the amount of time the homes are taking to sell, that's going down.
So the average days on market is down 64% from the same time in 2020 so homes are selling twice as fast. It's incredible. The average days on market, the stats say 21 days but realistically for a well priced home in a desirable neighborhood, especially if it's fully updated, what I'm seeing is those homes have multiple offers, and I'm talking three, four, five, sometimes six or 10 offers in literally 24 to 48 hours. So they are really flying off the market.
The last stat we'd like to look at is the number of months supply of inventory. So what this stat means is that if no more homes were to hit the market, how long would it take for all of the homes that are on the market to sell? Anything less than six months is a sellers market, anything more than six months is a buyer's market. Currently we're sitting at 1.32 months of inventory so if no more homes hit the market in just over a month, they would all be under contract and in Coral Springs specifically, it's 0.67 months of inventory so less than a month of inventory in Coral Springs. There's almost, there's very little homes to choose from so it is a great time to be a seller.
So let's talk about what this means. Like I was saying, if you're a seller, there's almost never been a better time to put your home on the market. There's a very little competition right now and a ton of buyer demand with interest rates below 3%, buyers can afford a lot more so, you know, it's a great time to be a seller. We're getting multiple offers for our sellers setting, almost daily, highs for the neighborhood. It is really just a great time to be a seller.
If you're a buyer what does this mean for you? You really gotta be prepared to buy the homes that are good, you know, they're in good neighborhoods, they're selling really fast. You have to be pre-approved upfront, you have to be ready to write your offer. You know, if you see the house and you think you like it, you really don't have time to think about it write your offer, you'll always have time to change your mind in your inspection period or while you're negotiating back and forth but if you don't write that offer, someone else is going to.
So thanks for tuning into this month's market update, if you have any questions about the housing market in South Florida, give us a call, shoot us a text, send us an email, let us know how we can help you achieve your home ownership dreams. Thanks for tuning in, I'll see you next month.