South Florida Housing Market Update [July 2020]
- Hey, it's Andy with the Mandel Team at RE/MAX, and I'm here to bring to you your July 2020 housing market update. For the purposes of this video, we're gonna be going over Boca, Parkland, and Coral Springs. Those are the cities that our team predominantly does most of our business. In Boca, we are not gonna be discussing the country clubs or any 55 and over community, so all ages, no country clubs for the purposes of this video.
Now, when we do these videos, we wanna bring you the leading indicators to show you where the housing market is headed, not where it's going. When you watch these videos from the mainstream media, they're gonna talk about closed sales price. That's really indicative of what sold 30, 60, sometimes even 90 days ago. So we're gonna give you the leading indicators, showing you where the housing market is headed, so you can make an informed decision for yourself.
In Boca Raton, the first stat we're gonna look at is the number of new listings coming on the market, in July compared to the previous month, that was down 3%. We're seeing fewer homes come on the market at the same time, pending sales, number of homes going off the market and going under contract to a new buyer, that is up almost 38%. Fewer homes coming on the market, a lot more homes going off the market. That's the supply and demand in balance so that's leading to an increase in price and it's actually leading to a lot fewer days on market. In July, the days on market was only 31 days. That's down a little over 11% from the previous month. Homes are flying off the market, especially the well-priced homes that are in good condition in good neighborhoods, I think 31 days is even long for that. These properties are going off the market in just a matter of days, sometimes two, three days with multiple, multiple offers. The market's moving very, very quickly for these well-priced homes.
Last stat we wanna look at is the month's supply of inventory. This stat shows whether we're in a buyer's market or a seller's market. Anything less than six months of supply is a seller's market, anything more is a buyer's market. So in Boca last month, we had 3.38 months' worth of inventory, so we're very much in a seller's market in Boca. We're seeing increases in price, we're seeing fewer days on market. This is definitely a seller's market in Boca.
The next city we're gonna talk about is Parkland. Here, we had 37% more homes hitting the market, so definitely different than a lot of these other cities. More inventory in Parkland, but at the same time, the number of homes going off the market and coming pending is actually up as well, but that's almost 51%. So yes, we're seeing more homes on the market, but a lot more homes are selling and when more homes are selling than coming on the market, again, we have more demand than we have supply, that's leading to an increase in price and it's leading to fewer days on market. Parkland last month, had 26 days on market, was the median days. That's down almost 37% from the previous month, so homes again, flying off the market. It's definitely a seller's market in Parkland. The month's supply of homes is 3.93. Anything under 4 is a pretty strong seller's market, that's definitely what we're seeing in Parkland. It is a strong seller's market. We're seeing an increase in prices compared to last year because of the decrease in supply.
Now in Coral Springs, this is where we're seeing one of the biggest seller's markets I think I've ever seen in my entire career. In Coral Springs last month, we had 18% fewer homes coming on the market, way fewer homes hitting the market. At the same time, we're seeing 6% more homes come off the market. Almost nothing coming to the market,but more homes are selling. There's a ton of demand and almost no supply in Coral Springs. The median days on market last month was 19. Again, I think that's really distorting the stats, a lot of the homes that I'm seeing, in fact, I would say most of the homes are coming off the market in two, three days with 15, 16 offers, bidding the price way above the list price. It is a very, very, very strong seller's market in Coral Springs. The month's supply of inventory is just over one month. So if no one else in Coral Springs put their home on the market, in just over one month, there would be zero homes for sale in Coral Springs. It is extremely competitive in Coral Springs. It's very much a seller's market, prices are going up in Coral Springs. It's a great thing if you're a homeowner.
Let's talk about what this means for you. If you are a homeowner, now is an excellent time to put your home on the market. There's almost never been a better time to put your home on the market if you are a seller. If you know where you're going, you have something already picked out, you are in the absolute best position. We're getting our listing sold in literally a day or two with multiple, multiple offers, six, seven, eight offers sometimes, depending on the property. So it's a really, really strong seller's market, despite everything going on in the world, there's still a ton of demand down here in South Florida. We have local demand from people who are still employed and need more space for their family. They want more space for themselves because of everything going on. If you're gonna be quarantined, you might as well get all the stuff that you always wanted in your house.
We have a ton of people coming down here from the northeast and relocating from all over the country. So for anyone thinking that there is gonna be a huge fall in demand because people are losing their jobs, we are getting people relocating from all across the country with very good jobs and a lot of money coming to South Florida. So that is going to continue to support the demand and continue to raise the prices down here. It would be better to buy now than it would be to buy a year from now, when prices have gone up a lot, interest rates, we don't know where they're gonna be.
It's a very, very, very strong seller's market for single family homes across South Florida. So if you're a seller, great time to sell, if you're a buyer, you definitely wanna make sure that you're pre-approved ahead of time before going out and looking for homes. You wanna make sure that not only are you pre-qualified, but fully approved, the underwriter has looked at all your documents and you're able to write an extremely strong offer with 7 to 10 days as a loan approval period. In this market, when you're competing against multiple, multiple offers, you got to do everything in your power to make sure your offer stands out. So having a very short inspection period and a very short loan approval period is gonna go a long way to getting your offer accepted, in addition to making sure you're coming in with your best offer up front with a very strong price.
If you have any questions on how the market's doing in South Florida, make sure you give us a call, shoot us a text, send us an email. I promise we don't bite. We're here to answer all of your real estate questions. Thanks so much for tuning in. I'll see you next month.