Hey, it's Andy with the Mandel Team REMAX and I'm here to bring you your June, 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 talking about single family homes only. No country clubs, no 55-and-over communities. So when we give you these stats, we like to look at the leading indicators to show you where the real estate market is headed, not where it's been. So we're not gonna talk about closed sale price, but we're gonna give you the stats of what's going on right now today in this market to show you where the housing market is headed.

Now, normally we like to compare the current month to the same month, the year prior but because last year was 2020 and we had the coronavirus, it was a very wanky year. So those stats really aren't gonna be good. So what we're gonna do for the remainder of the year is we're comparing 2021 to 2019, which was obviously pre coronavirus. So we get a good indication of what's going on now compared to what it was in "a normal world", pre COVID.

So the first stat we like to look at is the number of new homes coming on the market, compare it from 2021 compared to 2019, that's actually down about 30%. So we're seeing way fewer homes hitting the market at the same time, the number of homes that are going under contract and going pending every month, that's up 19%. So way fewer homes on the market, more home selling, as you can imagine, that's a supply and demand and balance. That's what we've been seeing for a while now. And because of that, homes are selling so quickly. There's not a lot to choose from. Things are flying off the market and the average days on market right now is about eight days. Now realistically, I've been saying this for months, that's what it keeps... It keeps saying six, seven, eight days. That seems really, really high to me. What we're seeing in anyone who's in this market right now is seeing that homes are selling in a matter of days, one, two days max, a lot of them. So what a lot of people are doing is they're waiting until the open house to start showings. So that's probably what's accumulating these days on market because realistically, once homes are available to show 24 to 48 hours, and there are multiple offers on this property. So that's really what's going on. It's really one or two days on the market.

The next stat we like to look at is close sale price to list price. So, what percentage of this listing price, the asking price are the sellers getting? As of may of 2021, that was over a hundred percent is 100.4%. So on average sellers are getting more than what they asked for. A lot of these homes, they're getting 10, 15, $20,000 above their asking price. So it's just kind of a really crazy market right now. You really gotta be prepared to come in with your very strongest offer first.

The last stat we like to look at is the month supply of inventory. So what this stat shows me is that in a balanced market, there are six months of inventory. So the current pace of sales, it would take six months for all the properties on the market to sell. Right now we're at 1.06 months of inventory. So this is as strong of a sellers market as anyone has ever seen probably in their lifetime and their parents' lifetime and their grandparents' lifetime. It is an incredibly strong super sellers market. So what does this mean for you? Let's interpret this data. Well, if you're a buyer it's extremely competitive. You gotta do everything you can to write your strongest offer first and be prepared to win in this market. So being fully pre-approved, being underwritten upfront and being able to write your offers as cash even if you're getting a mortgage, that's really the key in this market. So that's what we've been telling our buyers to do this year get with a reputable local lender, make sure you're all the way through underwriting, so your loan is formally approved, not just pre-approved. The underwriter has seen everything, the loan is approved, you can write an offer then as cash, that's gonna help your offer stand out.

If you're a seller, what does this mean? Well, basically name your price. Buyers are willing to pay almost anything to get into homes these days. Buyers are paying above list price, they're paying more money than appraised value, they're bringing cash out of pocket. They're doing all this kind of stuff. The sellers are really in the driver's seat here. So if you think, well, I wanna sell but I have to do these repairs. You really don't have to do any repairs. Buyers are willing to look past cosmetic issues or maybe your home backs up to a busy road, or a railway or something like that, in normal times would make it very difficult to sell. Buyers today, they're looking past that because they really just don't have a choice. There's nothing else on the market. They have to take what's out there. The last thing to know for sellers is that we have a plan to get you into your next home.So what we can do is we can help you find off-market properties if you tell us what you're looking for. We are constantly in touch with buyers and sellers, every single day, people who are in the same position as you most likely. I'd love to sell, but where do I go? I wanna go here and there's nothing on the market. We can help you find properties before they hit the market, off target deals and navigate so you can buy it before you sell or sell you get a really long closing or you can lease it back from the new buyers. There's a lot of things that we can do to help you get your home in the market and get you into the next home. Whether you need more space, whether you're downsizing, whatever it is, we have tools that we can use to help you get there.

So if you're thinking about selling the home this year, give us a call, shoot us a text, sent us an email. We have buyers looking for properties just like yours. We can get you a price that you probably didn't even think was possible and we can make the process as smooth as you've ever imagined. So thanks for tuning into this month's Housing Market Update. Give us a call, shoot us a text, send us an email if you have any questions about buying or selling a property here in South Florida.

Posted by Andy Mandel on
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