MEASURING MARKET TRENDS
When deciding to sell and/or buy a property, it is important to know the market trends on a specific neighborhood and price range. Looking at comparable sales may not be enough to fully assess where the market is heading.
We all hear and watch the news about the national housing market; however, what is happening in your local market may be different enough to pay closer attention especially in Florida where on average 1,200 people are moving to the state each day.
It is important to analyze factors such as average days on market (DOM), average months of inventory, listing price vs. sales price, etc.
To better explain how to measure market trends, I will illustrate an example. I chose the neighborhood of Coral Ridge in Fort Lauderdale because it is where my family has had a home since 1979. I grew up in this area as did many of my childhood friends, and I remember well their homes. This neighborhood holds a special place in my heart, and it is my opinion that you cannot go wrong in the long-term when investing in a home in Coral Ridge.
I generated a report with Trendgraphix that addresses non-waterfront single family homes within the Coral Ridge neighborhood for the time period between October 2019-to December 2022. The data is based on all activity in this area reported to the MLS (multiple listing service). Homes that were sold off market are not taken to account.
Below are the Trendgraphix results for you to review and take in.
I am happy to discuss the data results with you. In sum, it is my observation that the market is stabilizing and returning to pre-pandemic levels. What does that mean? Buyers and sellers must be willing to negotiate in order to arrive at a deal. No longer are the days where buyers will purchase without first doing their due diligence. Sellers need to be realistic about the value of their properties, and there will be more informed decision making in the process.
Yara Bashoor, Esq.
Global Real Estate Advisor
One Sotheby’s International Realty
#measuring-market-trends