If you live in
Florida, you are really in luck. Real estate prices are rapidly increasing due
to the low inventories and a hot job market - it is a seller’s market. Keep
your eye on the following factors:
1. Why it's a
seller's market. If the economy
in a particular region such as Palm Beach County has bounced back strong since
the downturn that began in 2008, home prices will be higher because more people
will be coming to that area for employment or to retire and relax. Most of Palm
Beach County prices have outreached expectations, sometimes higher than the
peak in 2007 and 2008. It may be that prices are or will be staying
more steady in the near future, but they are HIGH now.
2. The price
must be right. It is more
important than ever to work with an experienced, licensed Realtor who
understands your local market trends and issues. You will need to price your
home at the going market rate that reflects not only the value of your home but
the neighborhood where it is located. Price too high, and there will be little
interest in your property; too low, and potential buyers may wonder what hidden
issues your property may have. As a Realtor in Palm Beach County
since 2000, I have been asked that question many times… “Why is the price so
low? What is wrong?”
3. Going up...
or down. Mortgage
rates have a significant effect on the dollar figure that you use to price your
home. As percentage rates go up, you have to subtract the top dollar
amount you had planned to spend to compensate and stick to your budget. While
mortgage rates have been historically low in order to make homes more
affordable, this is a trend that may not continue in the near future so it may
be prudent to buy while interest rates are low.
4. List during
peak season. Take full
advantage of the old rules of supply and demand. When the most people are
looking to purchase a home is the best time to put yours on the market. The
summer months especially June, July and August, are one of the hottest times
for buyers who are planning where to be the following winter, or where to
reside when school begins in the late summer and a great opportunity for you to
take advantage of potential bidding wars and faster sales. Fall is a
good time as well, and January, February and March are perhaps the hottest
selling months.
5. Incentives. Yes, incentives work in a seller's
market. Last year more than a third of all home sellers offered
incentives. With a good percentage of the market made up of first-time home
buyers and second home buyers, providing incentives could result in higher
profit and a faster sale for you.
Want to chat about the status of the market in our area, and what incentives could help a sale? Connect with me, a luxury homes specialist, today to get started. Call or text 561-302-3388 or my landline 561-513-6180.
