After a strong start for existing home sales in January and February, activity in March did not continue on the same trend in comparison to 2013 with the number of sales dropping about 22% and coming in at 157 compared to 199 in 2013. But sales were slightly above February which had 152 residential house closings. This brings the number of residential house sales through March down about 7% compared to the same period last year. On a more positive note new home builds are up about 29% for the area in the 1st quarter. With existing home sales and new builds picking up in the area we stand to see another strong year in the area.
Inventory picked up slightly with 1024 houses on the market in the County which is one of the few times that inventory levels have broken the 1,000 mark over the last couple of years. Most notably in the inventory number is the increase in the number of foreclosure (“Government Owned” and “REO”) houses available for sale with 101 active right now. Cash is still dominant in the area coming in at around 50% of all residential house sale transactions so far this year.
We have seen a shift over the last 2 years to more of a “seller’s market” with a lot less inventory and ever-increasing demand. This has pushed prices slightly higher. Buyers have found themselves with a little less leverage in negotiations and offers. “Low ball” offers are typically not a good strategy today if it’s a property the buyer truly wants. Average days on the market are coming in around 92 days now and foreclosures about half of that.
What questions do you have about the local market?
Disclaimer: Information based upon the Flagler County Association of Realtors MLS as of 4/6/2014 for Residential Houses. Information may be deemed reliable, but is not guaranteed