The figures are in from the fourth quarter of 2016 and according to data released by the Florida Association of Realtors, last year ended with an uptick in the number of listings on the market, combined with a higher median home price and a reduction in the number of distressed properties. So what does this mean to real estate investors? Well, that’s precisely what we’ll explore in today’s article from The Short Sale Gal Kristine Zelazo.
Florida Real Estate Market Overview – Market Tightens for Real Estate Investors
The rise in Florida real estate prices, combined with a fourth quarter reduction in the number of distressed properties (which account for a vast majority of all real estate investor acquisitions) is not great news for investors who are seeking to acquire new properties, but the higher prices are good news to anyone who has an investment property that they’re seeking to sell.
In the fourth quarter of 2016, there were a total of 62,192 single-family home sales, representing a 2.1% increase over the prior year’s figures.
The median sale price for single family properties increased to $223,950, reflecting a significant jump of 11.9% over the prior year’s figures.
When looking at condominiums and townhomes, the median price increased by a smaller margin, reaching $164,182 — an increase of 8.6%.
Short sales involving single family homes dipped by 37.5% statewide over the prior year, while the number of short sales involving townhouse and condos dropped by 41.8%. This is a very significant dip, but not one that’s entirely unexpected considering the economic growth that we’ve seen in recent months.
Nationally, condo and townhouse short sales dipped by 38.7%, while single family home short sales dropped by 35.3% over the same one-year timeframe.
A reduction in the number of distressed properties means there’s more competition for those properties — a fact that ultimately drives up prices. But this also means that you can expect to see a higher sale price. So in many cases, investors will find that the higher sale prices offset the higher acquisition price. So this is in no way disastrous news. Plus, relatively speaking, Florida’s real estate prices are still amongst the most affordable in the nation.
With these real estate market trends expected to continue into 2017, it’s best to acquire new properties as soon as possible, before prices rise even more.
Don’t forget to check out Kristine Zelazo’s related articles on 2017 Real Estate Market Predictions and Which Real Estate Markets Are Expected to Be the Strongest in 2017?
Ready to Get Started in Real Estate Investing?
If you’re getting started in real estate, consider working with a real estate investing mentor like The Short Sale Gal, Kristine Zelazo. Getting started in real estate investing can be somewhat challenging, but when done right, you can stand to make significant profits. You’ll have lots of advantages in this regard when you work with a real estate investing and short sale expert like Kristine Zelazo, better known as The Short Sale Gal.
Kristine has even launched a new program, called The Bird Dog Program, which is designed to help individuals get involved making money on real estate deals and short sales.
Based in Florida, Kristine works with both buyers and sellers and she is an experienced negotiator. So if you’re an investor seeking to get started in buying short sales and need a great mentor or wish to pursue a short sale transaction for the sale of your property, turn to Kristine Zelazo, the Short Sale Gal!
To get started with selling your home, simply complete the home pre-sale form to provide Kristine with additional information on the property in question. Then, call 800.664.0616, x802.