Read any real estate article these days and chances are that it will discuss how low the inventory of homes for sale is. While this continues to present challenges for buyers, there have been some signs of improvement. In fact, sales of the most affordable homes in the U.S. rose 11.3% year over year in the fourth quarter of 2021. With this said, the inventory of homes for sale in this tier also improved as well. Needless to say, this is welcomed news for buyers in this market.
The catalyst for inventory improvement
The most likely explanation for the improvement of affordable housing inventory is due to the ending of pandemic-driven mortgage forbearance and foreclosure moratorium policies by the government. With these programs ending, more of these owners were encouraged to sell their homes at today’s higher prices.
The affordable housing market is also booming due to the increased number of buyers earning higher wages in this market. In addition, investors with a strong appetite for lower-priced homes are also active in this market.
As with all real estate, local markets may vary considerably. Given the continued demand in South Florida from both in-state and out-of-state buyers, we continue to see inventory challenges across all market levels. As always, it is critically important to work with a knowledgeable and responsive real estate agent in your local market. Furthermore, it is imperative that you act swiftly on any new listings that meet your search criteria. The current ultra-competitive home buying market will likely not allow for much time to contemplate offers.
At Live South Florida Realty, Inc. we have assisted many clients with their real estate needs. Are you looking to buy or sell a property in South Florida? Now more than ever, it is critical to have a qualified real estate team and the proper search tools behind you. Live South Florida Realty, Inc., has been a leader in the South Florida market for many years. Let our team of professionals assist you with buying or selling your piece of paradise today! In addition, our recently launched “Florida Home Search” app is now available on the Apple App Store and Google Play Store. With real-time MLS feeds, this app lets you set your own alerts to notify you as soon as a property meeting your needs hits the market. Furthermore, it will also let you know of recent closed sales in your area so that you may be even more educated on the market. Be sure to download this app for your smartphone or tablet today!