As the leaves drop, so do home prices according to a recent report from ATTOM Data Solutions. Analyzing data over a seven-year period from 2013 to 2020, the report found that in October, people paid an average of 2.9% over the median automated appraisal price of a given home. By comparison, the most expensive month of the year to buy a home was May. During May, home buyers could expect to pay an average of 11.5% over the computer-determined appraisal. Generally speaking, this report proved that the colder months are better for home buyers while the warmer months tend to favor home sellers.
Similar to home prices, total home sales also seemed to follow a similar trend with colder months seeing more than a 30% drop compared to summer months. The month of February had the least number of home sales with an average of 2 million. Meanwhile, the month of July had the highest number of home sales with an average of just over 3.3 million.
As for seasonal trends, the report demonstrated that home sales began to decline in September followed by a rebound in activity in the month of March. Since this report looked at national activity, it is important to account for local market trends based on the type of housing. For example, many oceanfront condos in South Florida are purchased by retirees and other Americans from colder climates looking to spend their winters in paradise. With this said, the market for these waterfront condos can become quite active during the winter months. This pattern is the exact opposite of what we typically see in the single-family home market in this area.
According this report, the best day of the year to purchase a home is December 5th. On this date, buyers typically only paid 1.6% above the appraisal. On the flip side, the most expensive days of the year to buy a home were May 23rd & 27th. Both of these days saw buyers pay 17.4% more than the home’s value.
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!