Analyzing the South Florida housing market, we continue to see strong home buyer demand with shrinking inventories. Although mortgage interest rates are predicted to increase over the year, global market instabilities may result in more gradual increases. Below, we show some of the market trends being seen nationally and locally.
National trends
| 1 YEAR AGO | CURRENT | |
| Interest rates | 2.97% | 3.89% |
| Pending home sales | 121.0 | 109.5 |
| Builder confidence | 84 | 82 |
| Unemployment | 6.4% | 4.0% |
Local trends
| 1 YEAR AGO | CURRENT | |
| Unemployment | 5.6% | 2.6% |
| Housing starts | 1,883 | 1,709 |
| EXISTING HOME SALES | ||
| Miami-Dade | 2,221 | 2,645 |
| Broward | 2,416 | 2,559 |
| Palm Beach | 2,073 | 2,311 |
| HOUSING INVENTORY | ||
| Miami-Dade | 16,009 | 8,275 |
| Broward | 9,677 | 4,513 |
| Palm Beach | 8,491 | 3,308 |
| DAYS ON MARKET | ||
| Miami-Dade | 80 | 74 |
| Broward | 70 | 61 |
| Palm Beach | 72 | 59 |
Summary
On the bright side, we continue to see unemployment figures improving throughout the South Florida market. Although this is certainly welcomed news, the housing inventory challenges continue to worsen. It is widely thought that as COVID-19 cases continue to drop, this will possibly lead to more owners listing their homes for sale. Unfortunately, new home construction will not be at the pace needed due to various factors such as material costs and supply chain issues. Add in record fuel prices never before seen in this country and this will certainly impact the market.
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!
