The current housing market is not conducive for tire kickers or procrastinators. Particularly with the record low inventory of homes for sale throughout South Florida, home buyers need to act swiftly if they want any chance of securing a home purchase. According to Bank of America’s recent 2022 Homebuyer Insights Report, 65% of buyers stated that they would make an offer on a home within 3 days if they are interested. In fact, 20% of buyers stated that they would make an offer immediately. This survey was based on approximately 2,000 responses and some of the key findings are listed below.
A competitive landscape
According to National Association of Realtors® data, homes spent an average of 17 days on the market in the month of March. In fact, 87% of homes sold in March were on the market for less than a month. In some parts of South Florida, homes are selling even faster due to the incredible buyer demand. With home prices and mortgage interest rates rising, buyers are being forced to budget wisely in order to have a chance with affordability. According to the Bank of America survey, 56% of home buyers surveyed said they are willing to consider a second job to earn supplemental income for a home purchase.
Making concessions for home ownership
The low inventory of homes for sale is also forcing many buyers to make concessions in their home searches. This survey found that buyers were willing to make the following compromises in order to achieve home ownership.
- 82% are open to moving to an up-and-coming neighborhood
- 79% are open to buying a home further away from a city center (i.e. shopping, restaurants, entertainments, etc…)
- 71% are open to buying a small home
- 70% are willing to sacrifice outdoor space
Summary
Competition for home buyers in this market has reached record levels. While places such as South Florida should see increased demand for the foreseeable future, steadily rising mortgage interest rates should begin to erode buyer demand as more prospective buyers become priced out. With the virtual workspace growing in popularity, we still expect to see more Americans relocating to the South Florida market for various reasons. If you are looking to purchase a home in paradise, it is critical that you work with a local, knowledgeable, and professional real estate agent. Contact Live South Florida Realty, Inc. today at (561) 352-6932!
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!
