Home Purchase Sentiment Falls to Lowest Levels Since 2011

Consumer sentiment toward housing fell to the lowest levels seen since late 2011, as measured by the Fannie Mae Home Purchase Sentiment Index (HPSI). Buyer confidence has been rocked by rising home prices, increasing interest rates, and persistent inflation. Seller confidence had remained on a higher footing until the most recent couple of months, and is now further contributing to a decline in overall purchase sentiment.

Homebuyers are still struggling with a large run-up in home prices, interest rates, and inflation, as well as limited inventory of homes for sale..

Consumers are still struggling with an affordability crunch as they juggle rising home prices, interest rates, and inflation outpacing income growth. While the housing market is showing signs of moderation through growing inventory, an increase in price reductions, and slowing listing price growth, sellers have pulled back and are listing homes at lower rates than last year which may slow the adjustment in the housing market that is already underway. Home sales are expected to continue to moderate compared to last year’s historic pace. However, a pull-back in feverish demand and adjustment in seller expectations could start to tip the market back toward a more balanced state toward the end of the year. Homebuyers who are still hanging in there may find better options later in the year in what is typically considered the best time to buy....READ MORE

The Current Miami Springs Market

A GREAT TIME TO SELL!

There are seventeen (17) active listings in the MS/VG market this week. The inventory has slightly fluctuated the last 3-4 weeks. It had averaged under 15 listings the last several months. I expect continued increases in inventory in the months ahead. Pending sales have slowed a bit. Values are still strong in Miami Springs and Virginia Gardens. Despite interest rate increases, there are still many qualified Buyers out there, BUT as rates increase, there WILL be fewer Buyers! Today, it is still a Sellers' market. Please refer to the articles posted on our website.

Sixteen (16) of the active listings are priced over $500,000. Four (4) properties are listed between 1-2 million dollars. One (1) is listed for OVER 2 million dollars! Six (6) of the active listings have had a price reduction; none this week. We remain in a Sellers' market due to high demand and low inventory, but that has started to change. More interest rate increases are coming in 2022. We anticipate that inventory will continue to increase.

MULTIPLE OFFERS HAVE DROPPED AND DEMAND IS SLOWING!

Mortgage interest rates have remained around 5%, but expect more increases. There are still serious qualified Buyers looking for the right property. Timing is everything! Multiple offers are becoming less common in today's market. The demand remains high for properties under $500,000. There is one (1) listing just under $500,000. The low inventory and interest hikes make it difficult for most first-time Buyers. One (1) property is priced between $400,000-$500,000. Two (2) properties are priced between $500,000-$600,000; four (4) between $600,000-$700,000; none (0) between $700,000-$800,000; two (2) between $800,000-$900,000; three (3) between $900,000-$1,000,000; four (4) between $1-2 million; and one (1) is listed for over $2 million.

SELLERS, THIS IS YOUR MOMENT!
Low Inventory + Low Interest Rates = Seller's Market.
SELL NOW!

During the period of August 5, 2022 through August 12, 2022, there were reported 1 new listing, 2 closed sales, 2 pending sales, 2 active with contract, 0 expired listings, 0 cancelled listings, 0 temp off market, 0 price reductions, and 0 price increases.

HOW DOES YOUR HOUSE COMPARE?

The table below shows the current status of the Miami Springs/VG real estate market as of Friday, August 12, 2022. All closed sales are within the last 90 days.

*Disclaimer: The data relating to real estate displayed on this website and the chart above comes from the Miami Board of Realtors MLS. All listing information is deemed reliable but not guaranteed and can be independently verified.

 A complete list of all the properties for sale in Miami Springs or any other area of 

Miami-Dade County can be sent to you on regular basis. 

Request it at:  charlie@leonardrealestategroup.com

………………………………………………..……………………………………………………………………………