The Spring market usually starts in March, and according to numerous articles, this one will continue to be competitive, with a little bit of lax compared to 2021. If you are looking to buy a home this Spring season, here are some things to be aware of: Low Inventory, Increase in Home Value, and Bidding Wars.
Just to warn you, the rumors you hear are true about the Spring Market; the warm weather attracts homebuyers.
Low Inventory
"Real estate inventory correlates to home availability: in situations where there are few homes available, there is "low inventory." If people are not looking to sell, there are no homes for buyers to purchase."
As fewer homes are on the market, the average prices for homes are rising. As a homebuyer during this season, you must understand your region and gain insight into the median asking prices of a potential seller.
Before we get into Median Sold Prices, here are some of the hot spots in SWFL in February 2022:
- Estro, FL: 43 homes
- Bonita Springs, FL: 68 homes
- North Fort Myers, Fl: 168 homes
- Punta Gorda, FL: 228 homes
- Fort Myers: 390 homes
- Port Charlotte, FL: 707 homes
- Lehigh Acres: 827 homes
- Cape Coral: 1,398 homes
According to Rocket Homes February 2022 market report, each city listed above saw an increasing amount of homes For Sale except Port Charlotte, FL.
With lower inventory compared to previous years comes higher asking prices.
Increase in Home Value
Due to few homes on the market, sellers are looking for higher asking prices, and with more demand than supply, we are indeed still in a seller's market.
According to Forbes Advisor, looking for houses below your budget will help you throughout your homebuyer journey. Now we know this means either gathering more funds for your next home or working on your ideal home "must-haves" no decision is easy, but the one route you decide will help you throughout your process of finding your next home.
If you are looking for a home in the SWFL region, here is the Median Sold Price for some of SWFL's top areas:
- North Fort Myers, FL - $259,777
- Port Charlotte, FL: $259,561
- Lehigh Acres, FL - $270,333
- Fort Myers, FL - $283,803
- Cape Coral, Fl - $350,013
- Bonita Springs, FL: $353,950
- Estro, FL - $375,000
- Punta Gorda, FL:$499,583
If you would like a further breakdown, you can click here:
Now that you understand what Low inventory looks like in SWFL and the average Median Sold Price, here is the last thing to be aware of as a homebuyer during the spring market, Bidding Wars.
Bidding Wars
A Bidding War includes two or more buying parties looking to compete for ownership of a property. In these situations, buying parties are trying to outbid each other. These Bidding Wars do not have a custom timeline but can vary from house to house.
If you find yourself in a Bidding War, here are some particle things to do:
- Ensure that you have the finances and patience to engage in a Bidding War to give a competitive offer.
- Offer a Pay in Cash proposal.
- Be pre-approved for a mortgage; this lets a Seller know you are serious.
- Be willing to work with the Seller on a closing date that allows flexibility.
Entering into a Bidding War can result in a win or a pivot into a new direction to a better home. While this situation can become overwhelming, just know you are not the first or last person to enter into a Bidding War this season.
The market during the Spring is heightened, but hopefully, with these critical things on your radar, you will be able to maneuver through the market, not just by yourself but with a trusted agent.
If you consider buying this season, send us a message at maverickhomegroup@gmail.com
