- The number of homes sold in Cape Coral, Fla., and Northport, Fla., jumped nearly 50% in March from the same month last year, more than anywhere else in the nation. And in McAllen, Texas, supply jumped 25%.
- Housing supply is rapidly increasing in both states as large quantities of housing are being built and home price increases are contained. Buyer demand is lackluster as many people are selling out. And in Florida, the insurance crisis is hitting trade hard.
- Nationwide, the number of new listings slowed down in March as mortgage interest rates remained high. The Federal Reserve recently warned that interest rates are likely to remain high for longer than expected.
On Florida's west coast, the supply of housing is surging, sellers are lowering their asking prices, and the time it takes to sell a home is skyrocketing. All of this is happening at a faster pace than the rest of the United States. The situation is similar in parts of Texas.
Florida and Texas are building More homes were built there than anywhere else in the country, in part to accommodate the flood of new entrants during the pandemic home-buying boom. However, the boom ended, partly because many people's prices went down. Homes are currently off the market and price growth has stagnated.
Here's how these trends played out in March U.S. housing market data covering 85 major metropolitan areas.
- supply: Of the 10 metro areas with the largest year-over-year increases in supply, six were in Florida and two were in Texas. Cape Coral, FL (51%) saw the largest increase in homes sold, followed by North Port Sarasota, FL (48%), Fort Lauderdale, FL (30%), Tampa, FL (29%), and McAllen, TX (25%), Orlando, FL (23%), Knoxville, TN (23%), Dallas (20%), West Palm Beach, FL (20%), and Cincinnati (17%).
- Price reduction: Of the 10 metro areas where sellers were most likely to lower their asking price, five were in Florida and two were in Texas.Located in Northport-Sarasota, 48% of listed properties are discounted, the highest share in the country.What came next tampa (44%), Indianapolis (43%); cape coral (41%), Denver (37%); orlando (35%), Portland, Oregon (34%); houston (33%), san antonio (33%) and Jacksonville, Florida (33%).
- price: Median sales pRice production decreased from the previous year in three major metropolitan areas: Florida and Northport-Sarasota, Texas. (-4.6%), Oklahoma City (-1.5%); san antonio (-0.3%).The price increase was the smallest Austin, Texas (0%), El Paso, Texas (0.5%), Memphis, Tennessee (0.7%); tampa (1.1%), Salt Lake City (1.1%), Omaha, Nebraska (1.2%), and Charleston, South Carolina (1.2%).
- Sales speed: Of the 10 metros with the biggest median day-on-market increases, two are in Florida and two are in Texas., it took 31 more days to sell a typical home than a year ago, the largest increase in the nation.What came next Northport-Sarasota (20), mcallen (20), New Orleans (18), Tulsa, Oklahoma (13), Cincinnati (13), san antonio (10), Greensboro, North Carolina (8), Honolulu (7), and Knoxville (7).
“Out-of-town homebuyers don't think of Florida as a place where they can get amazing value. They're now looking to move to North Carolina or Tennessee to get a better deal. Local blue-collar labor. “Many of them have also been deprived of their home ownership rights.” Eric Ausiello, local Redfin sales manager. “Two years ago, the Northport metro was one of the most competitive housing markets in the country due to affordability for telecommuters and a lack of homes for sale; now none of them are available. Not true. Sarasota in particular has been overrated for decades and the hens are finally coming to roost. The Tampa metro is slowly getting better.”
Private home sellers are having a hard time attracting buyers, in part because builders are offering buyers concessions that are hard to refuse. As a result, listings from regular sellers remain on the market. But homes also remain unsold because many sellers overprice their properties and are then forced to lower their prices, Ausiello said.
“While the recent surge in Florida home prices has many homeowners looking to cash out their equity, some are struggling to adjust to the fact that it is a buyer's market.” said Ausiello. “My advice to sellers is to price your home fairly. The comps from six months ago don't exist now. And if you're a buyer, make sure your offer is accepted below market value. Please be aware that there is a very high chance that you will
of insurance crisis It has also disrupted homebuying in Florida, delaying transactions in some cases. According to a recent Redfin report, nearly three-quarters of Florida homeowners say they or the area in which they live have been affected by home insurance cost increases or coverage changes. Masu. investigation found.
“One of our agents represents a buyer who thought she could get insurance for her existing homeowners insurance premium of $2,000 a year. I found out at the 11th hour that it was going to be $4,000. I'm seeing sellers offering a lot of concessions to close the deal,” said the owner, whose home insurance now totals $14,000 a year. dollars, up from about $8,000 two years ago, Ausiello said. “We're at a tipping point. For people buying luxury goods, high insurance premiums aren't necessarily a big deal, but for people buying waterfront homes on a budget, it becomes a huge problem. There is a possibility.”
Connie DarnallRedfin Premier Real Estate Agents in Dallas said its market is also depressed.
“Last year was the weakest market I've seen in my 20 years as a real estate agent,” Darnall said. “Advance buyers are almost non-existent. Even though many homeowners have built up significant equity, they are unable to sell because high mortgage rates double or triple their monthly payments. Many people don't want to do it.”
Nationwide, new listings slowed in March and prices rose from a year ago
The number of new listings in March was down 6% from the previous month, the largest decline since January 2022 on a seasonally adjusted basis. This was a 6% increase compared to the previous year, but slowed down from the 14% annualized increase in February.
Mortgage rates have remained high for longer than expected, potentially slowing new listings, which is hurting the economy. lock-in effect. The average interest rate for a 30-year fixed mortgage in March was 6.82%— the highest level since December — and the Federal Reserve warned that a rise in inflation is likely. delay They implemented the interest rate cuts they had planned for this year.
Active listings, or the total number of homes for sale, increased 1% from February, the smallest seasonally adjusted increase since August, but the 4% year-over-year increase is the highest annual increase in the past 12 months. It reached its maximum.
Prices continued to rise, partly because there was still a shortage of homes for sale. The median U.S. home sales price in March was $420,357, up 5% from a year earlier, and just 3% below the all-time high of $432,496 set in May 2022.
Home sales were flat on a seasonally adjusted month-on-month basis, but down 3% from a year ago.
March 2024 Highlights: United States
| March 2024 | Change from previous month | Change from previous year | |
|---|---|---|---|
| Median selling price | $420,357 | 2.1% | 4.8% |
| Seasonally adjusted home sales | 423,273 | -0.2% | -2.6% |
| Seasonally adjusted number of new listings | 509,405 | -6.3% | 6.1% |
| All homes for sale, seasonally adjusted (active listings) | 1,600,310 | 0.6% | 4.3% |
| Months of supply | 2.4 | -0.5 | 0.3 |
| Median days on market | 40 | -8 | -Four |
| Share of condominiums whose prices have fallen | 16.3% | 1.1ppt | 2.8ppt |
| Share of homes sold above final list price | 30.0% | 3.8ppt | 1.6ppt |
| Ratio between average selling price and final list price | 99.2% | 0.5ppt | 0.4ppt |
|
Average 30-year fixed mortgage interest rate |
6.82% | 0.04ppt |
0.28ppt |
Note: Data subject to revision
Metro-level highlights: March 2024
The bulleted data below comes from a list of 85 metropolitan areas in the United States with populations of 750,000 or more. Some large cities may be excluded to ensure data accuracy. Complete metro-level data tables can be found on the Dashboard's Downloads tab. Redfin Monthly Section data center. Visit us. Metric definition page For a description of the metrics used in this report, see. Data at the metropolitan level are not seasonally adjusted. All changes below represent year-over-year changes.
- New list: The largest year-over-year increases in new listings were in Sacramento, California (20%), San Jose, California (18%), and Las Vegas (15%). The largest declines were in Boston (-18%), Rochester, New York (-16%), and Atlanta (-14%).
- Home sales after closing: The largest increases in closed sales were in San Jose (3%), Milwaukee (2%), and Tulsa (2%). The largest declines were in Tacoma, Washington (-24%), West Palm Beach (-24%), and Grand Rapids, Michigan (-22%).
- Selling above list price: In San Jose, 72% of homes sold for more than their final list price, the highest share of any metro area Redfin analyzed. It was followed by Rochester (69%) and Oakland, Calif. (66%). Northport (7%), West Palm Beach (8%) and Cape Coral (8%) had the lowest shares.
- Off the market within 2 weeks: In Rochester, 82% of homes that went under contract went under contract within two weeks. This is the highest percentage of any large city analyzed by Redfin. Seattle (77%) and Grand Rapids (75%) followed. The lowest shares were Honolulu (10%), Tucson, Arizona (18%), and McAllen (20%).
