The experience of selling Florida real estate has gone through many ups and downs in the past few years years.
About 10 years ago, the Florida real estate market was exceptionally “overheated”: homes were often sold before Realtors had time to “list” them; new homes under contract were re-sold for thousands more than the contract price as soon as the buyer closed with the builder; bidding wars occurred, where sellers were offered more than the asking price.
Then came the housing and economic recession, bringing about big changes. There were many unsold properties and very few buyers: as at the end of March 2007, the inventory of re-sale homes on offer represented about 14 months sales and things became even worse for a while after that. Foreclosures and short sales became a big part of the market. In most cases, prospective buyers had an expectation that they could secure a property far below the asking price. Some sellers tried to defy the trend by holding out for their asking price, but most recognized the need to “bargain” if they really want to cement a deal. In round numbers, prices halved or fell even more than that.
The market in 2015 reflects the partial rebound that has taken place in the last three or four years. There is about four months’ inventory on hand, a figure that is not too dissimilar from longer-term norms. A big decline in the number of foreclosures is forecast, large investors having bought up under-priced homes so that this segement is no longer the bargain that it was. Prices have recovered somewhat, with double-digit price increases in some recent years (but they are still not back to the level that they were).
So the home owner who wishes to sell his property is left with several important questions that are essentail to answer:
- Should I try to sell my home without a Realtor (“for sale by owner”)?
- How do I price my home?
- How do I get my home ready to sell?
- If I decide to use a Realtor, how do I find the right one?
Please click on the links at the top right of this page to find answers to these and other questions – or click here for more information.