Property Sales Spike

FLORIDA REALTORS REPORT THE HOUSING MARKET POSTED ITS 8TH STRAIGHT MONTH OF YEAR-OVER-YEAR CLOSED SALES GAINS, FLORIDA REALTORS ALSO REPORTED NEW PENDING SALES OF SINGLE-FAMILY HOMES JUMPED 8% YEAR-OVER-YEAR IN APRIL THAT APRIL GAME WAS MORE THAN DOUBLE THE INCREASES SEEN IN FEBRUARY AND MARCH. THOSE ARE JUST SOME OF THE RECENT NUMBERS GIVING US A SNAPSHOT OF THE CURRENT REAL ESTATE MARKET. >> FOR THE LATEST UPDATE ON WHAT IS HAPPENING IN OUR SOUTHWEST FLORIDA REAL ESTATE MARKET. WE ARE NOW JOINED BY BROKER DENNY GRIMES. DENNY, THANK YOU SO MUCH FOR JOINING US TODAY. >> HEY, AS WE MOVE INTO WHAT MIGHT BE CALL THE SLOWER SUMMER MONTHS FOR HOME SALES IN SOUTHWEST FLORIDA, IT APPEARS WE'RE STILL IN A BUYER'S MARKET, BUT THERE SEEM TO BE SIGNS WE COULD BE MOVING TO A MORE BALANCED MARKET. CAN YOU EXPLAIN WHAT IS GOING ON IN THE MARKET? >> ABSOLUTELY. YOU KNOW, WHEN YOU SAY SLOWER SUMMER MARKET, WE REALLY HAVEN'T HAD A SLOW SUMMER MARK. AND SOMETIMES THE INTERNET, IT'S KINDA LEVEL, BUT THINGS OFF. NOW, WE MAY NEED TO BE QUITE AS BUSY AS OUR SEASON, BUT THE MARKET IS MOVING IN THE RIGHT DIRECTION. AND YOU KNOW WHAT? IF THIS IS SLOW, I CAN TAKE SOME MORE OF IT BECAUSE THE MARKET IS REALLY STARTING TO IMPROVE. AND I HAVE SOME NUMBERS TO KIND OF BACK THAT UP. YOU SEE A LOT OF PEOPLE WANT TO TALK IN TERMS OF A LOT OF TALKS ABOUT THE NUMBER OF SALES AND CHANGE IN THE NUMBER OF SALES AND THE CHANGE IN THE MEAN SALES PRICE. AND WE'LL TALK ABOUT THAT. BUT ONE OF THE THINGS I'D LIKE TO TALK ABOUT TODAY IS THESE 2 BITS OF INFORMATION ARE HISTORICAL BEST LIKE THAT. YOU'VE ALREADY READ ABOUT THE GAME THAT HAPPENED YESTERDAY. I'M GOING TO SHARE WITH YOU SOME REAL TIME INFORMATION THAT GIVES US A SENSE OR A DIRECTION OF WHERE THE MARKETS MOVIE AND THAT BASICALLY IS CALLED. SUPPLY OR MONTHS OF INVENTORY. AND THE MONTHS OF INVENTORY BASICALLY. WE'LL TELL YOU WHAT KIND OF MARKET URINE. AND SO THERE'S SEVERAL CATEGORIES. JENNIFER. IF THE MARKET WEEK LEFT LIKE THE COVID MARKET, WE HAD REALLY NOTHING FOR SALE IN AND THEY SAY SOMEWHERE BETWEEN 0 AND 5 MONTHS OF INVENTORY, WHICH MEANS IF NOT ANOTHER NEW HOME OR CONDO CAME ON THE MARKET. EVERYTHING CAN BE SOLD INSIDE OF 5 MONTHS. THAT'S CALLED A SELLERS MARKET. THEN YOU GO 5 TO 7 MARKETS. IT'S KIND OF A BALANCE AND THE MARKER WE'VE BEEN IN FOR THE LAST ALMOST 3 YEARS IS A BUYER'S MARKET WHERE WE HAD A TON OF THAN THE TORSO WERE OVER 7 MONTHS WERE. BUT THAT'S CHANGING AND ONE OF THE THINGS I WANT A MORE OF THE POINTS THAT I DID COME UP FOR AIR. IF YOU IF YOU WANT TO THEN ASK YOUR QUESTION, IS AND THIS IS A GOOD INFORMATION FOR THE CONSUMER OUT THERE BECAUSE IF I THINK ABOUT BUYING OR SELLING AND THEY WANT TO HIRE AN AGENT, THEY SHOULD ASK THAT THE AGENT ABOUT INVENTORY AND WHAT'S GOING ON WITH INVENTORY BECAUSE IT IS THE BAROMETER OF REAL ESTATE JUST LIKE AS WE APPROACH HURRICANE SEASON, WE WATCH THE CHANGE IN BAROMETRIC PRESSURE. THAT KIND OF SIGNALS. THERE COULD BE A WEATHER PATTERN COMING OUR WAY. OUR INVENTORY IS THE SAME. TELL TALE. AND WHAT WE'RE SEEING IS INVENTORIES DROPPING, WHICH MEANS BUYERS ADVANTAGE MAY BE LEVELING OFF AND MAKING IT MORE OF A LEVEL PLAYING FIELD FOR THE SELLERS. >> DENNY, WHY IS THIS MARKET TIGHTENING? WHY IS THE INVENTORY DECREASING A LITTLE BIT. >> WELL, THAT'S A GREAT QUESTION. CAN HAPPEN A COUPLE OF DIFFERENT WAYS, JENNIFER. AND I THINK IT'S A COMBINATION OF BOTH. YOU'RE IN A MOMENT. IN FACT, SALES ARE UP FROM JANUARY THROUGH APRIL THIS YEAR, OVER LAST YEAR, UP 11, 12%. SO THERE ARE MORE THINGS BEING SOLD IN ALL CATEGORIES. THE OTHER THING AND THERE'S SOME SELLERS OUT THERE THAT ARE REALIZING THEY'RE NOT GOING TO GET THE NUMBERS THEY ONCE HAD DURING COVID. AND SO WHAT THEY'VE DONE IS JUST DECIDED NOT TO PUT THEIR HOME ON THE MARKET ARE TAKING IT OFF THE MARKET, WHICH CREATES LESS AND THEN TAUREAN. SO WHEN YOU LOOK AT THE INVENTORY NUMBERS OF THE 3 COUNTIES I UP HERE BASICALLY LAST YEAR. YOU'LL SEE THAT VERSUS THIS YEAR. INVENTORY IS DOWN AND WHAT WE WANT TO FOCUS ON IS IS THE RIGHT HAND COLUMN THERE. THAT INVENTORY IS DOWN IN SINGLE-FAMILY HOMES, CONDOS AND HIGH RISES, WHICH MEANS THAT THE THE THE MARKET IS IMPROVING BACK TOWARDS EQUILIBRIUM AND THE BUYERS HAVE HAD THE ADVANTAGE THE LAST 2 AND A HALF 3 YEARS NOW IT'S BECOMING A LEVEL PLAYING FIELD. THAT'S COLLIER COUNTY LEE COUNTY'S THE SAME THING. AND IF YOU REALLY LOOK AT, YOU KNOW, THE SEGMENT AND MARKET LOOK AT THE CHANGE BASICALLY IN HIGH-RISE CONDOS IN LEE COUNTY TREMENDOUS CHANGE DOWN 9 MONTHS. SO IT IS BECOMING MORE OF A LEVEL PLAYING FIELD THERE. AND OF COURSE, OUR NEIGHBOR TO THE NORTH, THEY DON'T REALLY HAVE A HIGH-RISE MARKET. YOU CAN SEE THE SAME TREND THERE AND IN CHARLOTTE COUNTY. SO BUYERS THAT HAVE THE SITTING ON THEIR HANDS WAITING FOR BUY ONE, GET ONE FREE SITUATION. I THINK THEY MISSED THE BOAT >> CAN YOU TALK ABOUT WHAT'S THE MEDIAN PRICE OF THE SINGLE-FAMILY HOMES RIGHT NOW IN SOUTHWEST FLORIDA. >> YOU'RE IN MY MIND. I ACTUALLY HAVE INFORMATION AS I MENTIONED A MINUTE AGO, SALES ARE UP ALMOST 11 12%. ALL 3 COUNTIES. THAT'S GOOD NEWS FOR REAL ESTATE AGENTS. GOOD NEWS FOR LENDERS. GOOD NEWS FOR SELLERS AND BUYERS ARE LOSING EITHER. BUT WHAT'S INTERESTING HERE, THERE'S A DIFFERENCE TO WHAT'S GOING ON IN THE MEDIAN SALES PRICE. LEE COUNTY AND CHARLOTTE COUNTY ARE KIND OF ALMOST THE SAME IN OUR MEDIAN. THERE HASN'T BEEN MUCH OF A CHANGE OVER THE LAST 12 MONTHS. NOW, COLLIER COUNTY ARE YET COLLIER COUNTY IS A DIFFERENT STORY. THEIR MEDIAN SALES PRICE IN APRIL, JUST LAST MONTH WAS $900,000. THAT'S THE BEST. IT'S BEEN SINCE THE BEGINNING OF THE 2005. AND THEIR ON ANOTHER STRONGER PUSH AND WITH A HIGHER PRICE RANGE. AND I THINK, YOU KNOW, THOSE MULTIMILLION DOLLAR HOMES AND ETCETERA THAT ARE SELLING DOWN THERE. SO FOR SALE AND 30 40 MILLION DOLLAR HOMES IS PULLING THAT MEDIAN SALES PRICE UP. SO THE MARKET IS A LITTLE HEALTHIER PRICE WISE IN COLLIER COUNTY THAT IT IS IN CHARLOTTE AND LEE. >> ALL RIGHT. THANK YOU SO MUCH FOR YOUR EXPERTISE TODAY. DENNY, THANKS.