As 2020 draws to a close we continue to face and overcome the many challenges that have confronted us over the past seven months. However, the silver lining in the 2020 cloud is a stable and steady real estate market in the majority of the country. This is evidenced most clearly in Florida. The market statistics from November in St. Johns County Florida continue on a healthy course, with a slight decrease in the number of closed sales and a slight decrease in the number of properties listed for sale over last month.
St. Johns County Real Estate Market Remains Active
St. Johns County Florida has been identified as the second fastest growing county in the United States. A summary of the real estate market activity from November in St. Johns County/St. Augustine Florida had slight variances over the statics of October 2020. The average list price for single family homes in November was $413,484, from October’s average of $394,113. Sold prices decreased slightly as November averaged $336,500 compared to October’s $340,306. Additional statics indicate a strong and steady real estate market including the number of day a home remained on the market before selling averaged out to 73. There was a slight decrease over last month in the number of closed sales from 477 to 443, as well as a decease in active listings from 437 to 352. The most impressive statistic was the average sold price to list price ratio was 97.2%.
St. Johns County Inventory Still Remains Low
The law of supply and demand is most prevalent in St. Johns County Florida, for both residential and rental properties. As inventory remains low, home seller’s are experiencing a 31.5% of available homes sell in one month. As stated previously interest rates remain low and home buyers have an advantage of being able to buy “more house” for less money. However, there are not as many properties from which to choose. Home buyers must be prepared, organized and ready to make a decision quicker than in days past. Normally, as the inventory of homes for sale decreases and a decrease in sold properties, the prices for those homes should decrease. This held true in November.
What Higher Prices Mean for Sellers
How long a market of limited inventory will last has not been determined. Home sellers can and will continue to benefit from the law of supply and demand. If a home sellers has made the decision to sell, now is the time. Even with the rapid growth of new construction and development, we are still seeing a preference of established home sales over new construction in St. Johns county. Home seller will continue to see desirable profit margins on the sale of their property.
How a Lack of Inventory Effects Home Buyers
A lack of inventory creates a very completive environment for home buyers. Time is of the essence. Home buyers must be prepared, organized, and resolute. With continued low interest rates now is the best time to begin the process of home buying. The home buying process is tedious and patience is required. Being prepared is the best plan for the successful purchase of your new home.
Why It Is Important for Home Buyers and Sellers to Seek the Help of a Professional REALTOR
The December market update indicates a “seller’s market” by industry standards, and for sale by owners (FSBO) are experiencing increased activity. However, we caution home seller, it is still in your best interest to seek the services of a Realtor. Although the market in St. Johns county is active, due diligence must still be given as not to “leave money on the closing table”. On-line computer generated home analysis programs use algorithms with out the human component when analyzing home values. These analysis can be misleading and produce results indicating a less than actual “list price”. For home buyers, the benefit of using a real estate professional can save you time, money, and disappointment. With interest rates continuing to remain historically low, you have greater purchase power, however the process of buying a home includes many steps from preview to purchase. A professional Realtors will guide you through the home buying process, obtaining the best possible purchase for your budget.
Whether you are looking to buy or sell, First Coast Realty would welcome the opportunity to earn your business. Feel free to reach out to us on Facebook or Twitter and we would be happy to assist you in getting the ball rolling. Or, to talk to a qualified, experienced agent call/text today 904-494-8408 or email info@firstcoastrealtyinc.com
About the Authors: The above article "Market Snapshot, What You Need to Know-November 2020" was provided by Broker and Broker Associate Gene Johnson and Libby Johnson with First Coast Realty Inc. They have been longtime St. Augustine residents and have been successful real estate agents in the area for over 25 years. They share their knowledge and expertise with real estate consumers form residential real estate, investment and property management. They serve St. Augustine, Palm Coast, Palatka, and Jacksonville areas.