If the real estate market in Clermont, Florida, does not favor your side of the real estate transaction, it may behoove you to pause or delay your real estate journey. Even when the market is fairly neutral, it will still likely lean to one side or the other. But, is Clermont a buyer’s or seller’s market?
To get the most out of your real estate journey, it is advisable to wait until the market is leaning in your direction unless you have tight time restraints that require you to act immediately, regardless of the market conditions.
Over the last few years, our realtors at Your Home Sold Guaranteed Realty – Laura Peterson Team have seen the real estate market favoring home sellers. Inventory was low, demand was high, and home buyers were frequently going over their budgets to make an attractive offer to home sellers. However, things have recently started to change.
According to the National Association of Realtors and their recent reports, the real estate market has begun to cool to the point that pending home sales around the country dropped in the last few months. For those who are looking to buy or sell a home right now, this could have a severe effect on the outcome of your transaction.
Home Buyer’s Market and a Home Seller’s Market: What’s the Difference?
The first thing that you need to know and understand is the difference between a buyer’s market and a seller’s market. It all comes down to a basic concept of economics: supply and demand. Depending on the circumstances of the area in which you live, supply and demand can vary, and this will be the determining factor when it comes to your ability to buy or sell a home successfully.
Home Buyer’s Market
When the real estate market is in favor of home buyers, the primary factor that determines this is the supply of homes in the area. If it is a home buyer’s market, that means the supply of homes outweighs the demand for them. With a surplus of homes, buyers will have their choice of what they consider the perfect house for their families and can usually get a great deal without going over their budgets or paying the full asking price of the home sellers.
Home Seller’s Market
Conversely, the opposite is true for a home seller’s market. In this case, the supply of homes is low but the demand for them is very high. This gives sellers the advantage, and they will often end up with multiple offers for their homes, all over the asking price.
Knowing the current state of the real estate market is critical for anyone thinking about buying or selling a home in Clermont, FL. You will need to know if you will be at an advantage when it comes to making an offer, negotiating, and closing the deal.
Is Clermont a Home Buyer’s or Home Seller’s Market?
With the basics of the housing market covered, we can not get to the specifics of the current market in your area. Let us answer the question that is most pressing to you: is Clermont a buyer’s or seller’s market? According to Rocket Homes, the real estate market in Clermont continues to favor the home seller. The cost of homes in the area has risen 23.1% compared to the same month last year (2021).
However, other data for the current market indicates that a change is coming, and it will eventually favor the home buyer. Compared to October 2021, the number of days that homes are on the market has increased 130% from 15 days to 36 days, on average. Even though homes are still selling fairly quickly (56% of homes were sold in under 30 days), the trend is still on the rise from the previous year.
Additionally, 65.1% of homes were sold below asking price, the number of homes sold has decreased by 6.5%, and inventory has also only decreased from September to October 2022 by 6.5%.
This specific data shows that the real estate market in Clermont is starting to lean in favor of the home buyers rather than the home sellers. The change is likely stemming from the rising interest rates as well as the Fed’s recent mortgage rate hikes. Over the last few months, the Fed has pushed these rates to over 7% as an attempt to moderate the rising inflation. Because of these hikes, many home buyers have decided to put their real estate transactions on hold until the rates decrease and make monthly mortgage payments more affordable.
Get the Information You Need to Buy or Sell a Home in Clermont, Florida?
As a home seller or home buyer, it is important that you make sure the current real estate market is in your favor before you list your home or make an offer. With the current trends in the industry, right now is a great time for home sellers to maximize the profit on their investments but home buyers should also be paying close attention to those changes.
If you are ready to buy or sell a home in Champions Gate, FL, be sure to contact Your Home Sold Guaranteed Realty – Laura Peterson Team to get all of the details you need to start your real estate journey. Our realtors are here to make sure you are able to sell your home fast and get the highest possible price, and we can also ensure that home buyers are able to get the best price on the home of their dreams.
We are waiting to hear from you and are excited to assist you with everything that needs to be done to finish your real estate transaction. Call us at (407) 566-2555 to get started!