Business Monday

Broward bouyed by stronger housing market

Nationwide, pending home sales have risen in four of the past five months. In Broward County, we see a similar model of confidence in the housing market. As home sales continue to creep up steadily, we find more confident buyers that, in turn, give hope to those who are looking to sell their homes. This symbiotic relationship between our community’s buyers and sellers is the ultimate key to unlocking affordable home options in Broward County.

As we know, Broward County housing is as diverse as the families and individuals that make it up. To fill the county’s varied needs, Broward needs a constant flow of choices ranging from multimillion dollar beachfront mansions to affordable townhomes and condominiums.

In the latest housing statistics, for the month of July 2014, Broward Realtors saw sellers receive an average of 94 percent of the original asking price for single-family homes. This means buyers are confident their new homes will hold their value into the future — a benefit for sellers, buyers and the region in general.

In those same housing statistics, we see another key number — median days on market — trending in a positive direction. In Broward, the median days on the market was 37, meaning that, on average, homes will sell in a little over a month. That indicates a healthy market of motivated home buyers that, in turn, encourage current homeowners to put their homes up for sale.

Just as risky mortgages years ago led to the housing market downturn, Americans have called for a return to safe, sensible underwriting standards. These standards are reinforced by the steady rise in the number of home sales — and prices — that we have seen over the past several years. Distressed sales such as foreclosures and short sales accounted only for 9 percent of home sales nationwide in July of 2014. Compare that to just one year ago, when distressed sales accounted for 15 percent of nationwide sales.

Purchasing a home is one of life’s biggest milestones. For the community to grow and prosper, would-be homeowners need a choice of homes and locations, and knowledgeable guides to help them clearly understand their options. Affordable housing is more easily attained through working with a realty agent who understands the local market and can negotiate on the buyers’ and sellers’ behalf. With so many homes now trading hands, that’s more than a full-time job.

Marnie E. Allen is managing broker and general manager of RE/MAX Preferred.

Broward County single-family home market summary, July 2014

July 2014

July 2013

Percentage change

Closed sales

1,516

1,471

3.1%

Cash sales

523

582

-10.1%

New pending sales

1,854

1,834

1.1%

New listings

2,523

2,158

16.9%

Median sale price

$285,000

$276,000

3.3%

Average sale price

$350,138

$336,710

4.0%

Median days on market

37

25

48%

Ave. percent of original list price received

94.6%

96.4%

-1.9%

Pending inventory

4,516

4,963

-9.0%

Inventory (active listings)

6,252

4,270

46.4%

Months supply of inventory

5

3.4

45.5%

Greater Fort Lauderdale Realtors

Broward County townhouse and condo market summary, July 2014

July 2014

July 2013

Percentage change

Closed sales

1,420

1,529

-7.1%

Cash sales

981

1,173

-16.4%

New pending sales

1,803

1,959

-8.0%

New listings

2,518

2,357

6.8%

Median sale price

$128,000

$108,500

18.0%

Average sale price

$167,771

$156,314

7.3%

Median days on market

48

36

33.3%

Ave. percent of original list price received

92.6%

95.4%

-2.9%

Pending inventory

3,858

4,813

-19.8%

Inventory (active listings)

7,986

5,980

33.5%

Months supply of inventory

5.9

4.3

36.8%

Greater Fort Lauderdale Realtors

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