Sellers Need Patience As Buyers Hesitate
Low buyer traffic has been the number one issue since the start of summer here in South Florida. Whether buyers are being shy because of hurricanes, the uncertainty of future prices, or because they simply have too much to choose from, sellers are not happy.
With over 12,000 homes available in the North and Central Palm Beach County area, and now averaging less than 500 sold per month, many sellers are looking at extended marketing time.
Even some attractive price reductions have not helped, and for buyers, there is abundant choice, many good deals available, and interest rates remain low. However, costs of insurance and taxes are making news as they continue to escalate and become a major part of monthly housing expenses for buyers.
What are buyers looking for?
There is much higher interest in homes priced under $300,000 or above $500,000. Generally, homes with special features such as pools, water frontage or views, larger than average lots, or updated kitchens are receiving more attention.
Buyers are not necessarily willing to pay more for these items, and many buyers continue to look at homes until they find the “perfect†home.
Homes that are priced higher than similar homes in the area, that need some cosmetic work such as paint or carpets, or have less desirable lot characteristics are getting fewer showings and will take longer, on average, to sell.