Despite the fact that the state is clearly an attractive place to live, in 2023 the situation with buying and selling housing is different here. Mortgage rates have skyrocketed, and real estate doesn't look so sunny anymore as homes stay on the market longer.
Florida Housing Market Trends and Statistics
The average sale price in April 2023 was $410,000. This is the same indicator as a year earlier, and slightly higher than the national average.
List sale price: back in April 2022, buyers usually paid the full 100% of the list price of the house. But in April 2023, buyers paid about 96.7% of the original list price — a sign that buyers are getting more leverage in the market.
The average time to conclude a contract for a single-family home in April was 31 days, which is significantly more than the typical 8-day period a year earlier.
Cash transactions: Of the 23,334 single-family homes sold in April, almost 7,000 were purchased for cash.
Closing costs: according to a ClosingCorp study, the average closing costs in the state are 2.3% of the purchase price. Thus, when selling an object for $400,000, this is an additional cost of $9,200. This includes: insurance, taxes, property valuation fees and much more.
In the current situation, the lack of available properties on the market is a power to the seller, but rising mortgage rates mean fewer buyers are able to purchase this property, and an increase in the number of transactions at a price below the asking price means that buyers do have some leverage.