Chris here, the data analyst in the back office of Viewpoint Value Realty just reporting in on different market area statistics & macro (political) environment impacts on our local homes!
Lets start with some basic MLS statistics for the following randomly selected communities (if you'd like to search the MLS, please click here! Yes, our state-of-the-art webpage pulls in the MLS for your convenience!)
Panther Trace, Riverview, FL: Homes have appreciated 8.72% over the past 12 months! Over the past 6 months, 2% appreciation was noted. The current absorption rate for the community (how quickly homes are bought) is 22.01%. This basically means if there were no more houses listed starting today, it would probably take about 4 months to clear out all the listings currently on the market. Homes listed between 100-200k typically sell twice as fast as higher priced homes in this community - the absorption drops from 4 months to 2!
So what's this information telling us? Homes are still selling quickly though with appreciation slowing, we may be hitting a peak soon. While the stock market continues to climb and job creation in the area continues to improve, we may still see months of some appreciation but now is a wonderful opportunity to sell!! Ask our agent Sherry for your Riverview needs!
Walden Lake, Plant City, FL - Home appreciation is 7.45% over the past 12 months. Over the past 6 months, 2.8% appreciation came from the past 6 months. The absorption rate of Walden Lakes is 30.73% absorption rate. It would take 3.3 months to completely wipe out the inventory in the community if no more houses were listed.
In the Political world, you hear "the Federal Fund rates" or the "Interest rates" are being raised by the government. Does anyone really understand what this means? We do! To start - this is NOT a direct mortgage rate impact, but MAY trickle down. This is the interest rate banks are charged to lend money to each other. Basically, a 'federal fund rate increase' (which is expected to be increased by our government in upcoming year(s) ) is costing the banks more money to lend between each other. This cost doesn't directly hit the mortgage market, but expenses eventually do get passed on to the consumer (you!). The interest rate on mortgages have increased a bit since September (3.4~ to 4.1% - But please note these rates change DAILY!). These are still very low rates compared to historical prices - such as the 6% we were paying at the market bubble in 2006, or the 8% we were paying 17 years ago in 2000! As a buyer, now is a great time to lock in a low interest rate before they climb.
Stay tuned to the next Blog - your community stats may be next!