2023: What Happened in Real Estate and Why It’s Important to YOU!

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Time for the Annual “Just the Stats, Ma’am”

Gail PeltoBy Gail Pelto

2023—another one bites the dust and on to a new, exciting year! (And Thank Goodness for THAT!) So, let’s recap the residential real estate market stats for 2023 compared to 2022:

• In 2023 the number of SOLD Listings was down by 21.6% % over prior year.
• In 2023 the Median Sales Price was down by 5.4% over prior year.
• In 2023 the Number of New Listings was up by 1.8% over prior year.
• In 2023 March had the highest number of sales followed by June and April.
• The Median Sales Price was $420,000 in 2022 and in 2023 it was $397,150.
• Average Cumulative Days on Market (length of time from listing to under contract) was 72 in 2023 compared to 39 in 2022.
• Average Sold to List Price was 96.33% in 2023 and 97.83% in 2022.
• In 2023 we averaged 4.41 months of inventory; in 2022 we averaged 2.43 months of inventory. Five months or less is considered a sellers’ market; over five months is considered a buyers’ market. Note that the last two months of 2023 inventory was above five months.
• The current Active Listings have been on market 79 days on average—the 2023 sold listings were on market an average of 72 days.

Keep in mind that these stats are for ALL residential sales in the Emerald Coast Association of Realtors (which is basically everything between Panama City Beach and Pensacola) through December 2023 and depending on the exact area where you are selling or buying, the numbers may change.

What does this all mean to YOU?

• The housing inventory has grown to more “normal” pre-pandemic levels.
• If you are on the market for sale now and you’ve been on market for more than 72 days, it’s time to review why and think about some changes…maybe it’s because of the condition? Or maybe it’s the price? Talk to your Real Estate Agent.
• If your property is priced correctly, you should expect to sell at about 96% of list price.
• If you are looking to sell in 2024, work on getting your home on the market NOW! Those high sales months are right around the corner! It’s time to interview to make sure you get the right agent. Don’t know how to interview agents? Reach out to me. I’ll give you some pointers. Call 850.374.0454 or email me at Gail.Pelto@KW.com.
• If you’re looking to buy, BUY NOW. There’s not too many buyers in January and February and you might have a good chance at finding a motivated seller! AND you can take advantage of high inventory and lowering interest rates. Note that if interest rates fall more, you can refinance after six months.
• If you’re looking to add to or start an investment property portfolio, NOW IS THE TIME! Cash-out refinancing may be a great way to start! Purchase the property and have the renters pay you. And, if you have one, have them pay the mortgage too! Need to speak to a lender? Call me and I can help.
• Need an agent? I can help. call me at 850.374.0454 or email to Gail.Pelto@KW.com.

2024 predictions from the National Association of Realtors:

• NAR predicts 4.71 million existing-home sales in 2024, up 13.5% from 4.1 million anticipated in 2023.
• Annual median home prices are expected to remain largely unchanged at the national level in 2024, for the second straight year, modestly improving affordability from rising income.

Know the stats. More importantly, make sure your real estate agent knows the stats (just sayin’)!

Cheers to Your Healthy, Prosperous and Joyful New Year! Call me if you need some help.

Gail Pelto is a full-time real estate agent with Keller Williams and a board member with both the Mattie Kelly Arts Foundation and The Rotary Club. If you have questions about real estate, call her! 850.374.0454