“Markets, Markets, Markets”…… all are intertwined, the real estate, stock and simply the supply/demand. In January, the stock market started off lower than mid-month anticipates and prices in future Fed rate cuts, and the stock market started mounting new higher values to end the month at new market highs. All the existing market data point to lower inflation, treasury rates fall, then the Fed warns the market that the rate cuts will be delayed coming and these opposing viewpoints create fluctuations in the mortgage rates. History tells us that the Fed is always slow to react to the data, more cautionary to avoid recession, but the supply/demand factors will establish the true north for these factions even if the Fed is slow to react. As for real estate, the market is stable and will continue to gain in value throughout the year. Inventory pressures will remain in tack giving sellers a slight edge while the buyers will increase once the mortgage rates begin to drop. All these factors are pointing to a robust upcoming year in real estate.
As we look at the Plant City housing data, January 2024, our market area had 58 homes sell, 209 under contract and 211 available for sale. These numbers are better than year-over-year numbers, YOY and in line for a good start for the year. The housing inventory is running about 2.63 months supply, a 14% increase over the prior’s quarter average of 2.3 months supply. Our average days on market has slowed to 46.6 days compared to 36.8 days in the previous quarter.
In January 2024, the average sold price was $375,426 or an average price per SF of $197.73 compared to last quarter, we are basically flat in growth, slightly positive in percentage. New construction homes accounted for 28 units last month at an average price per SF of $183.37 discounted due to Buyer’s having to pay for all or the majority of closing costs in the transaction. As we look around our community, more and more new construction is being built and will become a bigger part of filling the inventory shortages in the near future.
The prevailing mortgage rates from Freddie Mac for the average 30-year-term loans have bounced around the past few weeks. Your individual rate will depend on many parameters, like income, debt, credit score, etc. While we finished the year at 6.61%, January was up to 6.64% and February is trending slightly higher, basically due to opposing views of the Fed, Treasury rates and Stock market opinions. These fluctuating rates will stabilize soon and then proceed lower towards the end of the year.
Many assume that sellers are not willing to trade in their sub-4 mortgage rates for a higher rate, but that’s not the reason why they sell. Life situations change, they want to be closer to family, need more space or time to downsize, want a better neighborhood, job change/relocation, or want to tap into built-up equity are reasons that outweigh the rate.
As for those buyers who purchased a home last year, please do not forget to file for your Homestead Exemption. The filing deadline is MARCH 1st, 2024. This exemption is a valuable tax benefit that can save homeowners up to $50,000 on their taxable value and cap future property tax increases to 3%. As Realtors® we see it all the time when a seller wasn’t aware of the exemption or missed the deadline to get an unpleasant surprise in November that their property taxes went up substantially. Be proactive so as not to be in this camp of homeowners, once the exemption is filed you don’t have to file again on the subject property.
If you are in the market to buy or sell your home, please seek an experienced professional Realtor® to assist you in this transaction process. There are too many consequences, going it alone without proper experienced representation. Get the real scoop on our market. If you have any questions, want a market value analysis of your home, or see what’s available to purchase, please reach out.
M Crawford
Crawford Group
Sales Snapshot
The following residential properties were a sample listed as sold on the Greater Tampa Realtors Association MLS in Jan 2023 for the Plant City Market Area.
The home at 1802 Whitehall St sold Jan 23 for $135,000. Built in 1953, it has 2 bedrooms, 1 bath and 744 square feet of living area.
The home at 704 E Calhoun St sold Jan 5 for $240,000. Built in 1946 it has 2 bedrooms, 1 bath and 858 square feet of living area.
The home at 6632 Durant Rd sold Jan 11 for $260,000. Built in 1954 it has 3 bedrooms, 2 bath and 1356 square feet of living area.
The home at 3407 Grove Blossom Ln sold Jan 17 for $281,000. Built in 2006, it has 3 bedrooms, 2 bath and 1719 square feet of living area.
The home at 3536 Marigold Patch Ct sold Jan 30 for $294,900. Built in 2023, it has 3 bedrooms, 2.5 bath and 1758 square feet of living area.
The home at 1659 Hazy Sea Dr sold Jan 31 for $324,345. Built in 2023, it has 3 bedrooms, 2 bath and 1560 square feet of living area.
The home at 3911 Creek Woods Dr sold Jan 4 for $340,000. Built in 1996, it has 3 bedrooms, 2 bath and 1478 square feet of living area.
The home at 1809 Via Chianti St sold Jan 26 for $364,000. Built in 2015, it has 3 bedrooms, 2 bath and 2342 square feet of living area.
The home 4903 Armor Rd sold Jan 4 for $370,000. Built in 1984, it has 3 bedrooms, 2 bath and 1398 square feet of living area.
The home at 1729 Brookstone Way sold Jan 12 for $399,900. Built in 2001, it has 3 bedrooms, 2 bath and 1875 square feet of living area.
The home at 6301 Bob Head Rd sold Jan 29 for $410,000. Built in 1979, it has 3 bedrooms, 2 bath and 1296 square feet of living area.
The home at 3708 Alafia Creek St sold Jan 24 for $450,000. Built in 2018, it has 3 bedrooms, 2 bath and 1852 square feet of living area.
The home at 3204 Alcott Ave sold Jan 10 for $485,000. Built in 1994, it has 4 bedrooms, 2.5 bath and 2294 square feet of living area.
The home at 3819 N Maryland Ave sold Jan 10 for $547,100. Built in 2023, it has 5 bedrooms, 4.5 bath and 3416 square feet of living area.
The home at 2702 W State Road 60 sold Jan 5 for $875,000. Built in 1973, it has 4 bedrooms, 3 bath and 2346 square feet of living area.
The home at 8505 Alafia Hills Dr sold Jan 23 for $1,270,000. Built in 2023, it has 5 bedrooms, 4.5 bath and 3958 square feet of living area.