What’s great news for sellers, is a performance review for buyers.
As the coronavirus (COVID-19) pandemic sweeps the world with its effects, it isn’t leaving real estate markets without its touch of economic challenges. During this struggle, the prime real estate region of Southwest Florida has felt a new wave of buyer interest.
The Southwest Florida market has been one of the most affected regions in terms of real estate activity during the COVID-19 outbreak. In fact, the coronavirus effects on Florida real estate have been so noticeable that sellers started to rethink their decision to put listings on the market. But during the past few weeks, the market has taken a turn for the better.
Southwest Florida Real Estate Sees a New Sign of Hope
In early April, showings declined to a staggering 72 percent as compared to the same time last year. However, after the initial period of struggle, the Southwest Florida real estate activity bounced back through a newfound appreciation for virtual showings and renewed buyer attention.
Since their lowpoint from early April, the showings started to pick up again and gradually moved to a 51 percent increase in the week ending April 19. While the market is still in a downturn as compared to last year, it is in a good and stable shape.
This is especially true when you consider the increased number of closed contracts in the same period of time. In the week ending April 19, 417 contracts were closed on Southwest Florida homes, as compared to 294 closed contracts in the past week.
The Regional Market is Getting Competitive Again
With a large inventory and consistent closings, South Florida is known as the crown jewel of the Sunshine State’s real estate market. But the COVID-19 outbreak had clearly crumbled the sector’s movements in the past few weeks.
However, the statistics defined above show that the coronavirus effects on Florida real estate have passed for the time being. The market is currently moving on an upwards trend, and realtors are focused on getting the most out of this momentum.
Some realtors have improved their virtual showing equipment with high quality cameras that provide 360 degree views, while others have doubled down on using Zoom to entertain buyer questions. Most realtors have increased their online marketing investment, while others are focused on social media livestreams.
As buyers grow confident in their approach to close on desired listings, and sellers receive offers that fall near their asking price, it is safe to say that the Southwest Florida real estate activity has broken out of its dry spell for now.
This is great news for sellers, who had been struggling with the decision to entertain virtual showings amid tumultuous offers. But it is also a warning sign for buyers, who had been throwing out lowball offers on listings that would otherwise see an outpouring of interest. If you belong to the former group, it’s time to count those new offers. But if you identify with the latter, you should look into putting a competitive offer on your desired listing before someone else closes on it.