Jacksonville Florida Real Estate Market Update

The summer months are coming to an end, and fall is (barely) in the air. I can talk to you about generic trends in summer and fall, but in reality, this fall could be very different, and that is because of the current state of the economy.

The fed has raised rates 11 (eleven!!!) times since last March in efforts to slow inflation. Rates are currently 7.29% for a 30 year conventional mortgage, and it's about time for them to come down. Many experts believe the drop in rates is coming soon, but no one can really say when. However, do not get your hopes up for 2’s or 3’s (or even 4’s) %, as those days are long gone.

So while rates will inevitably drop in the coming months, it is very important to remember that when they do, buyers are going to flood this already competitive market, which will drive prices up. I’ve said it before and I’ll say it again, buy now, refinance later.

The current median sales price in northeast Florida is $383k, which is a 3% drop since last month. This is a common trend at the end of the summer as the market cools off from its summer highs.

Here are some notable stats that compare August 2022 vs August 2023

• Inventory is up 10.3% compared to a year ago today! However, we are STILL in a shortage and STILL in a sellers market. There is currently a 2.7 months supply of inventory. To be a balanced market, there needs to be 4-6 months worth of inventory.

• The Home Affordability Index is at 66, which is a 1.5% increase year over year.

• 15% of homes sold over list price, which is a 2.3% decline year over year.

• The median days on market is 32 days, a 3% decrease year over year.

Right now is a great time to buy if you want to avoid bidding wars. Kids are back in school and families are settled in their current homes, so competition is low. If you are ready to start your home search in Jacksonville, or have any questions, reach out to me at liv@livinthe904.com, or at 904-874-0009.