September 2022 local sales and trends information courtesy of The Crawford Group.
Rant or rave, which side to take? Actually both. There is so much inconsistency in the headlines, which is usually a good number, like a drop in the unemployment rate, which is now atypical. The Federal Reserve, with rate hikes to reverse our inflationary growth, wants unemployment to rise, causing pain to individuals and families alike. The Fed rate hikes have a direct impact on mortgage rates. On Sept. 29, the average 30-year fixed rate topped 6.7 percent, in turn slowing the housing market. While this is not an exhaustive list of things to rant about and a simplistic view, it is the narrative for the real estate market and a few things to rave about.
No, the real estate market is not collapsing but is reaching a more normal business environment. One of my biggest raves, which you’ll find in my posts, is securing an experienced agent to handle your real estate transaction. I can’t say it enough, inexperience with real estate will cost you time and money. Almost every day we get calls from agents asking the realtor to show the house to their clients because it’s too far to drive, or they don’t have a Suprakey, or real estate is their part-time job. What these agents don’t know: Relationships with customers, having the tools of the trade and understanding the details of the contract are part of their careers. With a positive rave as the market continues to normalize, many of these inexperienced agents will fold.
As ADOM (average days on the market) rises, both buyers and sellers will feel more comfortable with their pricing decision. For example: when a seller received several bids on the first day on the market, he always wondered whether he had underpriced, or on the other hand, if the buyer’s bid was accepted due to an increase, he would usually leave the table as they did thought they had bid too much, the win-win valuation between the parties was never established.
At the end of September, we ended the third quarter of the year with 222 homes sold, down 22 percent from the third quarter of last year. The median selling price was $375,671, a 21 percent increase over the prior year, and the ADOM more than doubled the time to close from 11.1 days to 23.6 days.
As we continue to look at Plant City’s housing data, our market area sold 52 homes in September 2022, down about 42 percent month-on-month, while the numbers were down 40 percent year-on-year and down 11 percent year-to-date, ouch.
The average selling price per square foot was $207.36, up 1.4 percent from last month but up 3.1 percent compared to the yearly average. The median selling price for September was $359,349, or a 1.8 percent increase from last month and a 0.5 percent decrease compared to the YTD average. Now it is difficult to define the trend line but it seems that our market peaked in May and is now slightly declining. One of the factors in the supply-demand model is that when mortgage interest rates rise, prices tend to become less important.
Active inventory was down this month but September supply rose slightly to 2.3 versus 2.29 in August. We are gaining ground on the balance of supply levels for 4-6 months.
Comparing month-to-month median prices, September ended with a median selling price of $342,995, up 0.9 percent from August and up 1.5 percent year-to-date. The Average Days in Market (ADOM) for September was 29.2 days, up 21 percent from last month.
What does the near future look like for our real estate market? Q4 – 2022, I believe we will see a decline in units sold for the quarter and for the year. The average selling price will remain flat or decrease slightly in the fourth quarter, but the year-over-year figures will show an increase of 18 to 20 percent compared to 2021. Hopefully mortgage lending rates will stabilize so that the growth rate for next year will be positive.
As always when you are in the market to buy or sell your home… seek out an experienced professional real estate agent to assist you through this transaction process. There are too many consequences to do it alone without proper representation. If you have any questions, would like a market value analysis of your home or just want to see what is available for purchase, please contact us.
M Crawford
Crawford Group
Sales Snapshot
The following residential properties were a sample sold in September 2022 in the Greater Tampa Realtors Association MLS for the Plant City market area.
The home at 1106 East MLK Blvd sold for $114,000 on September 14. Built in 1938, it features 3 bedrooms, 1 bath and 965 square feet of living space.
The home at 4631 Bethlehem Rd was sold on September 8 for $160,000. Built in 1972, it features 2 bedrooms, 2 bathrooms and 1008 square feet of living space.
The home at 1608 W Ball St sold for $210,000 on September 21. It was built in 1960 and has 3 bedrooms, 2 bathrooms and 1200 square feet of living space.
The home at 1404 E Laura St sold on September 9 for $247,000. Built in 2005, it features 3 bedrooms, 2 bathrooms and 1290 square feet of living space.
The home at 2713 Sparkman Rd sold for $295,000 on September 27. Built in 2003, it features 4 bedrooms, 2 bathrooms and 1976 square feet of living space.
The home at 1317 W Redbud St. sold on September 2 for $360,000. It was built in 1984 and has 2 bedrooms, 2 baths and 1388 square feet of living space.
The home at 5770 Harvey Tew Rd sold for $365,000 on September 20. Built in 1940, it features 3 bedrooms, 1.5 baths and 1818 square feet of living space.
The home at 3419 Silverstone Ct sold for $398,000 on September 2nd. Built in 1995, it features 3 bedrooms, 2 baths and 1822 square feet of living space.
The home at 708 Oakland Heights Ave sold for $425,000 on September 12. Built in 2007, it features 3 bedrooms, 2 baths and 1726 square feet of living space.
The house 2746 Walden Woods Dr. was sold on September 8 for $435,000. Built in 2011, it features 5 bedrooms, 3.5 baths and 2736 square feet of living space.
The home at 3403 Aul Country Pl sold for $490,000 on September 30. Built in 2002, it features 3 bedrooms, 2 bathrooms and 2392 square feet of living space.
The house at 3511 Ranchdale Dr. was sold on September 15 for $500,000. It was built in 2016 and has 4 bedrooms, 3 bathrooms and 2304 square feet of living space.
The home at 2919 Forest Hammock Dr sold on September 9 for $675,000. Built in 2001, it features 4 bedrooms, 3 bathrooms and 2624 square feet of living space.
The house at 3502 N Forbes Rd was sold on September 1 for $700,000. Built in 2006, it features 3 bedrooms, 2 bathrooms and 3057 square feet of living space.
The home at 7816 Turkey Creek Rd sold for $730,000 on September 27. Built in 1995, it features 3 bedrooms, 2.5 baths and 1655 square feet of living space.
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