SWFL realtor says home prices are going to keep climbing

If you’re looking to buy a home in the sunshine state, you will need to act fast to get a good price. The average cost for a home in Florida has spiked dramatically, and the prices are not expected to drop anytime soon.

The primary drivers for the increasing prices are high demand and low inventory. This problem isn’t something new, though. For nearly two years, the housing market has been highly competitive.

Supply chain issues and construction delays aren’t helping bring down the high prices either. The average cost for a home in Florida is now more than $300,000. The average listing price for a home has spiked 26% since March of 2020 and the market’s inventory has been down 62% since 2020.

Marcus Larrea, with Palm Paradise Real Estate, said now is the time to buy because prices will only get higher.

“I do not foresee any price decreases happening in the next several months, if not the next few years. If you look at it proportionately for other markets across the country, Florida is still a good bargain right now comparing apples to apples for what you can get in Florida compared to other parts of the country,” said Larrea.

Larrea said this is not like the 2008 market crash, so it may never come if you are a buyer concerned about a potential dip. While other experts predict a bubble to burst, Larrea believes this is not another housing bubble.

“Since that’s happened, banks have taken great steps to assure that those same things that helped create that situation do not occur. It has become a lot more difficult to get a mortgage now because of standards that have been put in place since the bubble burst in 2008,” said Larrea.

Larrea said houses are only on the market for about four to seven days before they are under contract, so be ready to move fast if you are looking to buy.