I’m going on record here with the statement that I believe Lakeland real estate prices will go up this fall. I say this based on trends I’ve been following of late – not the least of which were this past Tuesday’s housing numbers – which blew away economists expectations.
Per the National Association of Realtors®, the Pending Home Sales Index posted its 6th consecutive monthly gain for July. This is landmark stuff, folks. In fact, looking back from this past January, the Pending Home Sales Index is now at its highest levels in more than 2 years.
Pending Home Sales – Defined
Lakeland real estate deals that are classified as “pending home sales” are homes that are under contract to sell, but have not yet closed. Though these homes have not actually sold, tracking them does allow us to see that nearly 80% of homes under contract close within 2 months – with many more closing in months 3 and 4.
Lakeland home buyers — take note. When the Pending Home Sales Index rises, it means that market activity has picked up. This can lead to any one, or a combination, of the following:
- Multiple home offers and/or bidding scenarios
- Loss of the “buyer” advantage
- Increased home sales prices with fewer seller concessions – for example, sellers will be less apt to pitch in to cover closing costs
So, consider this your Lakeland Home Buyer Pricing Alert. If you’re considering a home purchase within the next several months, expect the recent uptick in Pending Home Sales to lead to an uptick in closed sales, too. This, I believe, will lead to higher home prices as well. We’re already seeing it – per Case-Shiller – as prices are on the upswing.