Looking to buy or sell properties? Real estate expert Ahmed Elbatrawy breaks down some of the most important trends.
Real estate markets are hotter now than they have been in many years. This is especially true in Florida. If you’re looking to move to Central Florida, or already live in the region and want to understand local real estate trends, then you need to check out what Ahmed Elbatrawy has to say.
“Real estate is vital for families, organizations, investors and other parties too,” Ahmed Elbatrawy points out. “Real estate is also typically quite expensive and marks a major investment for most. These factors make it especially important to study and understand trends.”
Price is obviously an important factor. In Orlando, median home prices rose to approximately $340,000 in December, up more than $60,000 from December 2020. Prices are now at record highs and could reach even greater heights.
“It’s pretty obvious that prices are on the rise,” Ahmed Elbatrawy says. “Housing prices, among other factors are spurring inflation and right now it’s a seller’s market. Not only might you get more for a home today, you may also close a sale within a matter of days rather than weeks.”
With prices at or near record highs, some folks may be tempted to sell off investment real estate. However, keep in mind that you’ll lose rent revenue streams. With rent prices also on the rise, many real estate investors are watching their wealth grow.
Also, with social distancing measures having largely been dismantled, many folks are now looking to take a vacation. Expect Disney, Universal Studios, and other attractions around Orlando and Central Florida to see high, perhaps even record breaking traffic. Anyone renting real estate to tourists and short-term guests may find favorable market conditions in the months ahead.
Buyers Must Act Quickly in Hot Central Florida Market
If you sell your home to cash in on record prices, keep in mind you may also pay record prices to acquire a new place to live. And not only are prices on the rise, but you’ll have to pull the trigger quickly. Right now, the average home in Orlando is going for about 1 percent below list price and hits pending in just 12 days. In total, homes are typically on the market for only about 30 days.
“Prices are far from the only factor right now,” Ahmed Elbatrawy argues, “time is also very important. If you don’t act quickly to acquire the property you want, you may miss the opportunity to purchase it all together.”
Inventories have also shrunk by nearly 50 percent, which may keep prices high and encourage quick sales. The University of Central Florida released a report estimating that there were 179,000 housing starts in 2021 and that 2022 will see about 160,000 housing starts. Rapid construction could cool markets down a bit but so far most indicators suggest 2022 will see brisk sales.
“It’s impossible to predict the future so whether you’re in the market for a home or are a realtor, it’s smart to pay close attention to indicators,” Ahmed Elbatrawy explains. “The right insights may protect your finances and family.”
So make sure you keep all of the above in mind when considering real estate in Central Florida. Whether as a real estate investor, realtor, or humble customer, it’s wise to pay close attention to emerging market trends. Knowledge is power and the right insights now could save you from headaches and heartbreak later.