How is The 2014 Real Estate Market Trend Looking
As we enter the month of March, early market statistics for 2014 are beginning to trickle in. Two of the most comprehensive national publications that track and interpret trends in the real estate market are CoreLogic and the S&P Case-Shiller home price index. Here is a quick look at early 2014 trends:
Nationally, home prices rose in January after a 3 month decline. Over the last 12 months, home prices have risen 12%, the biggest year over year gain in more than 8 years. We have certainly seen a jump in home prices here along the 30A corridor. The state of Florida has experienced the 3rd highest price appreciation (excluding distressed sales) in the nation.
Due to the huge drop in prices we experienced from 2005 through 2011 (almost unprecedented) it is a normal function of any market to experience a short term “bounce” when that market begins to turn around. Here along the beach, we have seen lot prices increase in some developments by as much as 50% over the past year with home prices rising by as much as 20%. We expect these increases to moderate this year which will be good news. Increases like this are not sustainable and create instability over the long term. A healthy real estate market will see inventories leveling off and appreciations at 3% to 5%. Early Spring interest is strong once again this year on 30A. Here at Homes On 30A, we are poised to have another great year.