Market Changes in Northeast Florida: What It Means for You

You can’t go too far without seeing a headline, overhearing a conversation, or getting a notification in your inbox that the market is changing. All over the country there are shifts taking place and Northeast Florida is no exception. Our team works with buyers and sellers in Jacksonville’s Beaches, Ponte Vedra Beach, Amelia Island, Fernandina Beach, Nocatee, Orange Park, Middleburg, Green Cove Springs, and more. We are certainly feeling the shift and we want to help you navigate it. Whether you are looking to buy, sell, become a real estate agent, or just keep your head above the water during the change in the market, we have some tips to share with you in this post. 

What does this mean for buyers?

Inventory quantity is undergoing a shift in the Northeast Florida real estate market. Inventory has been increasing for single family residences in NE Florida since February of this year, and there was a 17.4% increase in active inventory just from May 2022 to June 2022. Along with more inventory on the market, buyers have more time to visit a home and submit an offer before it goes off the market. The current median days on market for single family residences in NE Florida is 19 days, which is up 46.2% since June of 2021. With the customers we assist, we are seeing less sellers sticking to a sell-as-is agreement and seller concessions are included far more often than our team experienced at this time last year. We recommend finding an experienced Realtor to guide you through this still challenging market, and taking advantage of the greater availability of property in NE Florida. The concern for many buyers is the interest rate they may receive. One solution to help process the cost is to look at the monthly payment, the bottom line each month, and work backwards to see what price range would work best for you. You can also consider refinancing and special home loan programs; our agents would be happy to explain these possibilities to you. 

What does this mean for sellers?

Sellers: keep in mind that the market is changing for you too. In February 2022, there were 2,741 single family residences active on the market in NE Florida. As of June 2022 the active inventory is at 4,109 listings. Additionally, the percentage of single family residences that closed over list price in NE Florida has decreased 8.7% from May to June of this year. The decision to sell may be tough, but we encourage you to take a look at the risks versus the rewards in every situation. Before, when the prices trended upward at such a rapid pace, it seemed like a small risk to hold onto almost any property. However, as we see the market shift, it is important to reassess your future risk and put it up against the future reward. Consider how much value your home has gained. Now look at that amount and decide if you want to “cash out” now and avoid the risk of a changing market, or if it is worth it to you to continue to hold even if there is a greater risk associated with holding. We are still seeing the median sales prices on single family residences rise in Northeast Florida and this has been the trend since January 2022, so you may still consider hanging onto your property. The main advice we have for sellers is to reconsider the market and your risks versus rewards. No matter what option you choose, make sure you do your due diligence in market research during this time to make the most informed decision. You can always reach out to our team to have a market specialist talk you through the changes we are seeing.

What does this mean for real estate agents?

Some solo agents will struggle to keep their business going throughout this market shift. The market is just not the same as it was in the past year and a half and we are seeing an increasing amount of customers care more about the resources and strategies we can provide than the personality of the agent. Buyers and sellers know it is a tough market and they are looking for a high level of skill to get the job done. If you are feeling anxious about being able to provide skill and resources to your customers at the highest level, it may be the right time to join a team. Teams provide a shelter for agents and can help agents continue their business in uncertain times. Through coaching, collective skill & credibility, plentiful resources, and team provided leads, teams offer a level of security that is harder to find as a solo agent. Not to mention, culture can be a huge motivating factor to get you through the rougher parts of your career. With like-minded individuals by your side, you can collaborate with each other daily and find motivation through team camaraderie and friendships. By surrounding yourself with other Realtors who will help hold you accountable, cheer you on, and offer their knowledge up as a resource, you can have the support you need to stay resilient through slow months as you push towards your personal and professional goals.

So which category do you fall into? Don’t get caught up in the fear surrounding uncertainty. Rather, see the market change as a pivotal moment to make real estate decisions that will benefit you and your family in the long run, or a moment in your real estate career to take the jump into a new environment and push your business to the next level. Use us, The Rocco Group, as a resource by calling or texting us at 904.204.9494. We are happy to answer questions about the market and about the process of joining a team! We look forward to speaking with you soon.


Statistics Provided By:
- Source: Northeast Florida Association of REALTORS®.