The year 2020 will certainly be one to remember, with new realities and norms that changed the way we live. This year’s real estate market is certainly no exception to that shift, with historic highlights continuing to break records and challenge what many thought possible in the housing market here in Jacksonville and Pensacola. Here’s a look at four key areas that are fundamentally defining the market this year.
Housing Market Recovery
The economy was intentionally put on pause this spring in response to the COVID-19 health crisis. Many aspects of the common real estate transaction were placed on hold at the same time. Thankfully, technology and innovation helped the industry power forward, and business gradually ramped back up as shelter-in-place orders were lifted.
The result? Total transformation of the market from rock-bottom lows to exceptional highs. Today, the housing recovery in North Florida, particularly in Jacksonville and Pensacola, is being called truly remarkable by many experts and is far exceeding expectations. From pending home sales to purchase applications, buyers are back in business, and homes are selling – fast.
According to the Housing Market Recovery Index by realtor.com, the market has surpassed pre-pandemic levels and has regained the strength we remember from February of this year.
We at Navy to Navy are experiencing exponential growth in the fourth quarter for both sales and applications. We are here to answer any questions you might have about the Jacksonville and Pensacola housing market.
Record-Breaking Mortgage Rates
Historically low mortgage rates are another 2020 game-changer. Today’s low rate is one of the big motivating factors bringing buyers back into the market. The average rate reached an all-time low on multiple occasions this year, and it continues to hover in record-low territory.
When rates are this low, buyers have a huge opportunity to get more for their money when purchasing a home, something many are eager to find while continuing to spend more time than expected at home this year and likely beyond.
This is an excellent time to stop in at our Navy to Navy Homes office and discover the amazing mortgage options available here in North Florida.
Continued Home Price Appreciation
One of the key drivers of home price appreciation this year is historically low inventory. Inventory was low going into the pandemic, and it is still sitting well below the level needed for a normal market. Although sellers are slowly making their way back into the game, buyers are scooping up homes faster than they’re coming up for sale.
Inventory in Jacksonville and Pensacola is tight. A short meeting at our Navy to Navy office can help ease the mortgage process. We can help you to be pre-approved for a mortgage. That way, when you find your dream home, you are ready to jump on it without delays.
This is a classic supply and demand scenario, forcing home prices to rise. Selling something when there is a higher demand for what is available naturally bumps up the price. If you’re ready to sell your house today, this may be the optimal time to make your move. Mario Gonzalez of Navy to Navy Homes says, “The pandemic has not stopped the consistent home price growth we have witnessed in recent years.”
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Increasing Affordability
Even as home prices continue to rise, affordability is working in favor of today’s homebuyers. According to many experts, rates this low are off-setting rising home prices, which increases buyer purchasing power – an opportunity not to be missed, especially if your family’s needs have changed. If you now need space for a home office, gym, virtual classroom, and more, it may be time to reconsider your current house.
According to Mortgage News Daily:
“Those shopping for a home can afford about 10 percent more home than they could have one year ago while keeping their monthly payment unchanged. This translates into nearly $32,000 more buying power.”
We Care About Your Success!
At Navy to Navy Homes, we are committed to giving back. Did you know that if you are Military, Veteran, First Responder, Medical Field Worker, Teacher or Clergy and you BUY or SELL a home with Navy to Navy Homes, we will give you 25% cash back from our commission?
For details go to www.904Heroes.com.
Bottom Line
With mortgage rates hitting historic lows, home prices appreciating, affordability rising, and the market recovering like no other, 2020 has been quite a year for real estate –in Jacksonville and Pensacola. It is perhaps the strongest marketwe’ve ever seen before and one we may never see again. At Navy to Navy Homes, we are prepared to help you with local lenders, real estate questions, and availability of inventory.
Navy to Navy Homes
4540 Southside Blvd, Suite 702
Jacksonville, FL 32216
904-900-4766
