For the past couple of years we have seen the Lakewood Ranch real estate market turn around and turn around quick! All of sudden we started seeing multiple offers, bidding wars, homes in contract in just a couple of weeks and homes selling for close to or even above asking price.
However, there may be some signs that are now pointing to a slow down and possibly even a buyer’s market again.
Let’s take a closer look at the main zip code for Lakewood Ranch and the surrounding area of 34202…
While home prices are still up this February versus February of 2013 the number of homes sold has dropped considerably (by 30%) when comparing these two months. The good news for sellers is that average number of days on the market remains relatively low (96 days) and sellers are still getting on average 97% of asking price. However, the number that may indicate the most significant change and may spell big trouble for sellers is the huge increase in the overall number of active listings this February versus last. In the 34202 zip code there were a total of 193 listings in February of 2013 while in February 2014 there were 274…for a whopping increase of 41.97%
Unfortunately, that number doesn’t look much better in the surrounding zip codes. In the 34211 zip code, the zip code the covers quite a bit of new construction including Lakewood Ranch’s newest neighborhoods of Central Park and Esplanade, the number of active listings increased by 59.02% and just north of that in the 34212 zip code the increase was 27.17%.
So does this mean we are headed for another buyer’s market or possible even a bust…maybe, maybe not, there are certainly many factors that play into that equation, but certainly the number of active listings is something to pay attention to. The fact of the matter is the real estate market, like any other market, is all about supply and demand. When supply goes up…demand goes down….and of course, when demand goes down so will the prices.