The breakneck pace of market changes has even the most seasoned Realtors® experiencing whiplash. Just 12 months ago, homes were flying off the market as soon as they were listed. Some sellers were unlocking massive equity, while buyers were getting into homes at historically low interest rates.

Fast forward to today when market conditions are starting to become vastly different. But how do you know if what you see in the field reflects a particular deal or if it points to a broader market trend? This is when you need data analysis to guide the way. This data is quickly and uniquely analyzed and displayed on the SunStats platform, a product FREE to all members of Florida Realtors®.

Data can tell a story, but you must know what to look for to get the entire picture. Key indicators like Active Inventory, Median Time to Sale and Median Sales Price illustrate the overall health and pace of the market.

Low inventory levels create competition among buyers who start waiving contingencies and placing higher bids to win, increasing the median sale price over time. In aggregate, when people start paying more than the asking price, the higher the median sale price will be. It’s a classic case of supply and demand — the less there is of something, the more expensive it will be. (**see figure 1)

After bottoming out in February 2022, active inventory has increased monthly. While the median sale prices are still high, the pace of growth has started to slow, perhaps an indication that more inventory is lessening the competition among buyers who can put more reasonable deals together. Economists also look to the increasing interest rates as a contributing factor for declining demand. (*see figure 2)

Then you must consider how long deals are taking to go from listed to closed. Before the pandemic, a typical single-family home in Florida took about 90 days to close. That all changed when inventory shrank, demand accelerated and buyers were looking to upgrade, take advantage of low interest rates or finally get out of rentals. This is a metric to continue to keep an eye on, particularly in deals where you’re representing a seller.

No two parts of Florida are the same, and neither are their real estate markets. Take some time to explore SunStats® (sunstats.floridarealtors.org — login required for this exclusive member benefit), pull up these three metrics in your market and see what’s happening.