Hello, Space Coast community! As we move through 2024, the real estate market is showing some interesting shifts that are worth keeping an eye on. Here at Island Pineapple Realty, we believe that staying informed is critical to making smart real estate decisions. That’s why we’re excited to bring you our latest market update, packed with insights from the second quarter of 2024.

Whether you’re thinking about buying, selling, or just curious about the local market trends, understanding what’s happening in Brevard County can give you the confidence you need to navigate your next move. That said, let’s examine the data and see what’s been happening in our local market.

📈Inventory on the Rise

A key development this quarter is the significant increase in inventory levels across the board. The inventory of single-family homes has surged by 86.4% since Q2 2023, bringing us to 4.1 months of inventory. Meanwhile, the inventory for townhomes and condos has exactly doubled to 6.4 months. These increases mark a substantial shift from the previous year and indicate that buyers now have more options to choose from in the market. This uptick in inventory could signal a shift towards a more balanced or even buyer-friendly market, especially when coupled with other market dynamics.

💲Price Movements: What to Expect

Despite the rise in inventory, we’ve seen a modest increase in the median sale price for single-family homes, which is up by 3.8% from Q2 2023 and now sits at $379,000. This suggests that while more homes are available, demand remains strong enough to sustain price growth in this segment. On the other hand, the median sale price for townhomes and condos has remained flat, showing no increase compared to the same period last year.

Interestingly, when we zoom in on the month of June 2024, the median sale price townhomes and condos actually decreased by 4.4% compared to June 2023. This could be an early indicator of price adjustments in response to the growing inventory, particularly if the trend continues in the coming months.

📉Interest Rates: A Crucial Factor

A significant factor influencing the real estate market right now is mortgage interest rates. Recently, we’ve seen a decline in rates in response to economic data concerning employment and inflation. The average 30-year fixed conventional mortgage rate is currently hovering around 6.5%, the lowest it has been in the past year. This reduction in rates could help boost affordability for many buyers, potentially increasing demand in the housing market.

Looking ahead, most sources predict that interest rates will continue to trend downward through the end of 2024. This could lead to more buyers entering the market, eager to take advantage of improved affordability. However, it also raises the question of how this increased demand will interact with the rising supply of homes - will prices stabilize, or could we see further adjustments?

🏠Brevard County Residential Report: Key Takeaways

Here’s a quick snapshot of how the Brevard County residential market performed in Q2 2024:

• Closed Sales: Down 1.5%, with 3,010 units closed compared to 3,056 in Q2 2023. Cash sales saw a sharper decline, down 12.9%.
• New Pending Sales: Up 2.7%, indicating a slight uptick in buyer activity.
• New Listings: Increased by 22.0%, reflecting the rising inventory.
• Median Sales Price: Up 3.8% to $379,000 for single-family homes.
• Months' Supply of Inventory: Up 86.4% to 4.1 months, indicating a less competitive market for sellers.

For townhouses and condos in Brevard County:

• Closed Sales: Down 6.6%, with 727 units closed.
• New Pending Sales: Up 2.1%, showing some resilience in buyer interest.
• New Listings: Up 29.9%, contributing to the doubled inventory of 6.4 months.
• Median Sales Price: Flat at $300,000, showing no year-over-year change.
• Foreclosure/REO Sales: Up significantly, though still a small portion of overall sales, indicating a slight increase in distressed properties.

What This Means for You

As we navigate through Q3 2024, the Brevard County market presents both opportunities and challenges depending on your goals. If you’re considering selling, now might be a good time to assess your strategy, especially with rising inventory levels. Pricing your home competitively and making sure it’s in top condition will be crucial in standing out in a more crowded market.

For buyers, the increased inventory means more choices and potentially better negotiating power, especially if interest rates continue to decline. This could be an excellent time to enter the market, particularly if you’ve been waiting for more favorable conditions.

Your Partner in Real Estate

Regardless of market conditions, at Island Pineapple Realty, we’re here to help you navigate these changes with confidence. Whether you’re buying, selling, or simply staying informed, our mission is to keep your best interests at the forefront and help you accomplish your real estate goals.

Reach out to us today to discuss how these market trends could impact your real estate plans. We’re committed to helping you love where you live and making your real estate experience as smooth and rewarding as possible.