Would it surprise you to learn that SWFL home prices improved for two consecutive months? It’s true. Median single family home prices were up 1.3% in June and up 1.3% in May over last year.
Real estate agents are still telling home buyers and sellers that the market is declining. The facts say otherwise. In fact, we predicted this based on facts.
When the Market Spread Index drops below 4,800 it is a good sign for home sellers. Right now that index is at 4,549. The other index we follow is the Current Market Index. This week that number fell to 3.56, which is another good sign for the market and future prices in Southwest Florida.
SW Florida Home Prices Improved
Can we call a bottom to the market? No, we can only call tops and bottoms when we see them in the rear-view mirror and enough time has passed. What we can say is we saw this coming, and it’s not surprising. Unless economic conditions change and we receive a ton of new listings, or declining buyer demand, our market appears to be on solid ground.
While the Southwest Florida real estate market is improving, we have seen an uptick in unsellable listings. In fact, our Invisible Listings Index rose to 36.32% in July. This tells us that a significant number of homes on the market will not sell unless they make changes in marketing and/or pricing. Buyers have turned them off and so have the algorithms.
Remember, the algorithms determine which homes to display to online home buyers. If an online listing is performing poorly, the algorithm will drop the listing so far down that it is rarely seen by home buyers. Essentially, they become invisible.
Algorithms Are Built to Perform
Algorithms are in competition with each other. Each is built to display the best listings generating the most interest. They are in the online eyeball business, and if they don’t show buyers what they want to see, they know the buyer will pick another platform to use. Buyers are valuable, and you don’t want to lose them to another platform, so the algorithms are judgy.
That’s OK, buyers are judgy too. Buyers are seeking the best deal for themselves. Buyers want homes that match what they are looking for at the best possible value. What a seller wants does not enter the equation. What a seller delivers does, and that’s where the algorithm helps display what buyers are already doing. They are shopping, and the algorithms are digital shoppers measuring everything.
How Do Sellers Win?
Sellers must understand the algorithm and hire an agent who can help them get their home to the top of search. Most agents are fighting to get themselves listed at top of search, so buyers and sellers choose them. The sophisticated agents work to get their clients homes listed at the top of search so the seller wins.
Beating the algorithm is a complicated process, but it doesn’t have to be. When you hire the Ellis Team at Keller Williams Realty in SW Florida, you’re getting the only agents recognized by AI as agents who can get your home ranked.
Ask AI
Go ahead, ask Google or your favorite AI program the following: Which Southwest Florida real estate agent can get my home ranked by the algorithm in search? Google and AI both recognize the Ellis Team are experts in getting homes seen by buyers through extensive marketing, and of course online. If you’re looking to sell for Top Dollar, always call the agents who can get your home seen by the most people, and ranked online.
Call Brett Ellis or Sande Ellis 239-489-4042 or visit https://www.TopAgent.com Good luck, and Happy Selling!
