Introduction:
The Pinellas County real estate market continues to evolve in 2024. Single-family homes are seeing shifts in pricing, inventory, and buyer behavior, signaling a transition in the market. In this post, we’ll break down the latest data for August 2024 and explore what these changes mean for buyers and sellers.
1. Home Prices: A Slow Climb with Recent Dips
As of August 2024, the median sale price for single-family homes in Pinellas County stands at $484,500, reflecting a 1.2% increase from August 2023. While this suggests that home values continue to rise on an annual basis, it’s important to note the month-over-month trend. Prices have dipped slightly compared to July 2024, which could indicate early signs of a market cooldown. View US housing data from NAR
2. Inventory is Rising Rapidly
One of the biggest changes in the market is the surge in inventory. Active listings have jumped by a staggering 98.1%, bringing the total number of homes for sale to 3,164. This substantial increase is giving buyers more options, and it marks a shift away from the highly competitive, low-inventory market that characterized much of the pandemic era.
This increase in inventory is likely a result of more sellers coming to market and homes staying on the market longer. For sellers, this means adjusting expectations, as they may face more competition and longer sales cycles.
3. Homes Are Taking Longer to Sell
Another telling trend in the August 2024 data is the longer time to contract. The median time it takes for homes to go under contract has increased by 113.3%, from 15 days last year to 32 days this year. This indicates a market where buyers have more leverage, are taking their time, and may be negotiating harder.
4. A Shift Toward a Balanced Market
With the months supply of inventory growing to 3.9 months (up 105.3% from last year), Pinellas County is moving toward a more balanced market. Traditionally, a balanced market has around 5.5 months of inventory. While we aren’t quite there yet, the increased inventory signals a move away from the strong seller’s market of recent years.
This shift suggests that while sellers are still benefiting from price gains, they may need to be more flexible with pricing and negotiations to secure a deal in this cooling market.
5. Sales Are Still Strong
Despite the signs of a cooling market, the number of closed sales increased by 9% year-over-year, with 1,146 sales in August 2024. This highlights that there is still strong demand, even with more homes on the market and longer sales cycles. Buyers continue to enter the market, taking advantage of the growing inventory and slightly moderating prices.
Conclusion:
In summary, the Pinellas County single-family home market is transitioning from the rapid growth of recent years to a more balanced state. While home prices are up year-over-year, the month-over-month decline suggests a softening. Rising inventory and longer time to sell indicate that buyers are gaining more control, though sellers are still benefiting from price increases.
For buyers, this might be an opportune moment to act before the market balances out further. Sellers, meanwhile, should remain realistic about pricing and be prepared for longer negotiations as the market shifts. It’s never been more important to hire an experienced Realtor who can guide you through the changing market call one of our seasoned professionals today, click the link to view our team Price Group Team