Niceville Real Estate Update for 1st Qtr. 2024

Wow, the first quarter of 2024 is already past.  Time for a Niceville Real Estate Update for 1st Qtr. 2024.  Let me start off by saying that if you are holding your breath waiting for interest rates to drop, you may want to stop before you pass out!  It doesn’t look like rate cuts are coming anytime soon.  Although, who knows what might happen in an election year.

Real Sign used by a client of mine when their home was for sale in the 80’s!

Inventory

The 1st quarter brought 203 homes to the market, this includes new construction in Deer Moss Creek and Eagles Landing.  122 homes sold during the first 3 months. The number of properties for sale in March was down 12.62% from February, but up 11.11% compared to March 2023.  While the average number of homes for sale has increased compared to 2021, 2022 and 2023, it still remains low overall.  Well below what would be considered buyer’s market.

Average Sales Price

The average sales price in March was $541,894 which was 12.59% higher than the average sales price in March 2023.  The average price per square foot is a more normalized indicator for the direction of property value.  The sales price per square foot in March was $254, equal to the previous month and 7.17% higher than $237 from March 2023.  As you can see, prices do not seem to be heading anywhere but up.  If you have been watching home prices, you have probably noticed many undergoing price reductions.  In fact, homes sold so far this year have sold for an average of 97.7% of the original asking price.  That just tell me they were not price correctly to start with.  However, in the end the average sold price continues to go up.

Days on Market

The average days on market (DOM) is the number of days a property is on the market before it sells.  An upward trend in DOM tends to indicate a move towards a buyer’s market, and a downward trend tends to indicate a move towards a seller’s market.  The DOM for March was 53.  This is just slightly higher than the average for the past 18 months.  It has remained pretty steady since the increase in interest rates.

The Bottom Line

Sale prices in Niceville continue to trend up.  Despite the interest keeping some buyers on the sideline, homes continue to sell and for higher prices mainly due to lack of inventory.  It’s the old “Supply and Demand” effect.   Despite all the pockets of new construction in the area, Niceville is limited on how much more housing can be built.  The Niceville City Manager has some plans in the works (you can read about that here).

For a full summary of the Niceville Real Estate Update for 1st Qtr. 2024, see the chart below.

If you know someone who is looking to buy or sell, I’d love to make the process more successful and less stressful for them!  🙂