The Ho Ho Housing Update For Niceville

In Brief:

•Average Sales Prices: November’s home prices in Niceville-Valparaiso averaged in the low $500,000s, up from $432,000 in January 2024.

•Market Trends: Increased average days on market (117 in November) suggest opportunities for buyers to negotiate seller concessions.

•Balanced Market: With just under four months of inventory, the area maintains a balanced real estate market, benefiting both buyers and sellers.

Homes are selling.

People are listing their homes for various reasons.

Buyers buy for various reasons.

So, yes, now may be a good time to enter the Niceville housing market. Should you wait until spring? Sure. If that’s what is right for your particular situation. Your local real estate professional can help you discuss the strategy to get your home sold.

Let’s look at some numbers that may paint a picture of Niceville/Valparaiso’s 2024 real estate market.

November’s average sales prices landed in the low $500,000s. Compared to January’s average of $432,000 home prices in the Nice-Val areas have seen a steady increase in price.

These are averages, so having a few higher-priced homes sold in any given month could skew the data. So let’s take a look at a chart of pricing trends throughout the year.

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The data we have, along with stable interest rates in 2024, lead me to believe we can safely assume the high $400s and low $500s as an accurate representation of the average sales price in the area.

At the beginning of the year, the average days on the market (ADOM) was 82. The ADOM for our area has jumped to 117.

Watching the average sales price hold steady while observing ADOM increase indicates sellers will hold out for the right offer right now. The good news for buyers? This situation typically means sellers will negotiate other concessions, like repairs and rate buydowns to seal the deal.

A rate buydown can be attractive for both sellers and buyers. This tool allows the seller to permanently or temporarily lower the buyer’s interest rate with money paid upfront.

As home prices continue to hold steady or slowly increase, buyers could find a home that meets their needs and make that monthly payment by working with a knowledgeable local lender and possibly the seller to buy down the rate. Buying down the rate generally results in a lower monthly payment than simply negotiating a lower home price. Real estate math can be a lot of fun, and seeing the difference in a monthly payment (of course, multiple variables need to be considered, such as the consumer’s eligibility and the property) through a rate buydown could be the key to buying your next home.

Last month, we discussed the absorption rate, which has approximately 4 months of inventory, which equates to a balanced market. At the end of November, the rate dropped only slightly, to just under 4 months.

In sum, Niceville and Valparaiso remain a great place to buy and sell real estate with steady home prices and buyers with more options and inventory to work with.

*All 2024 data is provided by Flex/MLS as provided by Emerald Coast Association of Realtors and is deemed reliable as of December 3, 2024, but is not guaranteed and should be independently verified.