The Ocala housing market continues to show robust appreciation. Rising prices are fueled by several factors. The historically low inventory of homes for sale is a prime cause. However, demand excelerated by historically low interests rates and economic conditions has a major impact as well.
To be sure, the opening of the World Equestrian Center several months ago creates a need for supporting infrastructure. The local chamber of commerce estimates a current shortage of thousands of hotel rooms. Additionally, thousands of jobs in service, professional and retail industries are expected to be created over the next few years. Of course, as workers migrate here to fill these jobs, they bring with them a demand for housing. We are already seeing the beginings of this trend, a trend that may be with us for some time.
Factors Influencing The Ocala Housing Market
To summerize, three factors are interacting to make Ocala’s housing market a flourishing sellers’ market. Firstly, the supply of resale homes is at or near historic lows. Additionally, disruptions in the supply of building materials have slowed the construction process. Therefore, they have constrained the ability of builders to bridge the gap between supply of and demand for homes. Secondly, historically low interest rates and quickly rising rental rates are driving people to buy homes. Thirdly, our expanding economy is drawing new residents to our community and increasing the demand for homes even further.
While it is difficult to predict when and how quickly interest rates will rise, the other two factors are likely to influence the Ocala housing market for some time.
Through November, 2021 sales are continuing to be robust. Additionally, average days on the market for homes for sale in Ocala are continuing a downward trend and prices rose nearly 14% year over year in October. As a result, we are commonly seeing multiple offers submitted.
Anecdotes: House Hunting In Ocala
Recently out of town clients considering relocating to Ocala contacted me. They were coming to our area from a northern state. We immediately began preparing for their upcoming home hunting visit. I provided interactive links to my site, each specifically tailored to a cummunity they showed interest in. We jointly selected a few homes to visit and three days later my clients arrived. The following day we visited several homes. They considered each and instructed me to submit an offer on their favorite. However, before I could prepare the offer, the listing agent informed me that she had received several offers. She asked for highest and best bids. Sadly, the sellers accpted another offer ahead of ours.
However, my clients chose to extend their stay for a few days. They decided wisely. I then scheduled a series of five showings and my clients fell in love with the second. They immediately informed me that they were not interested in seeing any more homes and asked that I prepare an offer. The sellers had listed their home only three days earlier, so our full price offer was the first received. Therefore, the sellers accepted and we expect to close soon.
As our story demonstrates, in a competitive market such as ours you can still find oppotunities. However, you must be decisive and act quickly in order to avoid disappointment.
“I will forever believe that buying a home is a great investment. Why? Because you can’t live in a stock certificate. You can’t live in a mutual fund.” – Oprah Winfrey
Andrew Kruglanski, MBA, ABD