Buying a home in South Florida is starting to look like an impossible proposition.
Shoppers are swarming open houses and sparking bidding wars that drive prices out of sight. Thousands of potential buyers are growing frustrated as they watch homes vanish from the market in a blink.
How do you win at this game?
The South Florida Sun Sentinel reached out to three real estate experts and asked them for their best suggestions for buying in this pandemic-fueled market. They are Linda Bright, of Illustrated Properties in Palm Beach Gardens, Dee Emmanuel, of The Keyes Co. in Hollywood, and Gary Finkelstein, of Berkshire Hathaway HomeServices in Fort Lauderdale.
Here’s what they recommend.
Q: Is now the right time to buy?
Gary Finkelstein: Absolutely. You don’t want to miss the opportunities in South Florida real estate right now. A good deal is a good deal. And if you a buy a property that you know you can hold for five to ten years as a homestead – you’re going to be OK. The [interest] rates are still low enough that even if you think you’re overpaying for something, as long as you cover that monthly bill it’s totally going to be worth it in the long run, especially with the migration we’re seeing right now.
Q: Experts say the South Florida market is overvalued by nearly 20%. If you buy now, is there a good chance your home will lose value?
Dee Emmanuel: No. Because of the supply. Whenever there is low supply and high demand, homes sell faster. These homes are turning over fast. The lower the inventory, the more turnover. The more supply of inventory results in less turnover. The homes sit on the market longer than usual.
Right now the indicators show low supply and high demand. The more turnover, the more appreciation.