New Trend in Real Estate named “The Great Reshuffling”

April 14, 2021 | By chad siemer
Great Reshuffle

There is a new trend emerging in real estate. Calling this trend “The Great Reshuffle”, The Sun Gazette published the article “New Data Suggest Geographic Reshuffling is at Hand” earlier this month. Even in 2018 and 2019 the flow pattern of where people were moving was beginning to shift. Renters were moving out of the cities and more buyers were looking into smaller cities or moving out of state. “The pandemic brought an acceleration of trends we were seeing in 2018 and 2019,” said Zillow senior economist Jeff Tucker. “More affordable, medium-sized metro areas across the Sun Belt saw significantly more people coming than going, especially from more expensive, larger cities farther north and on the coasts. The pandemic has catalyzed purchases by millennial first-time buyers, many of whom can now work from anywhere.”

In March of 2020, when the Covid 19 pandemic changed the way we all approached our jobs and commute, many people and companies discovered that they could allow their employees to work from anywhere and still be productive. And once people discovered they could work from anywhere, they wanted to live in a better location. According to Floridarealtors.org “Among those who have relocated over the past year, three-quarters (75%) say they moved for positive reasons, such as being closer to family or friends or living in an area they’ve always dreamed of. New flexibility to telework has opened up those opportunities for many, and new real estate technology has enabled prospective purchasers to get an immersive experience of a home from hundreds or thousands of miles away.”

The wrinkle in the plan is currently the low inventory of houses available, but that is also beginning to change. According to Zillow analysts who have been monitoring the trends since the beginning of the pandemic, “Life and financial uncertainty are among the top reasons homeowners have not listed their home for sale during the pandemic. The COVID-19 vaccine is likely to change that and prompt many more people to move.”

This is good news for Central Florida  which has already seen an increase in the median price of homes sold from January to February of 2021. “The new numbers illustrate just how far the market is tipped in favor of sellers. Sellers are receiving multiple offers, often above their asking price, and buyers are engaging in bidding wars with people looking to move to Orlando from other states,” said Natalie Arrowsmith, 2021 Orlando Regional REALTOR® Association President, NextHome Arrowsmith Realty. “There are not nearly enough homes on the market to meet the demand from people who want to buy homes right now.” So if you have been waiting to sell, now may be the time.

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