January 8, 2021
For an illustration of the development in single-family residence sales throughout the COVID-19 pandemic, have a look at RCLCO’s annual ranking of the leading 50 master-planned communities (MPCs).
In addition to a pair of outliers that saw yearly declines, the top 50 MPCs delighted in overall sales volume 20% more than in 2019. At homes with same-store numbers for 2019 as well as 2020, the year-over-year rise averaged 40% and ranged as high as 121%.
That being said, RCLCO’s latest record cautions versus putting way too much weight on the results of the pandemic. “It makes good sense that several would connect the specifying feature of this year (a worldwide pandemic) as the source of whatever that made this year one-of-a-kind– including the document setting pace of brand-new homes sales not seen considering that the mid-2000s,” says RCLCO.
“However, the speculation that the record sales speed was largely driven by families fleeing higher-density urban areas to lower-density suburbs as a retreat from COVID is not supported by the information. While it is real that the health crisis has driven some customers to act, there are longer term patterns at play.” These trends were sped up by the pandemic, instead than created by it, states RCLCO.
Those essential patterns include group shifts, low rates of interest and extremely low degrees of resale supply which combined have significantly boosted new home demand. RCL claims these aspects have had much more overall influence than COVID-19 worries in driving the market, although the pandemic has actually clearly urged some buyers to act sooner to acquire the real estate they want.
Florida and Texas together make up about 63% of total sales amongst the 50 top-selling areas. Florida remains to dominate the top 5 of the listing, with The Villages, Lakewood Ranch, and also Wellen Park in the very first, 2nd, and also 4th spots, respectively.
Amongst urbane locations, the Houston-The Woodlands-Sugar Land, TX MSA rates as the top-selling location, both in terms of total communities within the Top-50 (eight MPCs), as well as complete sales with over 5,000 homes sold amongst the 50 top-selling MPCs.
Photo thanks to The Villages.
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