Real estate market squeezed by inventory – News – Gainesville Sun

Gainesville area agents say low mortgage rates help buyers and bargains exist, especially at upper end.

When COVID-19 began affecting the Gainesville area in March, it also affected the buying and selling of homes.

Normally the best time of year for real estate deals, the virus caused a slowdown in sales, with the biggest problem being a low volume of homes available.

“It has gone down,” said Bosshardt Realty owner Aaron Bosshardt. “This is usually our hottest time of the year.

“Servicing our customers, there is not the volume of the market at this time of year. We had to modify it. We don’t have the green light for open houses, but every seller has a complimentary three-dimensional camera for showing.”

Suffice to say, closing real estate deals has been a lot more difficult. That doesn’t mean it will last that way, but sellers and buyers are finding it tougher than usual.

“Everything is a little harder to get right now,” Bosshardt said. “Rates are low. My agents had a great conversation about 15-year mortgages and people buying with those.

“Before the lockdown, there was a 3-to-1 ratio of sellers to buyers. Sellers have more flexibility, and buyers have less to pick from. Inventory across the market is very low. At some point, maybe next year, there will be a push the other way. It’s hard to tell.”

With lower interest rates, Betsy Pepine, owner of Pepine Realty, is expecting a heavy buyer demand.

“Prices are strong, with homes selling, on average, for over 97% of list price,” she said.

Jim Dorsey, agent with Coldwell Banker M.M. Parrish, believes mortgage rates will continue to be at affordable rates. He said while it remains the best time to buy, a lot of action is coming from those out of town who are moving in the near future.

“There are buyers wanting to buy, but they also know the market well, so overpricing in our low inventory market may result in your home collecting days on the market, rather than numerous showing requests and potential offers,” Dorsey said.

“We are still seeing out-of-town buyers who must relocate for their job, or are moving closer to family. We also have a number of local buyers who are close to exiting their leases, realizing that home ownership is actually more affordable than paying high monthly rental rates.”

Rachel Sokolik Diaz, with Watson Realty, said she tries to keep her customers updated on the most current numbers and statistics so they can make the best decision for them.

“First thing is to know your financial conditions and intentions for that home and to question yourself, ‘What is the intention of this new real estate investment?’

“I can tell you I am a Realtor, and I am on the market to buy a new home because for me it is the right time.”

As to refinancing, Pepine says it is a perfect time because interest rates are low and expected to stay below 4% this year.

She said there is an oversupply of luxury resale homes priced at $500,000 and above.

“There are…