Where listings are bouncing back — and where they’re not: Intel

by Jotham Sederstrom | Aug 26, 2024 | Industry, News Feed

This report is available exclusively to subscribers of Inman Intel, the data and research arm of Inman offering deep insights and market intelligence on the business of residential real estate and proptech. Subscribe today.

The number of home listings, and therefore transaction revenue, available to real estate agents is back on an upward trajectory — albeit a stubbornly slow one nationwide.

But some local housing markets over the past year have leapt out far ahead of the national curve, an Intel analysis shows. And with a boost from homebuilders, a few states such as Florida and Texas have even clawed their way back within striking distance of pre-pandemic levels of new-listing availability.

TAKE THE INMAN INTEL INDEX SURVEY FOR AUGUST

These gains in a select number of local and regional markets are even more remarkable considering the mortgage-rate environment of the past year. 

Rates have dropped off a bit from their peak, but remain much higher than what most homeowners with mortgages have locked in on their current loans. And this has left dozens of major markets in the lurch.

For this analysis, Intel crunched two years of listing data from Realtor.com, taking the temperature both at the state level and at the market level in the nation’s 200 most populous metropolitan areas.

In this report, Intel goes deep on what connects the biggest risers and the biggest fallers across the country. 

The exercise also revealed how influxes of new inventory are already producing tangible relief for buyers — in terms of prices and negotiating power.

Where the recovery is on

Overshadowed by the overall mortgage-rate environment and its effect on new listings nationwide, a number of major population centers across the U.S. have enjoyed surprisingly strong bouncebacks in new listings over the past year. 

This section focuses on these places where new listings have been on the steepest uptick.

To avoid month-to-month noise at the market level, Intel tracked the entire number of new listings that came online in the recent 12-month period ending in July, according to data from Realtor.com. 

Intel then compared these totals with the number of new listings the previous year.

Explore an interactive map below, followed by breakdowns of what the top listing-generators had in common.

1. Florida markets and other beachfront towns in the coastal South

Many of the places where new listings have seen the biggest rebounds are in Florida communities big and small — including Miami and Tampa, and ranging from Jacksonville on the state’s eastern side to Punta Gorda off the Gulf of Mexico.

• All of these metro areas saw new listing levels over the past 12 months that were at least 11 percent higher than the year before.

But Florida wasn’t alone in this regard.

Coastal towns throughout the South appeared again and again on the list of biggest year-over-year gainers in new listings.

These places included the greater Gulfport area in Mississippi; the Myrtle Beach area of South Carolina; and the popular oceanside destination of Savannah, Georgia.

2. Seattle and the Pacific Northwest

The greater Seattle area boasts one of the strongest one-year bouncebacks in new listings of any major metro in the nation.

Perhaps particularly notable is the effect this has had on prices.

• In July, homes in Seattle actually spent 8 percent less time sitting on the market than they did the year before — often a sign of a market that is heating up.
• But in the past 12 months, the number of new listings that came online was nearly 16 percent higher than it was the year before.
• Perhaps partly as a result of this, Seattle saw a slight decline in median list price per square foot. It also saw a 91 percent year-over-year increase in the number of price cuts in July.

3. Texas border cities and nearby metros

Communities throughout the Lone Star State also saw significant jumps in new listings, aided by one of the most active homebuilding industries in the nation.

• Nowhere was this more apparent than in two Texas border communities — McAllen and Brownsville. Both have seen greater than 12 percent annual increases in new listings in the past year.

Brownsville in particular has seen a great deal of economic growth connected to the expansion of SpaceX operations in nearby Boca Chica.

But the effect is also being felt — although to a lesser extent — hundreds of miles away in the nearest big cities.

• San Antonio, Houston and College Station have all seen new-listing growth of at least 5 percent year-over-year. 
• The metros further to the north — Dallas and Austin — saw positive trends in new listings as well.

Where new listings are stagnant

On the other side of the spectrum, Intel also found that many places have been left out entirely of the nation’s gradual recovery in new listings.

As a general rule, places with fewer new listings year-over-year were more likely to see fewer price cuts on listings, rising prices per square foot, and further deterioration in the negotiation position of buyers vs. their seller counterparts.

Here are some of the main communities where this effect stood out most.

1. Las Vegas

No other big city in the nation experienced a worse annual dropoff in the number of new listings than Las Vegas.

• The glistening entertainment destination saw a nearly 9 percent annual decline in new listings over the past 12 months. 
• This appears to have helped pit more buyers against fewer sellers, driving up the price per square foot throughout the greater Las Vegas area despite relatively weak demand. 
• Homes also spent 14 percent less time on the market in July than they did at the same point last year.

2. The Great Lakes states

Some of the most stagnant markets in terms of new inventory have been clustered in Midwest communities near the Great Lakes.

Detroit and Chicago stand out for having a particularly weak year in terms of new inventory, according to Realtor.com data. But smaller communities from Akron, Ohio, to Peoria, Illinois, stuck out as well.

In Detroit, the effect was particularly hard-felt.

• New listings in Detroit came in 7 percent lower over the past 12 months than in the preceding period, and buyers really felt the squeeze as a result.
• Price per square foot was 5 percent higher in July than at the same time last year. The number of price reductions was only up 26 percent year over year — about 20 points lower than in the typical big American city over that same period. 
• And homes sold 2 percent faster in July than they did the year before. 

3. New York metro area and Connecticut

Although the new-listing trends in the New York City area were less dramatic than those observed in some other parts of the country, the nation’s biggest population center remained noticeably out of step with the nation as a whole.

• 5 percent fewer new listings came online in the New York Metropolitan Area over the past 12 months than in the preceding period.
• Prices in the greater New York City area were 7 percent higher year-over-year in July on a per-square-foot basis, and the annual rise in price cuts there was 30 percentage points below that of a typical big U.S. city.
• Units were selling 7 percent faster in July than at the same time last year.

Email Daniel Houston

Soft skills? I don’t need no stinking soft skills …

by Jotham Sederstrom | Aug 21, 2024 | Industry, News Feed

Whether it’s refining your business model, mastering new technologies, or discovering strategies to capitalize on the next market surge, Inman Connect New York will prepare you to take bold steps forward. The Next Chapter is about to begin. Be part of it. Join us and thousands of real estate leaders Jan. 22-24, 2025.

I used to dismiss soft skills as just fluff, much like goal-setting. It was fine if I had time, and I knew every coach in the world would go off about it, but I had lead gen to do.

I had to learn the hard way that my mindset was holding me back. 

Growing up, I believed that if I couldn’t do something perfectly, I shouldn’t do it. This fear of getting it wrong left me stressed, burnt out and disconnected. I thought that everything would fall into place as long as I worked hard and did what I saw work for others. 

But that’s not how it works.

The turning point came when I realized that my real issues were being constantly distracted, worried and trying to live up to some impossible standard. 

It wasn’t until I understood that I could permanently change my mindset that things began to shift. 

It has become clear to me that soft skills are not just essential — they are transformative. Deeply connected to mindfulness, these skills are fundamental to excelling in any field. Let’s explore six critical soft skills (and the case studies to back them up) that unequivocally elevate your performance and your life.

Effective communication

Extensive research conducted by the Stanford Research Institute and Carnegie Mellon Foundation conclusively shows that 75 percent of long-term job success relies on soft skills, with communication paramount. Agents who can adeptly communicate with colleagues, clients, and superiors consistently outperform their peers and significantly contribute to their organization’s success.

Emotional intelligence

A study by TalentSmart unequivocally demonstrates that 90 percent of top performers possess high emotional intelligence, a crucial soft skill. Individuals with high emotional intelligence display remarkable resilience, adaptability, and excellence in managing workplace relationships, leading to substantial improvements in job performance and career advancement.

This means that developing emotional intelligence can significantly enhance job performance and career advancement. High EQ enables better resilience, adaptability and management of workplace relationships, leading to more effective client interactions and successful transactions.

Collaboration and teamwork

Google’s research on its own teams leaves no room for doubt — successful teams exhibit high levels of psychological safety, where members feel secure taking risks and being vulnerable with each other. This solidifies the critical role of soft skills related to collaboration and teamwork in creating an environment conducive to outstanding individual and collective achievements.

For real estate professionals, this means creating a team culture where everyone feels comfortable sharing ideas and feedback without fear of judgment. This can lead to better problem-solving, more creative solutions, and ultimately, greater success in your projects.

Adaptability

The COVID-19 pandemic has unequivocally underscored the importance of adaptability as a critical soft skill. Agents who swiftly adapted to remote work and changing market conditions fared far better during the crisis. Real estate professionals who demonstrated adaptability pivoted effectively and significantly contributed to their success during challenging times.

Problem-solving

A study published in the Journal of Cognitive Neuroscience affirms that individuals with strong problem-solving skills possess superior cognitive abilities and are significantly more likely to thrive in complex, dynamic environments. This confirms that problem-solving is a pivotal soft skill that elevates performance and drives personal and professional growth.

This underscores the importance of developing and honing problem-solving skills. These skills not only enhance our personal and professional growth but also enable us to navigate the complexities of the real estate market effectively, leading to better client satisfaction and successful transactions.

Leadership

Extensive research conducted by the Center for Creative Leadership leaves no room for doubt — organizations with robust leadership development programs consistently outperform their competitors. Effective leadership hinges on soft skills such as empathy, communication and conflict resolution, undisputedly underlining the critical nature of these skills for fostering success at all organizational levels.

Investing in leadership development programs can significantly enhance team performance and drive business success. By focusing on developing these essential soft skills, real estate leaders can create a more collaborative, resilient and high-performing team.

What are the top soft skills?

These case studies provide unequivocal evidence that nurturing soft skills is undeniably transformative, leading to enhanced individual performance and overall success in the workplace.

Communication skills

Clear communication is the cornerstone for effective sales. It’s not just about talking; it’s about creating an environment of trust and openness. To sell authentically, you must first be transparent with yourself.

Active listening

True listening means being fully present and valuing others’ input. It’s a powerful tool for building strong relationships and making informed decisions. To listen well, you must be genuinely connected with those around you.

Leadership skills

Authentic selling is about aligning your actions with your core values. When you lead by example, others are inspired to follow. Remember, you are the model for your team — they look to you for alignment and integrity.

Problem-solving abilities

Effective problem-solving requires balancing data analysis with understanding different perspectives. This approach not only resolves issues but also builds confidence and fosters a culture of continuous improvement.

Time management

Managing your time well is crucial for maintaining the consistency that defines effective performance. It allows you to focus on strategic goals while still being there for your clients.

Positive attitude

Positivity is contagious and essential for resilient real estate professionals. Even in tough times, agents who remain optimistic inspire their teams and clients to do the same. This positive outlook is rooted in self-awareness and self-regulation.

These soft skills are not just professional tools but integral to being an effective real estate professional. By mastering them, you can create a supportive environment that encourages personal and professional growth and success.

Mindfulness and real estate: Enhancing your skills

Mindfulness is the practice of being fully present and engaged in the moment. Developing mindfulness can significantly enhance these essential skills and overall effectiveness.

Improved communication

Mindfulness helps you become more aware of your thoughts and emotions, enabling more transparent and empathetic communication with clients and colleagues. This awareness fosters stronger relationships and trust.

Enhanced active listening

By practicing mindfulness, you become better at staying present during conversations, allowing you to truly listen and understand your client’s needs. This leads to better client satisfaction and more effective problem-solving.

Authentic selling

Mindfulness cultivates self-awareness, which is essential for authentic selling. As you become more in tune with your values and actions, you naturally sell with integrity, inspiring client confidence.

Sharper problem-solving

Being mindful allows you to approach problems clearly and rationally. This helps make better decisions, reduce stress and find creative solutions to challenges.

Better time management

Mindfulness encourages focus and prioritization, helping you manage your time more effectively. By staying present, you can avoid distractions and concentrate on what truly matters, improving productivity.

Positive mindset

Mindfulness promotes a positive and resilient attitude. In the fast-paced world of real estate, this positivity can help you navigate challenges with grace and maintain a steady, optimistic approach.

Specific benefits for pros

Increased client trust

Mindfulness leads to more genuine interactions, which builds deeper trust with clients, making them more likely to work with you and refer others.

Higher job satisfaction

By reducing stress and enhancing focus, mindfulness helps you find more joy and fulfillment in your work, leading to better overall job satisfaction.

Greater resilience

The practice of mindfulness equips you with the tools to handle the ups and downs of the real estate industry with resilience and composure.

Enhanced creativity

A mindful approach opens up space for creative thinking, allowing you to find innovative solutions for your clients and business challenges.

Improved work-life balance

Mindfulness helps you set boundaries and stay present at work and home, leading to a healthier work-life balance.

Real estate professionals can benefit significantly from developing strong mindfulness-based soft skills. 

For instance, effective communication and active listening can help build trust and strong relationships with clients, while leadership skills can inspire and guide teams to align with shared values. Problem-solving abilities and adaptability are essential for addressing challenges in a dynamic market, and time management is crucial for maintaining consistency in performance. Furthermore, maintaining a positive attitude can inspire resilience during tough times.

Using simple, mindfulness-based techniques can help nurture soft skills and is undeniably transformative for real estate professionals. 

These are the simplest ways to enhance our individual performance and overall success in the workplace. By focusing on developing these critical soft skills, we can excel in our careers and create a positive impact on our clients and teams.

Aaron Hendon’s extensive experience in real estate and entrepreneurship has given him a unique perspective on how to navigate even the most unstable market conditions. Connect with Aaron on Instagram and LinkedIn.

Always growing: Surround yourself with trusted advisors

by Jotham Sederstrom | Aug 21, 2024 | Industry, News Feed

Offerpad trims Q2 loss, but sales and revenue continue to slide

by Jotham Sederstrom | Aug 5, 2024 | Industry, News Feed

Patrick Carroll makes LA court appearance amid felony charge

by Jotham Sederstrom | Aug 2, 2024 | Industry, News Feed