The spring real estate market is in full swing and homes are going up for sale – but they’re staying there for longer in a handful of US cities.
In a smattering of metro cold spots – dotted throughout Texas, Florida, Louisiana, New York and West Virginia – homes are staying on the market for an average of more than 60 days, according to new data from Realtor.com.
Across the board, homes spent a median of 50 days on the market in March.
‘Some of these markets are perennially slow-moving,’ said Danielle Hale, chief economist at Realtor.com. ‘They tend to be smaller markets that are not on the radar of most buyers.’
In all of the areas where homes were spending longer on the market, there was also a notable increase in inventory year-on-year, according to data for March.
Huntington in West Virginia had among the coolest property markets in March, with homes remaining up for sale for an average of 66 days
Housing inventory surged by 130 percent in Punta Gorda, Florida. And in Cape Coral and Naples, both also in Florida, inventory was up 101 and 82 percent, respectively.
The areas with stagnating markets also often offer more affordable options, with nine out of the twelve metros boasting median list prices below the national average of $424,900.
For example, the most budget-friendly among them, Huntington, West Virginia, has a median list price of just $179,950.
Interestingly, eight of the twelve metro areas are located along the Gulf of Mexico, making them prone to storm-related risks. Some are still dealing with the aftermath of hurricanes and soaring interest costs as a result.
‘In some cases, homes in these areas are at risk of flooding and other hazards, leading to rising insurance costs,’ said Hale.
According to real estate agent Karen Brown of Michael Saunders & Company on the Florida Gulf Coast, Punta Gorda is suffering in the wake of Hurricane Ian in 2022.
‘Cleanup efforts are ongoing, and residents are still navigating insurance claims,’ Brown told Realtor.com.
1. Lafayette, Louisiana
Median days on the market in March: 69 (tie)
Median home list price in March: $259,250
In Lafayette, Louisiana, homes were on the market for a median of 69 days
2. Punta Gorda, Florida
Median days on the market: 69 (tie)
Median home list price: $419,000
3. Brownsville, Texas
Median days on the market: 68 (tie)
Median home list price: $308,000
In Brownsville, at the southernmost tip of Texas, on the northern bank of the Rio Grande, homes were on the market for a median of 68 days
4. Utica, New York
Median days on the market: 68 (tie)
Median home list price: $239,900
5. New Orleans, Louisiana
Median days on the market: 67
Median home list price: $329,000
6. Crestview, Florida
Median days on the market: 66 (tie)
Median home list price: $644,000
7. Huntington, West Virginia
Median days on the market: 66 (tie)
Median home list price: $179,950
In Huntington, West Virginia, homes were on the market for a median of 66 days
8. Waco, Texas
Median days on the market: 66 (tie)
Median home list price: $345,000
9. Longview, Texas
Median days on the market: 64 (tie)
Median home list price: $305,500
10. Naples, Florida
Median days on the market: 64 (tie)
Median home list price: $849,000
In Naples, Florida, homes were on the market for a median of 64 days. The median house price was significantly higher than elsewhere on the list
11. Cape Coral, Florida
Median days on the market: 64 (tie)
Median home list price: $474,100
12. Baton Rouge, Louisiana
Median days on the market: 64 (tie)
Median home list price: $305,000
In Baton Rouge, Louisiana, homes were on the market for a median of 64 days
Jordan Spieth doesn’t think the PGA Tour needs a deal with LIV Golf, PIF after $3 billion investment
While it’s unclear how close it actually is to being finalized, Jordan Spieth doesn’t think that the PGA Tour needs to strike a deal with LIV Golf and Saudi Arabia’s Public Investment Fund anymore.
Spieth, speaking after the Tour announced a $3 billion investment deal with Strategic Sports Group on Wednesday,
“I don’t think that it’s needed,” Spieth said Wednesday from the AT&T Pebble Beach Pro-Am. “I think the positive thing would be a unification [for the sport] … But the idea is that we have a strategic partner that allows the PGA Tour to go forward the way it’s operating right now without anything else with the option of other investors.”
The Tour announced Wednesday that SSG was investing up to $3 billion into the Tour. That deal will lead to the launch of PGA Tour Enterprises, a commercial venture under the Tour’s control that players can have equity in. The investment will entitle players to over $1.5 billion in equity shares.
The PIF, which backs LIV Golf, is not included in this deal — though it “allows for a co-investment from the Public Investment Fund in the future subject to all necessary regulatory approval.” The Tour and LIV Golf still have not finalized their partnership, something that was supposed to be done before the end of 2023. LIV Golf is launching its season this week in Mexico.
“I think the coolest thing about it is the players are now owners,” Spieth said. “So not only do they benefit with the Tour, they now are equity owners so they want to push it themselves, they want to make the product better themselves. Not that they didn’t before, but you directly benefit from owning a piece. So I think that part is maybe the coolest part of the funding.”
So for now, the Tour will continue on as scheduled — though it will do so with more money to help fund purses and pay players, something it can now do without having to rely on Saudi Arabian funding. Spieth, who joined the Tour’s player policy board after Rory McIlroy stepped down late last year, is in the field this week at Pebble Beach, which is the second designated event of the season.
The Tour and LIV Golf may come to terms on their agreement eventually. But now, thanks to the deal with SSG, the Tour is in a much better spot financially. If The Tour and LIV Golf are going to come together, Spieth said, it will be because both sides benefit.
“At this point if the PIF were interested in coming in on terms that our members like and/or the economic terms are at or not beyond SSGs and they feel it would be a good idea, I think that’s where the discussions will start,” Spieth said.
“I understand it could take some time to even come to those kind of terms … I hope that this starts to turn the corner and [people] recognize that we’re in a place where we could be better than we’ve ever been as a tour.”
Investors and second homebuyers should have these four international property markets on their radar at the start of 2024. These markets have been home runs for capital gains while also earning decent rental investment income.
They’re the top performers in a study produced by my team at Global Property Advisor. Using price per square foot (based on the average cost of a two-bedroom, two-bathroom apartment with an ocean view in each place), the team has monitored price performance, demand, and momentum in 28 property markets around the globe.
Let’s take a closer look at the top four performers, where momentum is strong but there’s still room to grow.
#4 – Puerto Vallarta, Mexico
- Cost per square foot: $532
- Three-year price change: 66.2% increase
Puerto Vallarta has been a top resort market since 1963, when Richard Burton, Ava Gardner, and Tennessee Williams put it on the map during the filming of “The Night of the Iguana.”
It commands a strong per-square-foot price because it’s a branded city. In other words, it’s synonymous with the beach, natural beauty, and fun in the sun. That public image makes it an easy place for property investors to rent or resell.
Three other factors combine to keep investors in Puerto Vallarta’s property market for the long haul. First, most homes offer ocean and sunset views because of the elevation that rises as you go inland from the beaches.
Second, Puerto Vallarta is simple to reach from the United States and Canada with dozens of direct flights, and third, it offers a wealth of residential options, including neighborhoods of different characters with solid infrastructure.
#3 – Providenciales, Turks And Caicos
- Cost per square foot: $1,056
- Three-year price change: 77.1% increase
Providenciales is an upscale market with one of the highest costs of entry in the world at $1,056 per square foot. Nonetheless, it offers strong total returns, placing it among the top performers in Global Property Advisor’s study.
Stunning natural beauty provides Providenciales’s market appeal. This is the Caribbean at its best, with white-sand beaches, electric blue waters, and spectacular coral reefs. Onshore, there are luxury resorts, fine dining, and other high-end amenities.
Because of its small population of about 25,000 people, Providenciales has a more refined, relaxed feel than bustling resorts like Puerto Vallarta. Best of all, it’s easy to reach from the United States and Canada, at about a two-hour flight from Miami.
Turks and Caicos also offers a favorable tax picture, with no income tax, capital gains tax, inheritance/estate tax, or sales tax. The capital gains or income that you make here will be yours to keep, making this an attractive market for property investors.
#2 – Mazatlán, Mexico
- Cost per square foot: $295
- Three-year price change: 77.3% increase
Mazatlán is just 200 miles north of famous Puerto Vallarta, yet it has long been overlooked by investors and property homebuyers.
This is changing, however. More people have taken notice of Mazatlán’s long, sandy beaches, lined by one of the longest boardwalks in the world, its sprawling historic center, and its wide variety of entertainment options, from restaurants and shopping to theater and live music.
Plus, a new highway that connects Mazatlán to big cities in Mexico’s interior (like Durango, Torreón, and Monterrey) was recently completed, which opened it up to new tourist markets.
Global Property Advisor has watched Mazatlán’s property prices rise alongside its popularity. Specific projects recommended through this advisory service have seen as much as an 118% appreciation since 2020.
Inventory is currently low in Mazatlán, but there’s room for investment growth, with more than a dozen condo projects underway on the waterfront.
#1 – Iskele Long Beach, Northern Cyprus
- Cost per square foot: $241
- Three-year price change: 100% increase
With a 100% increase in average property costs over the past three years, Iskele Long Beach stands out among the 28 property markets surveyed by Global Property Advisor.
Found in the eastern part of Northern Cyprus (a region and de facto state of the Republic of Cyprus), Iskele boasts a 1.5-mile beach. It’s bathed in sunshine year-round and lapped by the balmy waters of the Mediterranean Sea.
On top of a beautiful beach, Iskele is close to charming small towns like Bafra and Bogaz, and it commands strong tourism numbers with its restaurants, clubs, and casinos. It’s a safe, low-crime environment with a low cost of living.
When Global Property Advisor first recommended this market, it was possible to buy new beach condos for less than $60,000. Despite the 100% price jump, property still remains amazingly affordable—especially in comparison to other Mediterranean resorts.
Property trades in British pounds in this market, which, with the U.S. dollar’s strength against the pound, enhances the bargain for dollar holders.
At $241 per square foot, the average property investor can still reasonably afford a foothold in Iskele Long Beach. It’s only a matter of time, however, until prices in this market outlier rise to meet the approximate level of prices in its Mediterranean peers.