Spring is the busiest season for real estate in most areas of the U.S., including the Boca Raton luxury homes market. Home buying and home selling go up as warmer weather and the increase in daylight drives those who have been sitting on the fence to jump into the real estate market.
For families, the impetus to get Boca Raton luxury homes in the spring has to do with beating the start of the next school calendar. For others, it just goes along with the spring cleaning mindset of “out with the old and in with the new”.
Although we are just days into the official start of spring, it seems home buyers are restless this year and have already begun applying for home purchases, like Boca Raton luxury homes.
Demand for New Home Purchases on the Rise
The Builder Application Survey (BAS) conducted by the Mortgage Bankers Association (MBA) reports that February 2016 is already starting off with a bang. From January to February mortgage applications increased approximately 24 percent for those looking to buy new homes.
New single family home sales that had mortgage applications submitted to homebuilder affiliates in February show a total of 544,000, according to the MBA BAS survey. On a seasonally adjusted basis, this year’s applications are nearly 12 percent more than the number of applications put in at the same time last year.
Compared to January, which showed a total of 499,000, February’s seasonally adjusted estimate was up 9 percent when the two are compared month to month. On an unadjusted basis, the February 2016 estimates from the MBA show there were 47,000 new home sales, which is up 23.7 percent from January’s 38,000 new home sales.
The continued low interest rates and relatively mild weather may have help bolster these numbers, which the MBA experts report has increased across the board.
Loan Application Amounts and Types Applied for This Year
When it comes to the amount requested for new homes, on average it increased more than $2500 from January to February. January applications averaged $325,806 while February loan applications came in at an average of $328,370.
When it comes to the type of loans being applied for this year, the MBA BAS Survey identified the following:
- Conventional loans: 67.7 percent
- FHA loans: 18.7 percent
- RHS/USDA loans 0.8 percent
- VA loans: 12.8 percent
Boca Raton Luxury Homes Kick off Spring Buying Season
The spring buying season is slightly different in Florida. Since the weather is spring like all winter long, some of the busiest times in the Boca Raton real estate market is during the fall and winter. That is when many winter residents settle into the Palm Beach County area, and some make the decision to buy.
However, it can be as the season is ending that gives these seasonal residents a longing to own their own Boca Raton luxury homes. There is always a wide selection of options to choose from at the Berkshire Hathaway HomeServices Florida Realty Boca Raton real estate listings. See the latest available homes for sale in Boca Raton now!