Dec. 11, 2023

This paid piece is sponsored by Amy Stockberger Real Estate.

By Amy Stockberger

As we look toward 2024, the Sioux Falls real estate market is buzzing with opportunities. With changes in loan limits, buyer preferences and our unique services like Seller Operation Support and Lifetime Home Support, understanding these dynamics is key.

Increased loan limits in 2024

The Federal Housing Finance Agency has raised loan limits for 2024, reflecting rising home values. The new limit for one-unit properties will be $766,550, a significant increase from 2023. Additionally, for Federal Housing Administration loans, which are popular among first-time buyers, the loan limit will be $498,257. This increase in spending power is expected to empower more buyers in Sioux Falls with greater purchasing power.

Home equity surge

A CNBC report shows that U.S. homeowners have a staggering $30 trillion in tappable equity, averaging about $200,000 per homeowner while maintaining a 20 percent equity cushion. This equity can be leveraged for renovations, investing in property, paying off debts or starting a business.

According to Zillow, nearly one in four homeowners are considering selling their homes in the next three years. This statistic indicates a potential increase in market activity, presenting opportunities for both buyers and sellers in Sioux Falls.

Buyer demand on the rise

With home prices continuing to rise and mortgage rates stabilizing, we’re seeing an influx of buyers reentering the market. This increased competition could further drive up prices, especially as we roll into the new year. Our local Sioux Falls market reflects new listings up by 22.3 percent and median sales prices increasing by 7.9 percent. This has provided more opportunity for buyers with more options available. As I have said before, low inventory creates low inventory. Homeowners often don’t put their home on the market until they find one they want to replace it with. 

While the greater Sioux Falls area saw a 2 percent increase in closed sales in November year over year, it is important to note that amount likely is higher because there is still a good amount of off-market sales happening throughout the city that are not being reported on the Multiple Listing Service. For this reason and countless others, it is critical to work with a seasoned real estate broker who has the pulse on properties coming up for sale.

2024 home price predictions

Expert predictions for U.S. home prices in 2024 look healthy and point toward a dynamic market:

• Goldman Sachs predicts a modest increase of .60 percent, suggesting a stabilizing market.
• Wells Fargo forecasts a 2.5 percent rise, indicating continued growth.
• The AEI Housing Center projects a more robust growth of 7 percent.
• Mortgage Bankers Association anticipates a 1.1 percent increase.
• Fannie Mae expects a 2.8 percent rise.
• Zillow estimates a 3.3 percent increase.

It’s important to remember that real estate markets are highly localized. Just like weather patterns, home prices vary greatly from one region to another.

Emerging trends and buyer preferences leading to enhanced services

As we navigate the evolving landscape of the 2024 real estate market in Sioux Falls, understanding emerging trends and buyer preferences is crucial for both buyers and sellers.

Home trends buyers are looking for

Recent data, including insights from Houzz’s U.S. Emerging Trends Report, indicate specific features that increasingly are sought after by homebuyers:

• Kitchens designed for entertaining: The demand for open-concept kitchens that blend seamlessly with family living spaces has surged by 76 percent.
• Accessible and aging-in-place bathrooms: There’s a growing interest in bathrooms that are both accessible and adaptable for aging in place, with searches more than doubling.
• Revamped outdoor spaces: The appeal of small plunge pools and compact pool houses has seen a significant increase, nearly tripling in interest.
• Innovative ceiling designs: Inquiries for unique ceiling designs, including high-gloss, painted and black ceilings, as well as tongue-and-groove ceilings, have risen sharply.
• Fun and unique living spaces: Features like basement golf simulators have seen a dramatic spike in interest, indicating a desire for homes with unique entertainment options.

These trends reflect a shift toward homes that offer both functionality and unique aesthetic appeal, catering to a diverse range of lifestyles and preferences.

Turnkey properties: A rising demand

Aligned with these trends, there’s a noticeable preference for turnkey properties in the market. Buyers are leaning increasingly toward homes that are move-in ready and require minimal renovations. This shift is driven partly by the current economic landscape, where mortgage rates and construction costs make turnkey homes more appealing. Properties that offer updated features such as modern kitchens, renovated bathrooms and well-maintained outdoor spaces are particularly attractive to buyers.

Seller Operation Support program

In response to these trends and preferences, our Seller Operation Support program is perfectly positioned to assist sellers in maximizing their home’s potential. The SOS program offers comprehensive project management, helping sellers upgrade and prepare their homes to meet these emerging buyer demands. From coordinating with trusted professionals on our trusted Home Support Team for renovations to ensuring that your home aligns with current market trends, the SOS program is designed to make your home stand out in the competitive Sioux Falls market.

Lifetime Home Support: An integrated approach

Our approach at Amy Stockberger Real Estate goes beyond just buying and selling. With our Lifetime Home Support system, we provide ongoing assistance throughout your homeownership journey before, during and forever. This includes support in understanding and adapting to market trends, making informed decisions about home improvements and ensuring that your property remains a valuable asset in the ever-changing real estate landscape.

Navigating the 2024 market with confidence

As we look toward 2024, understanding these trends and preferences, and leveraging the right support systems are keys to success in the Sioux Falls real estate market. Whether you’re considering selling your home or looking to buy a property that aligns with these trends, our team is here to guide you every step of the way.

Learn more about how Amy Stockberger Real Estate’s Lifetime Home Support model provides buyers and sellers with a system and strategy for each stage of the homebuying and selling process here.

Looking to buy or sell a home? Visit Amy Stockberger Real Estate here.

Click here to view our listings.

Get your first look at our new twin homes here.

Click here if you are considering a relocation to Sioux Falls or the surrounding area or want a free relocation packet full of nuggets of info about the best of Sioux Falls.

Considering a career in real estate or thinking about making a move? See how Amy Stockberger Real Estate guarantees to build big, juicy legacies for everyone in our ecosystem. 

Click here to see if your company is a fit for our Home Support Team.

Click here for info on Amy Stockberger Real Estate’s free VIP Club.

Click here for details on Amy Stockberger Real Estate’s Love It or Leave It Guarantee.

Need a conference or training room? Use ours.

Find Amy Stockberger Real Estate on Facebook here.

Thompson Place Twin Homes at Nine Mile Lake: Anticipated early spring completion for select units