Team Donovan Blog

 

Total July resort area sales of 487 homes were 7.8% lower than the June total of 525 but 17.9% above the 413 recorded sales in July 2020 when Florida was just opening up from lockdown. For the first time in some time month on month inventory increased in the market as the total number of home listed for sale increased from 385 to 449. This increase is still substantially below the 1,500 listings that were recorded in July 2020 in what was a very different market.  A home that closed during July achieved on average 98.6% of its listed price after an average of 97 days from listing to closing. A year ago the average days to sell was also 97 but the asking price percentage achieved was an average of 97.7%.  During July 50 homes were withdrawn from the market having failed to sell which compared to 111 a year ago. The markets median price was up 9.8% year on year from $239,844 to $263,438. The number of homes under offer/contract at the end of July 2021 recorded as 731 which was a pipeline increase of 3.5% from a year ago but down 8.3% from the June 2021 total of 792. Overall inventory at the current sales pace reflects a 1 month supply which compares to the 0.73 month level last month and to provide further context, compares to a 3.6 month supply in July 2020.

 

 

The median home prices for the Orlando area market reached a new high in June 2021 of $315,000 which was a 5% increase from the previous month and a 19% increase from  June 2020, when the median home price stood at $265,000. Sales were up 14% from May this year, as the number of new listings continued to rise. This is on par with nationwide trends noted by the National Association of REALTORS®. O.R.R.A members sold 4,414 homes during June 2021 which represented a 14% increase from the 3,872 homes closed in May 2021. Compared to June 2020, when Central Florida reopened from lockdowns, home sales were up 42%. Average interest rates ticked down slightly to 2.95% during June 2021 which was a .02% fall from May 2021 with this being the third straight month that the average interest rate has fallen since they began to move up in December 2020. Orlando area listings spent an average 29 days on the market during the month which was one full week less than in May 2021. The 36 distressed homes (bank-owned properties and short sales) accounted for 0.8% of all home sales during June, a decline from the previous month.  Orlando area inventory overall is down 52.8% from the 6,557 homes of June 2020 to just 3,091 although it has increased 9.8% from the 2,822 homes listed back in May 2021. The overall supply of homes stood at just three weeks supply in June 2021, staying steady from the two previous months. The number of new listings increased for a fourth straight month to 4,617 home which was an increase of 21% year on year and a 7% increase from May 2021 to June 2021. Overall there was just 0.7 months of supply in  June, which is a slight fall from May 2021. A balanced market is generally considered to offer a six month inventory supply.

 

 

The Florida housing market continued the same trends as previous months with more closed sales, higher median prices and more new listings compared to a year ago, according to Florida Realtors® latest housing data. New listings of existing single family homes were up 21.6% year on year, while new listings for condo and townhome properties increased 10%.  However, while Florida Realtors data shows that new listings have remained at fairly typical numbers even throughout most of the pandemic, it has not maintained the levels needed to keep up with increased buyer demand. Closed sales of single family homes statewide during June totaled 34,165, up 23.6% year on year, while existing condo and townhome sales totaled 16,155, up 79.6% from June 2020. The statewide median sales price for an existing single family home during June stood at $351,000, up 24.5% from the previous year, according to data from Florida Realtors Research Department in partnership with local Realtor boards/associations. Last months statewide median price of a condo and townhome unit was $256,945, up 22.4% from a year ago. In the single family market, 31% of all sales were cash purchases compared to 19% a year ago and 22.4% in 2019 with about 56% of single family sales over a million dollars in June being cash purchases.  On the supply side of the market, total inventory of active listings remained tight with existing single family homes at a 1.2 month level of supply while condo and townhome inventory offered a 1.8 month level.

 

 

U.S. home sales rebounded during June after four straight monthly declines, but the pace was moderate as higher prices and low inventory continued to provide constraints. Existing home sales increased 1.4% to a seasonally adjusted annual rate of 5.86 million units, the National Association of Realtors reported during the month. Sales rose in the Northeast, West and Midwest whilst sales were unchanged in the more densely populated South. Economists polled by Reuters had forecast sales would rise to a rate of 5.90 million units during June. Home resales, which account for the bulk of U.S. home closings, increased 22.9% on a year on year basis. The median existing house price increased 23.4% from a year ago to $363,300 with higher prices in part due to sales being concentrated in the upper end of the market. Bidding wars have become the norm across the country, though the NAR has observed that the number of multiple offers was appearing to decline. In June, properties typically spent 17 days on the market, equaling Mays all time low with 89% of homes that sold last month on the market for less than a month. First time buyers accounted for 31% of all sales in June, down from 35% a year ago. There were 1.25 million previously owned homes on the market last month, down 18.8% from one year ago. At the June sales pace, it would take 2.6 months to exhaust the nations current inventory, down from a 3.9 month level one year ago.