Team Donovan Blog

 

 

Inventory levels rose 3.5% from September to October, from 6,884 to 7,128 representing the eighth straight month of inventory increases. Inventory levels during October were 109.3% higher than October 2021, when the market recorded 3,406 listings.  Homes spent an average of 38 days on the market during the month which was up from 31 days in September. New listings were down 8.3% from September to October, with 3,041 new listings entering the market.  Overall sales were steady compared to September with 2,716 sales which was just one sale below September.  The October interest rate was 7%, a 10% increase from the 6.3% rate in September with rates having not been at this level since May 2002.  The median home price for the month was $365,000, the same median home price as September. This comes after three consecutive months of decreasing median home prices.  Pending sales decreased 24% from September to October for a total of 2,915 pending sales with 20 distressed homes (bank-owned properties and short sales) accounting for 0.7% of homes sold in October which represents a 66.7% increase from September, when 12 distressed homes sold.  Orlando area inventory was up by 3.5% from September to October with from 6,884 homes to 7,128. The Orlando supply of homes increased to a 2.6 month level during October with this being the third month since June 2020 that the market has offered in excess of a two month level of supply. A balanced market is generally regarded as offering a six month level of inventory. 

Florida...

The Florida housing market reported higher median prices and more inventory during October compared to a year ago, though inflation and rising interest rates remained a factor for buyers, according to Florida Realtors®’ latest housing data. Closed sales of single family homes statewide last month totaled 20,837, down 24.6% year on year, while existing condo and townhome sales totaled 8,356, a fall of 26.9% from October 2021, according to data from Florida Realtors Research Department in partnership with local Realtor boards/associations. The statewide median sales price for an existing single family home was $401,990, up 12% from the previous year whilst for condo and townhome units, it was $310,000, up 19.2% from a year ago. The states supply of listings continued to build, easing inventory constraints in many markets across the state. Homes in Florida continue to go under contract quickly, though the time to contract has shown signs of a slight increase.  The median time to contract for an existing single family home in October was 25 days compared to 12 days during the same month a year ago. The median time to contract for existing condo and townhome units was 25 days compared to 15 days a year ago.  Statewide inventory was higher last month than a year ago for both existing single family homes, up 88.4%, and for condo and townhome units, up 31%. The supply of existing single family homes increased to a 2.7 month supply while existing condo and townhome properties offered a 2.5 month level at the current sales pace. According to Freddie Mac, the interest rate for a 30-year fixed rate loan averaged 6.90% during October, significantly up on the 3.07% average rate offered during the same month tweleve months ago.

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The nations existing home sales retreated for the ninth straight month during October, according to the National Association of Realtors®  with all four major U.S. regions registering month on month and year on year sales declines. Total existing closings for all home types decreased 5.9% from September to a seasonally adjusted annual rate of 4.43 million during October. Year on year, sales fell 28.4% (down from 6.19 million in October 2021). Total housing inventory stood at 1.22 million units, down 0.8% from both September and the one year ago level of 1.23 million. Unsold inventory sits at a 3.3 month supply at the current sales pace, up from 3.1 months in September and a 2.4 month level back in October 2021.  The median existing home price for all housing types was $379,100, a gain of 6.6% from the October 2021 level of $355,700 with prices rising in all regions. This marked 128 consecutive months of year on year increases, the longest running streak on record. Properties typically remained on the market for 21 days during October, up from 19 days in September and 18 days in October 2021. First time buyers were responsible for 28% of all sales during October, down from 29% in both September 2022 and October 2021 whilst an NAR report released during the month, found that the annual share of first time buyers was 26%, the lowest since NAR began tracking this data.  Cash buyers accounted for 26% of all transactions, up from 22% in September and 24% in October 2021. Individual investors or second home buyers, who make up many cash sales, purchased 16% of all homes during the month, up from 15% in September, but down from 17% in October 2021.  Distressed sales of foreclosures and short sales represented 1% of total closings, down from 2% in September and identical to October 2021.  Total Single family home sales declined to a seasonally adjusted annual rate of 3.95 million, down 6.4% from 4.22 million in September and 28.2% from a year ago. The median existing single family home price was $384,900, up 6.2% from October 2021. Existing condominium and co-op sales recorded a seasonally adjusted annual rate of 480,000 units during October, down 2% from September and 30.4% from the previous year. The median existing condo price stood at $331,000 representing a year on year increase of 10.1%.