Orlando home sales soar in March, pushing inventory to lowest level since 2013
Buyer activity increased significantly in March as it pushed the housing inventory in Orlando to the lowest level since May 2013, according to a monthly report from the Orlando Regional Realtor Association.
The supply of homes for sale dipped to just 2.48 months’ supply in March, a decrease of 19.3% from last year. For comparison, housing economists consider six months of supply to demonstrate a market that is balanced between buyers and sellers.
“Buyers have turned out in force for the start of Orlando’s traditional spring/summer buying season, enough to drive sales up by nearly 40% compared to last month,” ORRA President Bruce Elliott said. “The health of Orlando’s economy and job market are significant factors in the jump in sales, as a sense of urgency among buyers trying to beat an anticipated increase in mortgage rates.”
Interest rates have fallen for the past four weeks, according to a weekly survey from Freddie Mac. This could be pushing some buyers to purchase a home before rates begin to rise again. However, buyers have to compete for a limited number of homes for sale.
“Inventory remains a challenge for buyers, especially in the under-$300,000 range where choices are minimal and prices are being bid higher by multiple offers,” Elliott said.
The median home prices of all home types in Orlando increased 11.3% from March 2016 to $217,000. This is up from last year’s $195,000, and marks the 68th consecutive month of year-over-year increases in the median home price.
Single family homes that sold in March increased 10.6% from last year to $234,900 while the median price for condos increased 6.3% to $102,000.
Homes sold through ORRA jumped 12.4% in March to 3,437 sales. This is a shocking 40% above February’s 2,482 sales.
Source: “Orlando home sales soar 40% higher month-over-month,” www.housingwire.com