Orlando area home sales soared 19.88 percent in November, led by a thunderous 50 percent increase in the number of traditional sales, reports the Orlando Regional REALTOR® Association.
The jump in traditional sales, which typically have steeper price tags than foreclosures and short sales, drove Orlando’s median price to its highest in three years. The November median of $129,000 is 12.17 percent above that of November 2011 ($115,000) and 5.31 percent above that of October 2012 ($122,500).
Orlando’s overall median price has now posted positive year-to-year gains for 17 consecutive months. In addition, the median price has climbed 19 percent since January 2012 and 36 percent since January 2011.
"All of our indicators point to a clearly improving housing market in Orlando,” says ORRA Chairman Stephen Baker, RE/MAX Central Realty. "I’m particularly heartened by the jump in traditional sales, which illustrates a pent-up demand from buyers. This is what owners who want to sell — but have been reluctant to put their homes on the market — have been waiting for.”
All sales types experienced year-to-year increases in median price in November. The median price of normal sales increased 4.76 percent, while the median price of foreclosures increased 12.43 percent and short sales increased 4.76 percent.
Members of ORRA participated in 2,430 home sales that closed in November 2012, an increase of 19.88 percent compared to November 2011 and a 5.89 percent decrease compared to October 2012.
Compared to November of 2011, the number of short sales (705) decreased 6.62 percent and foreclosures (507) increased 9.74 percent. The number of completed traditional sales (1,218), however, jumped 50.37 percent compared to last year.
Homes of all types spent an average of 83 days on the market before coming under contract in November 2012, and the average home sold for 96.27 percent of its listing price. In November 2011 those numbers were 99 days and 95.19 percent, respectively.
The average interest rate paid by Orlando homebuyers in November, 3.47 percent, set yet another record as lowest average interest rate since ORRA began tracking the statistic in 1989. A year ago, homebuyers paid an average interest rate of 4.10 percent.
Pending sales – those under contract and awaiting closing – are currently at 8,847. The number of pending sales in November 2012 is 0.70 percent lower than it was in November 2011 (8,909) and 4.38 percent lower than it was in October 2012 (9,252).
Short sales, which take much longer to process from contract to close, made up 67.37 percent of pending sales in November 2012. Normal properties accounted for 21.04 percent of pendings, while bank-owned properties accounted for 11.60 percent.
The number of existing homes (all types combined) available for purchase in Orlando is continuing a steady decline that began back in July 2010 at 16,563 and now rests at 7,847. In November 2012, inventory was 22.58 percent less than it was in November 2011.
The inventory of single-family homes is down by 25.53 percent when compared to November of 2011, while condo inventory has decreased by 3.71 percent.
The month-of-supply increased a bit in November when compared to last month: Current inventory combined with the current pace of sales equates to a 3.23-month supply of homes in Orlando (there was a 3.13-month supply in October 2012).
This month’s increase in median price has led to a decrease in Orlando’s affordability index: The October index of 247.25 percent is eight points lower than October 2012’s index of 259.29 percent. (An affordability index of 99 percent means that buyers earning the state-reported median income are 1 percent short of the income necessary to purchase a median-priced home. Conversely, an affordability index that is over 100 means that median-income earners make more than is necessary to qualify for a median-priced home.)
Buyers who earn the reported median income of $54,758 can qualify to purchase one of 4,441 homes in Orange and Seminole counties currently listed in the local multiple listing service for $318,947 or less.
First-time homebuyer affordability in November decreased to 175.82 percent from last month’s 184.38 percent. First-time buyers who earn the reported median income of $37,235 can qualify to purchase one of the 3,195 homes in Orange and Seminole counties currently listed in the local multiple listing service for $192,786 or less.
Condos and Town Homes/Duplexes/Villas
The sales of condos in the Orlando area increased by 22.74 percent in November when compared to November of 2011 (367 to 299).
The most (110) condos in a single price category that changed hands in November were yet again in the $1 - $50,000 price range and accounted for 29.97 percent of all condo sales.
Orlando homebuyers purchased 219 duplexes, town homes, and villas in November 2012, which is a 1.35 percent decrease compared to November 2011. Most (32 each) fell equally within the $100,000 - $120,000 and the $140,000 - $160,000 price range categories.
Sales of existing homes within the entire Orlando MSA (Lake, Orange, Osceola, and Seminole counties) in November were up by 13.40 percent when compared to November of 2011. Throughout the MSA, 2,869 homes were sold in November 2012 compared with 2,530 in November 2011. To date, sales are up 0.82 percent for all counties combined.
Each individual county’s monthly sales comparisons are as follows:
Lake: 27.87 percent above November 2011 (390 homes sold in November 2012 compared to 305 in November 2011);
Orange: 5.80 percent above November 2011 (1,440 homes sold in November 2012 compared to 1,361 in November 2011);
Osceola: 3.62 percent above November 2011 (458 homes sold in November 2012 compared to 442 in November 2011); and
Seminole: 37.68 percent above November 2011 (581 sold in November 2012 compared to 422 in November 2011).
For detailed statistical reports, please click on "Market Info” on the top menu bar.
This representation is based in whole or in part on data supplied by the Orlando Regional REALTOR® Association and the My Florida Regional Multiple Listing Service. Neither the association nor MFRMLS guarantees or is in any way responsible for its accuracy. Data maintained by the association or MFRMLS may not reflect all real estate activity in the market. Due to late closings, an adjustment is necessary to record those closings posted after our reporting date.
ORRA REALTOR® sales, referred to as the core market, represent all sales by members of the Orlando Regional REALTOR® Association, not necessarily those sales strictly in Orange and Seminole counties. Note that statistics released each month may be revised in the future as new data is received.
Orlando MSA numbers reflect sales of homes located in Orange, Seminole, Osceola, and Lake counties by members of any REALTOR® association, not just members of ORRA.