Orlando Real Estate News

June 10, 2009

 

 

Wave of sales in the pipeline buoys Orlando housing market

(June 10, 2009 - Orlando, FL) Members of the Orlando Regional REALTOR® Association in May

sold nearly 38 percent more homes than in May of last year, contributing to the area's

year-to-date sales increase of 44 percent.

 

There were 1,854 closings in May, which brings the year's total to 7,834; a total of 5,462

homes had changed by this time last year. Of those May sales, 50.97 percent of the

homes were either bank-owned (795)

or distressed (150). The remaining (909) "normal" sales made up 49.03 percent.

 

Bank-owned and distressed home sales have an influence on Orlando's reported

median price. The median price of all Orlando homes sold in May is $130,000

(a 38.51 percent decrease compared to May 2008), but the median

price for "normal" sales is $165,000. The median price for bank-owned sales

is $82,000 and the median price for distressed sales is $140,000.

 

"There are two levels of pricing in the current market," explains ORRA President

Les Simmonds, L.G. Simmonds Real Estate Corp. "Traditional homes in good

condition have held their value much better, so owners shouldn't

be overly concerned about median prices. Most sellers can expect a good

return if they've been in their homes for a normal period of homeownership

and haven't excessively tapped their equity."

 

In addition to an increase in completed sales in Orlando, there is more

than double the number of homes currently awaiting closings (6,603) than

in May of last year (3,225). Those pending sales, of which 3,455 are

homes that came under contract in the month of May alone (the most in

one month this year), are forward-looking

 indicators of an improving market.

 

The area's average interest rate increased in May to 4.90 percent, up from

4.86 percent in April and 4.67 percent in March. This historically low interest

rate contributes to Orlando's affordability index, which continues to hover

near the 200.00 percent mark, 197.65 percent to be exact. (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 $52,364 can qualify to purchase one of 10,609 homes in

Orange and Seminole counties currently listed in the local multiple listing

service (MLS) for $256,939 or less.

 

The first-time homebuyer affordability in Orlando is currently 140.55 percent.

First-time buyers who earn the reported median income of $35,608 can qualify

to purchase one of 6,517 homes in Orange and Seminole

counties currently listed in the local multiple listing service (MLS) for $155,306 or less.

 

Homes of all types spent an average of 104 days on the market before being

sold in May 2009, and the average home sold for 94.19 percent of its listing

price. In May 2008 those numbers were 115 and 93.83 percent,

respectively.

 

An equal number (149) of single-family homes sold in three price categories

 in May 2009: $120,000 - $140,000, $140,000 - $160,000, and $200,000 -

$250,000, which is the price range where most sales traditionally fall.

On the far ends of the scale, seven homes were sold for $1 million or more

while 97 homes sold for less than $50,000.

 

Inventory

 

There are currently 19,123 homes available for purchase through the MLS.

Inventory decreased by 1,071 homes

from April 2009, which means that 1,071 more homes left the market than

entered the market. Compared to last year, the May 2009 inventory level is

23.55 percent lower than it was in May 2008 (25,015).

 

The inventory level reflects a 10.31-month supply at the current pace of sales,

which is down a bit from the 10.89-month supply recorded in April 2009 down

significantly from the 18.57-month supply recorded in

May of last year. Altogether, inventory months-of-supply has declined 52.14

percent since January 2009.

 

There are 13,734 single-family homes currently listed in the MLS, a number

that is 4,931 (26.42 percent) less than this time last year. As usual, most

(1,647) are listed in the $200,000 - $250,000 price range.

Condos currently make up 3,674 offerings in the MLS, while duplexes/

town homes/villas make up the

remaining 1,715. Most condos (632) are priced below $50,000; the majority

of duplexes/town homes/villas (261) are listed in the $120,000 - $140,000

price category.

 

Condos and Town Homes/Duplexes/Villas

 

The sales of condos in the Orlando area increased by 159.86 percent in

May when compared to May of last year, following year-to-year increases

 of 252.22 percent and 189.74 percent in March and April. A total of 369

condos changed hands in May of this year compared to 142 in May 2008.

One thousand three hundred seventy-eight condos have sold to date

this year, a 148.29 percent increase over last year's 555.

 

The most (198) condos in a single price category that changed hands

were in the $1 - $50,000 price range, more than four times the number

(46) that were sold in the next most populated category ($50,000 - $60,000).

Only three condos sold for more than $350,000 in May.

 

Orlando homebuyers purchased 156 duplexes, town homes, and villas in

May 2009, which is a 35.65 percent increase from May 2008 when 115 of

these alternative housing types were purchased. The majority (29) of

duplexes, town homes, and villas sold in April 2009 fell into the $100,000 -

$120,000 price category.

 

MSA Numbers

 

Sales of existing homes within the Orlando MSA (Lake, Orange, Osceola,

and Seminole counties) in May were up by 44.40 percent when compared

to May of last year. Throughout the entire MSA, 2,400 homes

were sold in May 2009 compared with 1,662 in May 2008. To date, MSA

sales are up by 51.71 percent over this time last year, with sales at 10,005

compared to 2008's 6,595.

 

Each county's year-to-date sales comparisons are as follows:

 

Lake:

 20.25 percent above 2008 (1,443 homes sold to date in 2009 compared to 1,200 in 2008);
Orange:

66.38 percent above 2008 (5,281 homes sold to date in 2009 compared to 3,174 in 2008);
Osceola:

108.98 percent above 2008 (1,908 homes sold to date in 2009 compared to 913 in 2008); and
Seminole:

4.97 percent above 2008 (1,373 sold to date in 2009 compared to 1,308 in 2008).

 

For detailed statistical reports, please visit www.orlrealtor.com and click on Housing Statistics on the top menu bar.

This representation is based in whole or in part on data supplied by the Orlando Regional Realtor® Association or

its Multiple Listing Service (MLS).  Neither the Association nor its MLS guarantees or is in any way responsible for

its accuracy. Data maintained by the Association or its MLS 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.

 

	June 10, 2009
Members of the Orlando Regional REALTOR® Association in May sold nearly 38 percent more homes than in May of last year, contributing to the area's year-to-date sales increase of 44 percent. (More)
	For a printable version of this report, please click here (.pdf)
ORRA Originated Sales May 2008 5.94% 25,015 4,195 2,010 3,225 463 1,579 1,709 1,347* 115* June 2008 6.35% 24,575 4,189 2,031 3,329 535 1,739 1,685 1,489* 121* July 2008 6.40% 24,742 4,388 1,947 3,258 566 1,661 1,657 1,472* 116* August 2008 6.39% 24,834 4,064 1,669 3,220 545 1,697 1,566 1,280* 113* September 2008 6.00% 24,690 4,099 1,908 3,256 594 1,683 1,578 1,394* 112* October 2008 6.30% 24,657 4,289 1,959 3,316 607 1,691 1,675 1,228* 110* November 2008 6.00% 24,408 3,594 1,644 3,326 566 1,453 1,575 1,110* 108* December 2008 5.40% 22,524 3,460 1,871 3,265 597 2,707 1,579 1,445* 107* January 2009 5.28% 22,613 4,340 2,282 3,830 556 1,377 1,598 1,050* 103* February 2009 5.25% 22,168 3,876 2,434 4,348 599 1,134 1,488 1,322* 100* March 2009 4.67% 21,448 4,043 2,956 4,906 665 1,290 1,426 1,754* 103* April 2009 4.86% 20,194 3,715 3,412 5,818 648 1,014 1,339 1,854* 102* May 2009 4.90% 19,123 3,754 3,455 6,603 690 958 1,300 1,854 104

 

* Monthly revised sales. Complete stats and data may be found under Housing Statistics at orlrealtor.com. Comments or suggestions? Contact Mike Blinn, Statistician. Market PulseTM data represents all listings taken or sold by ORRA brokers, regardless of location and is exclusive to residential property, which includes townhomes, duplexes, single-family homes, and condos. It does not include vacant land or commercial transactions.

 

 

 

 

 

 

 

 

 

 

 

 

 For information on great real estate buys in Orlando and nearby suburbs,
contact the Orlando Property Group, your short sale and luxury home specialists.

Or Search Now for Real Estate & Homes in the Orlando Florida Area

 

Looking for specific information regarding Orlando Florida real estate prices and communities? Get Your Free Market Snapshot

Read Also: Homes May be Undervalued Today

Read Also: Uniform Short Sale Guidelines in the Works.

Read Also: HUD Secretary Announces Monetization of Tax Credit

Read Also: Price Stabilization is the First Step to Recovery

 

If you want to sell your Seminole County or Orlando area home in the next 6 to12 months, now is the time to begin putting your plan into place while time is still on your side. Please contact us for any real estate assistance you may need.

We're experts at putting people together with homes they love and can afford. Contact us today for information on Orlando and Seminole County real estate, Orlando & Seminole County homes for sale, Orlando & Seminole County relocation information, a free market analysis of your Orlando area or Seminole County home or statistics on homes in Orlando & Seminole County Florida or the surrounding Central Florida area, including Seminole County, Orange County, Lake County and Volusia County. We're always available to answer your questions.

 

 

Related Posts

Florida's Existing Home, Condo Sales Rise in April 2009
Orlando Market Update
Housing Market Indicators
Miami Job Losses Hinder Housing Comeback
Florida existing-home sales rising as prices Fall


http://www.orlandofloridarealestatehomes.com/009857