The Central Florida housing market is off to an amazing start with double digit median home price gains in January! According to the Orlando Regional REALTOR Association (ORRA), the January median home price grew 13.87% over January 2015 to $176,500, and it grew 4.59% over December.
The news is even better when we just look at “normal” sales (non-bank owned or short sales). The median home price for normal home sales grew 7% year-over-year to $198,000. Short sales grew 2.94% and bank owned sales grew 4.19%. When we look at just single family homes, the year-over-year median price grew 12.73% while condos grew 11.71%.
While home prices continue to climb, the number of sales is down creating greater demand for the available inventory. January 2016 homes sales dropped 17.69% year-over-year and they are down 33% over December. Members of the Orlando Regional REALTOR Association participated in 1,745 sales in the month of January. Tradition/normal sales represented nearly 75% of the sales completed in January which is great news for homeowners.
When we break down the sales by type of sale, the news is great for homeowners that have equity in their home. The number of normal sales increased 2.67% year-over-year. Foreclosures and short sales were the driving factor in the year-over-year decline of overall sales with foreclosures down 51.23% and short-sales were down nearly 30%. We can continue to expect to see these types of numbers as the distressed inventory in our market continues to decline and the market normalizes.
Here are the sales increases/decreases by Central Florida county:
- Lake: 9.57 percent above January 2015;
- Orange: 6.02 percent below January 2015;
- Osceola: 5.26 percent above January 2015; and
- Seminole: 3.58 percent above January 2015.
Inventory continues to be a low levels creating a strong demand in the market. The average time homes spent on the market was 78-days before going under contract in January 2016. The average home closed for 96% of the original listing price.