The only thing hotter than the our afternoon high temperatures is Orlando home sales. The Orlando Regional REALTOR® Association released the June 2015 housing report and the numbers are all good. Orlando homes sales increased 21.21% over June of 2014 helped by a surge in traditional sales. This represents the highest number of sales in a single month since the Orlando Regional REALTOR® Association began tracking the data. The median home price also saw a solid increase in June climbing 7.73% over the previous year to $181,500. This marks the 47th consecutive month for positive median home price growth.
All Indicators Show Healthy, Sustainable Growth
Every way you dissect the sales numbers from ORRA, they show that Orlando’s growth is solid, stable and healthy. The 21.21% growth represents 3,435 homes that closed in June 2015, which was 10.20% higher than May 2015. Orlando REALTOR Kevin Johnson, Broker/Owner of OneBlue Real Estate, was extremely pleased with the numbers. “Summertime is the prime selling season here in Central Florida and the numbers show it. Prices continue to rise along with home sales due to low inventory and a surge in buyers.”
Lower inventory also means homes aren’t’ sitting on the market as long as in months and years past. In June 2015, we saw the homes going under contract after being on the market for just 67-days. This is a decrease from 71-days in June of 2014.
Interest Rates Rising; Orlando Affordability Still Strong
Orlando homebuyers have officially said farewell for now to interest rates below 4%. In June 2015, the average interest rate for closed transactions was 4.08%, which is an increase from the May 2015 average of 3.92%.
The good news for homebuyers is that while the affordability index1 slipped slightly, the index for June 2015 is still strong at 168.23%. This means that buyers who have a median household gross income of $56,524 could potentially qualify to purchase 5,515 homes in the area valued at around $305,000 or lower. For first time homebuyers with a median income of $38,437, they could potentially qualify for over 2,900 homes in the area valued at $184,500 or less.
There’s never been a better time to buy or sell a home in Orlando. Contact a OneBlue Real Estate REALTOR® today by calling us direct at 321-250-5222.
1An 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.
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 accurate.
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.