Thursday, July 20, 2017

Orlando median price, sales on the rise as inventory slide decelerates

The median price of Orlando homes sold during the month of June increased more than 7 percent while sales likewise climbed nearly 8 percent compared to June 2016, reports the Orlando Regional REALTOR® Association. Inventory continued its year-over-year slide but registered the smallest decline this year: 14 percent. Orlando’s overall median home price (all home types combined) is $222,500, which is 7.5 percent above the June 2016 median price of $207,000. Year-over-year increases in median price have been recorded for the past 71 consecutive months; as of June 2017, the overall median is 92.6 percent higher than it was back in July 2011. The median price for single-family homes that changed hands in June increased 8.0 percent over June 2016 and is now $243,000. The median price for condos increased 11.7 percent to $110,000. The overall average home price for June 2017 is $269,811, an increase of 7.5 percent over the average home price in June 2016. The average home listed for $276,779 in June and sold for 97.5 percent of its listing price (96.9 percent in June 2016). Sales Members of ORRA participated in 3,837 sales of all home types combined in June, which is 7.9 percent more than the 3,556 sales in June 2016 and 0.21 percent less than the 3,845 sales in May 2017. ORRA President Bruce Elliott, Regal R.E. Professionals LLC, explains that the downward trend in mortgage rates helped Orlando’s sales activity expand in June despite the ongoing inventory challenge. “Those able to close on a home last month are probably feeling both happy and relieved,” says Elliott. “Listings in the affordable price range are scarce, homes are coming off the market at an extremely fast pace, and the prevalence of multiple offers in some cases are pushing prices higher." Sales of single-family homes (3,047) in June 2017 increased by 6.80 percent compared to June 2016, while condo sales (436) increased 8.2 percent. Sales of distressed homes (foreclosures and short sales) reached only 261 in June and is 38.4 percent less than in June 2016. Distressed sales made up 6.8 percent of all Orlando-area transactions last month. The average interest rate paid by Orlando homebuyers in June was 3.98 percent, down from 4.09 percent the month prior. The overall inventory of homes that were available for purchase in June (9,141) represents a decrease of 14.0 percent when compared to June 2016, and a 4.1 percent increase compared to last month. There were 12.5 percent fewer single family homes and 21.9 percent fewer condos. Current inventory combined with the current pace of sales created a 2.38-month supply of homes in Orlando for June. There was a 2.99-month supply in June 2016 and a 2.28-month supply last month. MSA Numbers Sales of existing homes within the entire Orlando MSA (Lake, Orange, Osceola, and Seminole counties) in May are up by 5.3 percent when compared to June of 2016. Year to date, MSA sales are up 5.8 percent Each individual county’s sales comparisons are as follows: •Lake: 5.8 percent above June 2016; •Orange: 7.1 percent above June 2016; •Osceola: 15.4 percent above June 2016; and •Seminole: 6.3 percent below June 2016. 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. #orlandorealestate #centralfloridarealestate #carolynburgiel #orlandorealtor #luxuryrooftops Reprinted with permission Florida Realtors. All rights reserved.

Friday, June 16, 2017

Sales and median price increase as interest rate dips during Orlando's homebuying season

Orlando home sales increased 14 percent in May compared to May of 2016 while the median price jumped 7 percent, reports the Orlando Regional REALTOR® Association. Inventory continued its year-over-year slide and dropped by 16.8 percent, but a small relief was found in the 1 percent increase in the number of homes available in May compared to April.

Orlando’s overall median home price (all home types combined) is $218,000, which is 7.4 percent above the May 2016 median price of $203,000. Year-over-year increases in median price have been recorded for the past 70 consecutive months; as of May 2017, the overall median is 88.7 percent higher than it was back in July 2011.

The median price for single-family homes that changed hands in May increased 6.2 percent over May 2016 and is now $235,000. The median price for condos increased 21.7 percent to $118,000.

The overall average home price for May 2017 is $258,322, an increase of 6.0 percent over the average home price in May 2016. The average home listed for $265,375 in May and sold for 97.3 percent of its listing price (97.1 percent in May 2016).


Sales

Members of ORRA participated in 3,817 sales of all home types combined in May, which is 14.0 percent more than the 3,347 sales in May 2016 and 23.5 percent more than the 3,092 sales in April 2017.

“Orlando homes are selling at the quickest clip since the red-hot market of 2005,” says ORRA President Bruce Elliott, Regal R.E. Professionals LLC. “Not only is the area’s 2.30 months of supply statistic at its lowest point since September 2005, nearly 30 percent of those homes sold in May came under contract after less than eight days on the market.”

Elliott attributes the rise in sales to steady declines in the interest rate and three consecutive month-to-month positive – albeit tiny – increases in the number of available homes resulting from more sellers recognizing favorable conditions and listing their properties. “In addition, the very significant increase in sales compared to last month can be explained by an unusual dip in closing transactions in April. “The decline last month appears to be an anomaly cause in part by the later tax return deadline,” explains Elliott.

Sales of single-family homes (3,012) in May 2017 increased by 13.2 percent compared to May 2016, while condo sales (422) increased 15.0 percent.

Sales of distressed homes (foreclosures and short sales) reached only 276 in May and is 31.0 percent less than in May 2016. Distressed sales made up 7.2 percent of all Orlando-area transactions last month.

The average interest rate paid by Orlando homebuyers in May was 4.09 percent, down from 4.11 percent the month prior.

The overall inventory of homes that were available for purchase in May (8,781) represents a decrease of 16.8 percent when compared to May 2016, and a 1.2 percent increase compared to last month. There were 16.2 percent fewer single family homes and 22.5 percent fewer condos.

Current inventory combined with the current pace of sales created a 2.30-month supply of homes in Orlando for May. There was a 3.15-month supply in May 2016 and a 2.81-month supply last month.

MSA Numbers


Sales of existing homes within the entire Orlando MSA (Lake, Orange, Osceola, and Seminole counties) in May are up by 9.2 percent when compared to May of 2016. Year to date, MSA sales are up 5.8 percent.

Each individual county’s sales comparisons are as follows:

Lake: 6.5 percent above May 2016;
Orange: 7.3 percent above May 2016;
Osceola: 11.0 percent above May 2016; and
Seminole: 14.6 percent above May 2016.

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.

Monday, May 15, 2017

Orlando median home price continues upward climb as sales and inventory dip

Orlando home sales declined 4 percent in April compared to April of 2016, in large part the result of sustained declines in the number of homes available for purchase. Orlando’s skimpy inventory also continued to push prices upwards, with the area’s year-over-year median home price again hitting a double-digit increase.

Orlando’s overall median home price (all home types combined) is $215,000, which is 12.0 percent above the April 2016 median price of $192,000. Year-over-year increases in median price have been recorded for the past 69 consecutive months; as of April 2017, the overall median is 86.2 percent higher than it was back in July 2011.

The median price for single-family homes that changed hands in April increased 11.2 percent over April 2016 and is now $233,500. The median price for condos increased 20.0 percent to $108,000.

The overall average home price for April 2017 is $252,653, an increase of 9.7 percent over the average home price in April 2016. The average home listed for $260,321 in April and sold for 97.1 percent of its listing price (97.12 percent in April 2016).

Sales
Members of ORRA participated in 3,061 sales of all home types combined in April, which is 3.5 percent less than the 3,172 sales in April 2016 and 12.0 percent less than the 3,477 sales in March 2017.

“Despite the decline in sales compared to last month — March experienced record-setting increase that REALTORS® anecdotally attribute to market-savvy buyers seeking to get a jump on the traditional spring/summer homebuying season — conditions remain favorable to sellers,” says Orlando Regional REALTOR® Association President Bruce Elliott, Regal R.E. Professionals LLC. “We’re seeing buyers compete for homes with tactics such as above-price offers, cash for sellers’ closing costs, and minimal contingencies, particularly for properties within the highly desired under-$300,000 price range. At the higher price points, buyers are more likely to both find a suitable property and successfully negotiate a price reduction.”

Sales of single-family homes (2,373) in April 2017 decreased by 4.9 percent compared to April 2016, while condo sales (381) increased 3.0 percent.

Sales of distressed homes (foreclosures and short sales) reached only 247 in April and is 56.5 percent less than in April 2016. Distressed sales made up 8.1 percent of all Orlando-area transactions last month.
The average interest rate paid by Orlando homebuyers in April was 4.11 percent, down from 4.29 percent the month prior.

The overall inventory of homes that were available for purchase in April (8,675) represents a decrease of 17.0 percent when compared to April 2016. There were 16.5 percent fewer single family homes and 20.6 percent fewer condos.

Current inventory combined with the current pace of sales created a 2.83-month supply of homes in Orlando for April. There was a 3.29-month supply in April 2016 and a 2.46-month supply last month.

MSA Numbers
Sales of existing homes within the entire Orlando MSA (Lake, Orange, Osceola, and Seminole counties) in April are down by 2.9 percent when compared to April of 2016. Year to date, MSA sales are up 4.5 percent

Each individual county’s sales comparisons are as follows:

• Lake: 14.6 percent above April 2016;
• Orange: 6.8 percent below April 2016;
• Osceola: 0.2 percent above April 2016; and
• Seminole: 10.0 percent below April 2016.

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.


#orlandorealestate #centralfloridarealestate #carolynburgiel #orlandorealtor #luxuryrooftops




Reprinted with permission Florida Realtors. All rights reserved.

Wednesday, April 12, 2017

Study: Florida in top 5 for commercial development

NEW YORK – April 11, 2017 – Florida ranks fifth nationwide for commercial development, according to NAIOP, a commercial real estate development association. By sector, it's third in retail, third in warehouse/flex sectors and seventh in office space.

Development, construction and ongoing operations of new commercial real estate in the United States – office, industrial, warehouse and retail – supported 6.25 million American jobs and contributed $861 billion to U.S. GDP in 2016, according to the report, "Economic Impacts of Commercial Real Estate," published by the NAIOP Research Foundation.

To come up with U.S. statistics, researchers measured GDP, salaries and wages, and jobs created and supported from the development and operations of commercial real estate.
  • Commercial real estate development, construction and ongoing operations supported 6.25 million American jobs in 2016 (a measure of both new and existing jobs).
  • Commercial real estate development, construction and ongoing operations contributed $861 billion to U.S. GDP in 2016.
  • There were 410 million square feet of office, retail, warehouse and industrial built in 2016, with capacity to house more than 1 million new workers with a total estimated payroll of $57.6 billion.
"The importance of commercial development to the U.S. economy is well established, and the industry's growth is critical to creating new jobs, improving infrastructure, and creating places to work, shop and play," says Thomas Bisacquino, NAIOP president and CEO.
Construction spending has increased each year since 2011, gaining 48.7 percent between 2011 and October 2016. For the year ending in October 2016, total construction spending was up 3.4 percent, exceeding the GDP growth rate for this period.
Year-to-year comparisons
  • Office construction expenditures totaled $36.6 billion in 2016, increasing by 28.7 percent year-to-year
  • Retail construction expenditures totaled $17.2 billion in 2016, a decrease of 7 percent year-to-year after gains of 8.2 percent in 2015.
  • Warehouse construction totaled $13.6 billion in 2016 gaining 12.7 percent year-to-year – the sixth consecutive year of increased expenditures
  • Industrial construction spending decreased sharply for a second year in 2016 to $15.5 billion, down 29.9 percent year-to-year. NAIOP attributes the drop to a pullback in industrial/manufacturing construction for the past two years to a downturn in the energy sector and a weaker global demand for U.S. manufactured goods due largely to unfavorable exchange rates
The report notes that if the economy avoids recession through mid-2020, it would tie the previous longest business cycle record of 10 years, achieved in the 1980s.
Top 10 states by construction value in 2016
  1. New York: $24.805 (direct spending, billions), $46.058 (total output, billions), 284,135 (jobs supported)
  2. Texas: $18.504, $44.399, 310,994
  3. California: $14.340, $30.792, 211,341
  4. Louisiana: $9.966, $19.724, 146,085
  5. Florida: $7.598, $15.752, 134,152
  6. Georgia: $5.720, $13.188, 103,519
  7. Michigan: $5.721, $12.143, 97,830
  8. Illinois: $4.916, $11.340, 75,881
  9. Pennsylvania: $4.080, $9.123, 60,298
  10. Massachusetts: $4.603, $8.883, 55,435
© 2017 Florida Realtors  




Reprinted with permission Florida Realtors. All rights reserved.