Orlando Housing Market Update – March 2020

The Orlando Housing Market Update for March 2020.

Orlando’s housing market in March saw its home sales improve by nearly 2% compared to March 2019, while the median price increased by 8%.

Inventory experienced a year-over-year decline of 10%, which was to be expected with the Stay at Home order put in place during the month.

However, we will have to wait until the April update before seeing the effects of the COVID-19 pandemic on Orlando’s home sales statistics!

 

The image below shows the Market Data for the Orlando & surrounding areas

from February 2018 thru March 2020.

ORRA Market Pulse March 2020

The Following graph shows New Listings, New Contracts on Listings, Total Pendings, and Closed Sales over the last two years!

ORRA Market Data March 2020 2-Year Running Recap

The following shows the cyclical pattern of New Listings over the last 3 years!

ORRA Market Data March 2020 3-Year New Listings graph

This picture shows the chart for New Listings as a better comparison to last year. You will see that the number of New Listings are less than the number last year & for 2018.

However, the number of new listings did increase over last year!

ORRA Market Data March 2020 3-Year New Listings chart

 The following shows the total number of homes listed for sale over the last 3 years! Total inventory, although has increased from last month, has fallen further over last year.

ORRA Market Data March 2020 3-Year Inventory graph

The following graph shows the comparison over the past two years better. You will see that total inventory is less than March of the previous two years!

ORRA Market Data March 2020 3-Year Inventory chart

The following shows the Average Monthly Mortgage Rate over the last 3 years!

This past month has seen the rates bounce up & down almost daily, however the average rate has stayed level from last month!

ORRA Market Data March 2020 3-Year Mortgage Rates graph

This chart shows more clearly how low the mortgage rates are currently, compared to the last two years!

ORRA Market Data March 2020 3-Year Mortgage Rates chart

The following shows the total number of listings under contract (pending a sale) over the last 3 years.

ORRA Market Data March 2020 3-Year Total Under Contract

This chart shows the Pending Contracts compared to the previous two years better, and this is the first sign of a potential reduction in sales!

You will see that during both 2018, and 2019 the number of pending contracts continued to increase each month from January through April.

Numbers for March did fall over last month’s!

ORRA Market Data March 2020 3-Year Total Under Contract chart

We are just over 3 weeks into the Stay at Home order in Orange County, and have seen the first signs of a slowdown in transactions.

We will continue to watch the data and present the facts here; please remember that you can find a lot of information (and opinions) online but it is always best to look at the facts!

Obviously with the need to practice social distancing, prospective buyers may not have as many opportunities to view homes in person. This could slow home sales, but with the ultra-low mortgage rates and the supply of homes remaining at historic lows, the signs are that the median price of homes may not be hit as some had been predicting!

Housing Protection in the Stimulus Bill Explained

Our Chief Strategy Officer, Keith Robinson, and Chief Executive Officer, James Dwiggins, sit down to talk about the Housing and the Stimulus Bill.

 

 

Resources for Florida:

 

FL Dept Economic Opportunity-logo

 

For Individuals

Reemployment Assistance benefits, formerly known as Unemployment Compensation, are available to Floridians who have been negatively impacted as a result of the mitigation efforts to stop the spread of COVID-19. Eligible individuals include those who have lost their job through no fault of their own, are quarantined by a medical professional or a government agency, laid off or sent home without pay for an extended period by their employer, or caring for an immediate family member who is diagnosed with COVID-19.

Click Here to start your application for benefits.

 

For Employers

If you are a Florida business owner, in an effort to assist you and your employees amid COVID-19, the Florida Department of Economic Opportunity have made available resources to support you financially. For a comprehensive overview of all federal and state resources available to small businesses impacted by COVID-19, including details on the SBA Economic Injury Disaster Loan (EIDL) and the Paycheck Protection Program (PPP) please click Here!

Click Here to download a pdf summary of the Florida Business Resources available to you.

 

For those of you considering Mortgage Forbearance, please contact me before you make any decisions – there could be repercussions and we want to help you understand all of your options!

 

 

 

 

 

COVID-19 and How It’s Impacting Home Buyers and Sellers

I know these are some pretty interesting & somewhat scary times and information is coming to us all pretty fast and furious. The CEO, James Dwiggins, and Chief Strategy Officer, Keith Robinson, for our company will be doing a weekly webinar to help keep all of our clients up-to-date on what’s going on, what it means for real estate, and a great general overview.

You can catch the latest update here:

And a general disclosure from James, and Keith, they are not attorney’s or CPA’s – just two very smart dudes that know a lot about real estate, the economy as it relates to real estate, and are very good at analyzing situations!

The important thing to remember while watching this is how local all of this is. There are some parts of the country in a “lockdown” and other parts where it’s modified business as usual. As you are probably aware, Orange county issued it’s ‘Stay at Home’ ordinance that took effect the evening of Thursday March 26th, with a confirmed 1467 cases of the virus on Tuesday 23rd. Although the Stay at Home orders are currently governed by individual Counties, I don’t think it will be long before we see a statewide ‘lockdown’.

My primary concern is for everyone’s safety and health, and believe that this is the best thing to do in order to lead to some control of this virus. How long this will take is the question, but I feel that the longer everyone is allowed to be out meeting others, the longer it will take to get control of it!

I have always been available to you (maybe now more by virtual means), and will always be your complete real estate resource; if you want to discuss how this applies to you, or if you simply want to chat. Feel free to call me. Please take care, and stay safe!

Alex van Grondelle,

Broker/Realtor

Cell/Text: 407-529-7253

Orlando Housing Market Update – February 2020

The Orlando Housing Market Update for February 2020.

Orlando’s housing market in February saw its home sales improve by more than 4% compared to February 2019, while the median price increased by 6%. Inventory experienced a year-over-year decline of 17%.

The following data, supplied by the Orlando Regional Realtor Association, does not reflect any changes to the market affected by the Coronavirus situation – the data sourced runs through the end of February, before any cases were reported within the US. ORRA does anticipate an impact from the coronavirus situation on the real estate market, but are unable to predict what that might be.

 

 

The image below shows the Market Data for the Orlando & surrounding areas

from January 2018 thru February 2020.

ORRA Market Pulse Feb 2020

The Following graph shows New Listings, New Contracts on Listings, Total Pendings, and Closed Sales over the last two years!

ORRA Market Data Feb 2020 2-Year Running Recap

The following shows the cyclical pattern of New Listings over the last 3 years!

ORRA Market Data Feb 2020 3-Year New Listings

The following shows the total number of homes listed for sale over the last 3 years! Total inventory has fallen further since last month.

ORRA Market Data Feb 2020 3-Year Inventory

The following shows the Average Monthly Mortgage Rate over the last 3 years!

The Avg rate for February continued to drop; U.S. long-term mortgage rates hit the all-time lows last week amid anxiety over risks to the economy from the deepening coronavirus crisis.

ORRA Market Data Feb 2020 3-Year Mortgage Rates

The following shows the total number of listings under contract (pending a sale) over the last 3 years. We show this graph to show what, if any, effect the coronavirus situation will have on the real estate market.

ORRA Market Data Feb 2020 3-Year Total Under Contract

This next graph shows the cyclical pattern of Listings taken off the market.

The winter month of December typically showing the highest number of units off the market, with Jan thru March showing the lowest numbers!

A spike shown in August 2017 could be explained by the formation of Hurricane Irma towards the end of that month!

ORRA Market Data Feb 2020 3-Year Units Off the Market

The World Health Organization on Wednesday declared the viral outbreak a pandemic. The number of cases continue increasing in Florida, and the first 2 cases reported in Orlando yesterday!
Financial markets continued to shudder amid a cascade of cancellations and shutdowns across the globe due to the COVID-19 virus. For the second time this week, U.S. stock prices tumbled so sharply at the opening bell that a circuit breaker meant to slow panic trading was triggered on Wall Street, halting all activity for 15 minutes. The Dow Jones Industrial Average closed in a bear market Wednesday for the first time in more than a decade.

The record low mortgage rates have been a boon to potential homebuyers, and they give many homeowners an opening to refinance into lower-rate loans to free up money to spend or save.

But prospective buyers may be reticent to shop for homes amid the coronavirus outbreak, seeking to avoid social contact. That could slow home sales. And ultra-low mortgage rates aren’t likely to produce a significant rise in home sales this year because the supply of homes for sale remains at historic lows, and could stay this way if this health crisis worsens.

We will continue to watch this crisis closely, and post more updates as we receive them!

Fla.’s housing market: Median prices, inventory up in Jan.

Florida’s housing market reported more new listings, higher median prices and increased inventory (active listings) in January compared to a year ago, according to the latest housing data released by Florida Realtors®. However, uncertainty over mortgage interest rates, the stock market and the federal government’s shutdown may have affected home sales, which were lower than the level of sales a year ago. Sales of single-family homes statewide totaled 15,526 last month, down 6.2 percent compared to January 2018.

“As the new year gets underway, more new listings and gains in inventory (active listings) are positive signs for potential homebuyers in Florida,” says 2019 Florida Realtors President Eric Sain, a Realtor and district sales manager with Illustrated Properties in Palm Beach. “Having more homes available for sale in many local markets may start to ease some of the affordability constraints we’ve been seeing for a long time. In January, new listings for existing single-family homes rose 5.6 percent compared to a year ago and new listings for condo-townhouse properties increased 2.5 percent.”

In January, statewide median sales prices for both single-family homes and condo-townhouse properties increased year-over-year for the 85th month-in-a-row. The statewide median sales price for single-family existing homes was $249,900, up 4.1 percent from the previous year, according to data from Florida Realtors Research Department in partnership with local Realtor boards/associations. Last month’s statewide median price for condo-townhouse units was $182,500, up 2.8 percent over the year-ago figure. The median is the midpoint; half the homes sold for more, half for less.

According to the National Association of Realtors (NAR), the national median sales price for existing single-family homes in December 2018 was $255,200, up 2.9 percent from the previous year; the national median existing condo price was $240,600. In California, the statewide median sales price for single-family existing homes in December was $557,600; in Massachusetts, it was $375,000; in Maryland, it was $284,000; and in New York, it was $272,043.

Looking at Florida’s condo-townhouse market in January, statewide closed sales totaled 6,739, down 10.9 percent compared to a year ago. Closed sales may occur from 30- to 90-plus days after sales contracts are written.

“Inventory levels continued to rise across almost every price level in January, while closed sales were down on a year-over-year basis, as price growth continued on a steady path toward moderation,” said Florida Realtors Chief Economist Dr. Brad O’Connor. “At the end of January, there were 13.8 percent more single-family homes listed for sale (active listings/inventory) in Florida than there were a year prior, reaching a statewide level of single-family inventory not seen since March of 2015. The ongoing rise in inventory continues to be rather broad-based – among the price tiers tracked by Florida Realtors, single-family inventory only fell among the small segment of homes priced below $100,000. This is a significant change from a year ago, when much of the state’s mid-tier inventory was still declining.

“Looking at condo-townhouse properties, the statewide count of active listings in January reached its highest level since May of 2012, after rising by 10.1 percent on a year-over-year basis.”

According to Freddie Mac, the interest rate for a 30-year fixed-rate mortgage averaged 4.46 percent in January 2019, up from the 4.03 percent averaged during the same month a year earlier.

To see the full statewide housing activity reports, go to Florida Realtors Research & Statistics section on floridarealtors.org. Realtors also have access to local market stats (password protected) on Florida Realtors’ website.

© 2019 Florida Realtors®