Orlando’s median home price jumped more than 10 percent in April when compared to April of last year while sales likewise saw an increase of more than 8 percent, reports the Orlando Regional REALTOR® Association. Inventory declined by nearly 11 percent compared to this time last year.
The overall median price of Orlando homes (all types combined) sold in April is $237,000, which is 10.3 percent above the April 2017 median price of $215,000 and 3.0 percent above the March 2018 median price of $230,000.
Year-over-year increases in median price have been recorded for the past 82 consecutive months; as of April 2018, the overall median price is 105.19 percent higher than it was back in July 2011.
The median price for single-family homes that changed hands in April increased 9.4 percent over April 2017 and is now $257,000. The median price for condos increased 20.4 percent to $130,000.
The Orlando housing affordability index for April is 126.66 percent, down from 133.76 last month. (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.)
The first-time home buyers affordability index decreased to 90.07 percent, from 95.12 percent last month.
Sales and Inventory
Members of ORRA participated in 3,347 sales of all home types combined in April, which is 8.3 percent more than the 3,092 sales in April 2017 and 5.2 percent less than the 3,530 sales in March 2018.
“While April produced a strong showing in sales as we head into peak home buying season, the Orlando market continues to struggle with an imbalance between what potential buyers can afford and what is listed for sale,” expains ORRA President Lou Nimkoff. “Our lack of entry-level supply is putting affordability pressure on buyers – especially those at the lower end of the market, where demand is the strongest. To illustrate, there is only a 1.3-month of supply of single-family homes listed at less than $201,000, which is our current maximum price for first-time buyer affordability.”
Sales of single-family homes (2,620) in April 2018 increased by 9.1 percent compared to April 2017, while condo sales (359) decreased 6.3 percent.
Sales of distressed homes (foreclosures and short sales) reached 133 in April and are 46.4 percent less than the 248 distressed sales in April 2017. Distressed sales made up just 4.0 percent of all Orlando-area transactions last month.
The overall inventory of homes that were available for purchase in April (7,740) represents a decrease of 10.8 percent when compared to April 2017, and a 0.4 percent increase compared to last month. There were 6.6 percent fewer single-family homes and 25.2 percent fewer condos.
Current inventory combined with the current pace of sales created a 2.3-month supply of homes in Orlando for April. There was a 2.8-month supply in April 2017 and a 2.2-month supply last month.
The average interest rate paid by Orlando home buyers in April was 4.51, up from 4.29 percent the month prior.
Pending sales in April are down 3.4 percent compared to April of last year and are up 9.0 percent compared to last month.
Sales of existing homes within the entire Orlando MSA (Lake, Orange, Osceola, and Seminole counties) in April were up by 5.7 percent when compared to April of 2017. Year to date, MSA sales up by 1.4 percent.
Each individual county’s sales comparisons are as follows:
*Lake: 1.8 percent below April 2017;
*Orange: 8.2 percent above April 2017;
*Osceola: 8.9 percent above April 2017; and
*Seminole: 3.6 percent above April 2017.
Source: Orlando Regional REALTOR® Association