Central Florida home sales skyrocketed in November, according to the Orlando Regional Realtor Association.
Orlando home sales were up 20.4% year over year in November, and high demand led to a three-year low for the average number of days a house spent on the market — just 44 days. The market's performance in November is further evidence demand in the local housing industry is not in danger of a typical year-end slowdown.
Sales and prices climb
There were 3,251 Orlando homes sold last month, up from 2,701 in November 2019, according to the report. That swell in demand further depleted Central Florida's inventory of existing houses, which dropped 26.2% in the past year to a 1.72-month supply, indicating a seller's market.
Meanwhile, home prices continued to soar. The median price was $275,000, up 14.6% from $240,000 a year ago. It also ticked up from from $269,950 in October.
'Looking for affordability'
A recent report from Realtor.com projected home sales and prices to grow more in 2021, including in Central Florida. The number of home sales in the Palm Bay area is expected to see the biggest increase in the state, spiking 11.6% year over year. Meanwhile, Orlando’s predicted sales volume jump of 10.1% would be Florida’s third-biggest.
Homebuyers likely will keep looking for houses in low-cost, suburban areas like Central Florida as the pandemic drags on into next year, said Realtor.com Chief Economist Danielle Hale. "Even before the pandemic, homebuyers looking for affordability were finding it in areas outside of urban cores. The pandemic merely has accelerated this previous trend by giving homebuyers additional reasons to move farther from downtown.”
WILLIAM B. PLOWMAN
The trajectory of the Orlando housing market is on par with its pre-pandemic performance, Orlando Regional Realtor Association President Reese Stewart said in a prepared statement. “We are closing out the year the same way it began — with inventory dropping and prices rising. We know that people are coming from other parts of Florida and the country to take advantage of Central Florida’s more affordable cost-of-living and desirable lifestyle.”
Trends in the housing market are important because the sector often is considered a reflection of the overall health of the local economy. Every home sale in the state has an estimated local economic impact of $77,858, according to a 2018 study by the National Association of Realtors.