Median prices and supply are growing in the Florida residential property market

Median prices and supply are growing in the Florida residential property market

In August 2022, the growing amount of supply (active sale listings) and median prices were recorded in the Florida housing market compared to last year, according to recent data by Florida Realtors®. Inflation, higher mortgage rates, and other economic drivers are still affecting the sales, though.

Christina Pappas, President of Florida Realtors in 2022 and Vice President of Keyes Family of Companies from Miami, hopes that the great supply will reduce the pressure on buyers caused by growing house prices. Purchase and sale contracts for properties put on the market are still signed quite quickly across the state: in 16 days on average for single-family houses and in 17 days, for condominiums in the existing homes market.

Last month, 24,877 purchase and sales deals on single-family homes were made in Florida, which is 15.8% less than last August. 10,000 condominiums and townhouses were also sold in the existing homes market (minus 20.3% year-on-year). Deals are closed within 30 – 90 days from the time of signing the contract.

And even though the supply is increasing, the rates of this growth are slowing down considerably, according to Dr. Brad O’Connor, Chief Economist at Florida Realtors. One of the reasons for such cooling was the smaller number of new properties listed for sale.

According to the expert, the number of new offers on single-family houses reduced by 3% in August compared to last year, while there were 3% more listings this July than on the same month of 2021. 10.6% fewer condominiums and townhouses were listed in August. This trend is expected to continue for a while because homeowners are reluctant to put their properties on the market under the circumstances of economic uncertainty.

The median selling price of single-family homes in Florida’s existing housing market was $407,000 last month, which is 15% more than last year. The price of condominiums and townhouses was $305,000, i.e. 20.8% more year-on-year.

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