When Florida Realtors releases its report each month, the real estate statistics offer realtors and industry experts an overview of the past month and the last 5 years. For Better Homes and Gardens Thomas Group Realty, this information can be crucial for determining the best times for clients to buy or sell their home.
Florida Real Estate Median Sale Prices Are Up
Since October 2018, the median sale price in Florida has risen by 7.0% from $226,440 to $242,250. This may not seem like a huge difference, but it does mean that sellers are receiving closer or more than their asking price.
Let’s take a look at the other numbers from this past month’s Florida real estate report.
- Closed sales were down by 1.4% from October 2018’s 213 to this year’s 210.
- Dollar volume was up (the total dollar amount sold by Alachua County real estate agents). Last month, the total was $57.3 million, up from $51.9 million in October 2018 – that’s a 7% difference.
- The average time to contract was down from 50 days in 2018 to just 43 days, a 14% reduction that led to homes spending less time on the market and moving faster toward closings.
While October shows a dip in closed sales, the fact of the matter is that seasonally, this is a normal dip in market numbers. Meanwhile, all the other numbers reveal exactly what we want to see for the real estate market.
A High Demand for Florida Housing
While sale prices were up and average contract-to-closed times were down – both of which are great pieces of news for real estate agents and home sellers – the October 2019 numbers reiterate Florida’s ongoing story of high demand for housing:
- New home listings were up from 261 listed homes in October 2018 to 272 homes in October 2019.
- Active listings, meaning overall home inventory, was down by 9.6% from 2018. Last month, just 783 homes were on the market while there were nearly 866 in October 2018.
These numbers by themselves tell us that there’s a higher demand by buyers for homes than there are sellers who have listed their homes on the market.
Industry Clues about Gainesville Home Inventory
To determine the health of the overall real estate market, data is compiled that measures the unit of “Months Supply of Inventory.” This unit refers to the months’ worth of housing inventory available at any given time. Typically, a 5.5-month supply of inventory doesn’t favor buyers or sellers. However, a rating above 5.5 months is said to favor buyers while below 5.5 months is said to favor sellers.
For October 2019, the “Months Supply of Inventory” was down 11.8%. In 2018, it was 3.4 months but last month, it was down to 3 months.
The current climate is clearly in the sellers’ favor. As the demand for housing in Alachua County is high but the available inventory is low, it’s likely that homeowners who are selling will receive offers closer to their listing prices, see faster contract-to-closing times, and ultimately feel satisfied with the entire process of selling.
To start the process of putting your home on the market, get in contact with our office. Thomas Group is here for you every step of the way.