Sales of existing homes and condos in Florida were down in December; at the same time, many markets reported that the inventory of homes available for sale continued to stabilize while still-low mortgage rates sparked buyer interest.
A total of 12,415 existing single-family homes sold statewide last month, a decrease of 28 percent from the 17,215 homes sold during the previous December, according to the Florida Association of Realtors. The statewide existing-home median price was $241,100 last month; a year ago, it was $245,600 for a decrease of 2 percent, according to FAR.
The Jacksonville market’s drop was reflected in the numbers. Home sales were off 20 percent and the median price dropped 11 percent to $187,000.
In December 2001, the statewide median sales price was $130,700, representing an increase of about 84.4 percent over the five-year period, according to FAR records. The median is a typical market price where half the homes sold for more, half sold for less.
Looking to Florida’s existing condominium market, sales also declined in December with 3,788 condos sold statewide compared to 5,428 in December 2005 for a 30 percent decrease, according to FAR. The statewide median sales price for condos last month was $200,600; a year ago, it was $205,500 for a 2 percent decrease. The national median existing condo price in November 2006 was $224,600, according to NAR.
Jacksonville prices were way down. The average condo sold for $170,000 in December 2005 and only $150,900 in December 2006. Sales held about even.
Nationally, the median sales price for existing single-family homes was $217,200 in November, down 3.6 percent from a year ago, according to the National Association of Realtors. In California, the statewide median resales price was $555,290 in November; in Massachusetts, it was $340,000; in Maryland, it was $307,654; and in New York, it was $250,000.
NAR’s latest market outlook predicts that 2006 will close out as the third strongest sales year on record nationally. Heading into 2007, NAR Chief Economist David Lereah anticipates a steady improvement in sales, which will support price appreciation “moving forward.” Mortgage rates continue to hover near cyclical lows, he notes, which keeps financing costs low for buyers; at the same time, stable inventories of homes for sale represent more choices for buyers.
According to Freddie Mac, a 30-year fixed-rate mortgage averaged 6.14 percent last month, down from 6.27 percent in December 2005. FAR’s sales figures reflect closings, which typically occur 30 to 90 days after sales contracts are written.
