Florida’s housing sector continued to mirror the national trend in fourth quarter 2006, reflecting slower sales, stabilizing median prices and higher inventory levels of homes available for sale in many markets.
Statewide, sales of single-family existing homes totaled 37,177 during the three-month period, a decrease of 28 percent compared to 51,310 homes sold during the same time a year earlier, according to the Florida Association of Realtors. Traditionally, home sales often ease during the fourth quarter as a result of holidays, cooler weather and other influences.
Did You Know?
• Like home buyers, home sellers have many expectations of their real estate agent. As reported in the 2006 Profile, one quarter of sellers most wanted their agent to sell their home within a specific time frame, while 22 percent wanted their agent to find a buyer for their home (FRED: DOES THIS MAKE SENSE?? BOTH ARE SALES). Sixteen percent of sellers wanted help pricing their home competitively.
(2006 NAR Profile of Home Buyers and Sellers)
The statewide existing-home median sales price remained stable at $242,100 in the fourth quarter; a year ago, it was $245,600 for a slight 1 percent decrease. In 2001, the fourth-quarter statewide median sales price was $128,400, which reflects an increase of 88.5 percent over the five-year period. The median is a typical market price where half the homes sold for more, half for less.
The latest industry outlook from the National Association of Realtors, calls for a steady rise in existing home sales following the fourth quarter. NAR Chief Economist David Lereah says that while “home sales may appear weak in comparison with the record surge in 2005, they will be sustained at historically high levels that are in line with long-term demand.” NAR expects 2006 to finish as the third strongest year for sales after the record years of 2005 and 2004.
