Inventory Increase
In June 2024, Florida’s housing market saw a notable rise in both new and active home listings compared to the same period in 2023. This increase in inventory is a promising development for potential buyers who have been facing a competitive market. The surge in available properties provides more options and opportunities, suggesting an easing of the previously tight housing market conditions.
Price Stabilization
The report highlighted that median sales prices have begun to stabilize. For single-family homes, the median sales price in June 2024 was $427,000, reflecting a modest increase of just 1.7% from June 2023. Meanwhile, the median price for condo-townhouse units remained flat at $324,900. This leveling off of prices indicates a shift towards a more balanced market, which could be advantageous for both buyers and sellers.
Sales Decline
Despite the increase in inventory, there has been a decline in closed sales of existing residential properties. Single-family home sales were down by 11.1% year-over-year, while sales of condo-townhouse units experienced a more significant drop of 20.5%. This decrease in sales activity suggests that factors such as higher mortgage rates may still be influencing the market.
Quarterly Sales Figures
The second quarter of 2024 displayed a similar trend. Single-family home sales totaled 74,117, a decrease of 2.2% from the same quarter in 2023. Condo-townhouse sales reached 28,982, marking a year-over-year decline of 9.2%. These figures underscore the sustained impact of current economic conditions on the housing market.
Supply Levels
The supply levels have shown improvement, with single-family homes available at a 4.6-month supply and condo-townhouse properties at a 7.4-month supply for both June and the second quarter of 2024. These supply levels are considered favorable for buyers, presenting a less competitive environment and potentially leading to more balanced negotiations.
Pending Inventory
The gap between pending inventory (properties under contract) for June 2024 and the same period in 2023 is narrowing, especially for single-family homes. This trend suggests that closed sales might stabilize or see improvement in the coming months, offering a positive outlook for future market activity.
Market Outlook
While higher mortgage rates and other economic factors continue to affect home sales, the moderating prices and increasing inventory point towards a more balanced market. This balance could benefit potential buyers who have been grappling with high prices and limited choices in recent times. The report from Florida Realtors indicates that the current market conditions provide a healthier environment for real estate transactions, fostering a more favorable climate for both buyers and sellers.
In conclusion, the Florida Realtors report for June and the second quarter of 2024 highlights key shifts in the state’s housing market, including increased inventory, stabilized prices, and potential improvements in pending sales. These changes mark a promising turn for potential homebuyers and suggest a move towards a more balanced and accessible housing market in Florida.
