Market Analysis
Feb 28, 2020

Real Estate Activity in Orlando - January 2020

Home sales in Orlando, average price increase with inventory drop in January.

Real Estate Activity in Orlando - January 2020

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Real Estate Activity in Details

The Orlando real estate market in January marked the second consecutive month of double-digit sales increases over the previous year, reports the Orlando Regional Brokerage Association - ORRA.

Sales improved more than 16% over January 2019, while the average price experienced an 8% increase. However, the inventory (number of homes available for purchase) in Orlando fell by almost 15%.

The president of ORRA, Reese Stewart, RE/MAX Properties SW, points out some interesting data in this month's housing report.

"First, Osceola County's 25% increase in sales was by far the largest of the four counties that make up the Metro Orlando Statistical Area," says Stewart. "Second, sales of duplexes, townhomes and villas rose 37% over the January 2019 count and probably reflect our continued scarcity of single-family homes with prices below $300,000."

Property market indicators

Average Price

The general average price of Orlando homes (all types combined) sold in January is $245,000, up 7.9% from the January 2019 average price of $227,000 and down 1.6% from the December 2019 average price of $249,000.

The average price of Single-Family homes sold in January increased 6.9% over January 2019 and is now $265,000. The average sale price of the apartments (condos) increased 11.2%, to $139,000.

The housing accessibility index in Orlando for January is 140.36%, up from 135.73% last month.

*An affordability index of 99% means that buyers earning the state-reported median income are 1% short of the income necessary to purchase a median-priced home. Conversely, an affordability index that is over 100 means that median-income earners make more than is necessary to qualify for a median-priced home.

The accessibility index for first-time buyers rose to 99.81% from 96.52% last month.

Sales and Inventory

ORRA members accounted for 2,270 sales of all types of houses combined in January, 16.4% more than the 1,950 sales in January 2019 and 25.2% less than the 3,033 sales in December 2019.

Sales of single-family homes (1,751) in January 2020 increased by 17.0% over January 2019, while sales of apartments (294) increased by 1.7% in one year. Duplexes, sobrados and villas (225 combined) jumped 37.2% compared to January 2019.

Sales of houses in difficulty (foreclosures and short sales) totalled 108 in January and are 16.1% more than the 93 sales in January 2019. Ailing sales accounted for 4.8% of all transactions in the Orlando area last month.

The general stock of homes available for purchase in January (7,030) represents a drop of 14.7% compared to January 2019 and an increase of 0.1% compared to last month. There were 16.0% fewer single-family houses; 11.9% fewer condos; and 7.0% fewer duplexes / houses / villas after one year.

The current stock combined with the current pace of sales has created a 3.1 month stock of homes in Orlando for January. There was a 4.2 month procurement in January 2019 and a 2.3 month procurement in December 2019.

The average interest rate paid by Orlando buyers in January was 3.55%, compared to 3.66% in the previous month [rate referring to financing for residents].

Houses that had the closing in January took on average 60 days to go from "listed" to "pending" [when the sales contract is signed] and an average of 38 days between pending and closed [when the deed is signed], for an average total of 98 days of listing to closed (static from a total of 91 days in the previous month).

Pending sales [sales for which the contract has been signed but the deed has not yet been signed] in January increased 7.8% over January last year and 25.9% over last month.

Orlando MSA Numbers

Existing home sales in all Metro Orlando municipalities (Lake, Orange, Osceola and Seminole counties) in January increased 11.8% compared to January 2019.

Each individual county’s sales comparisons are as follows:

  • Lake: 9.2% more than January 2019;
  • Orange: 9.9% more than January 2019;
  • Osceola: 25.3% more than January 2019; and
  • Seminole: 6.9% more than January 2019.
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Andrea Pointon

Andrea Pointon

CEO - Broker

Entrepreneur from an early age, Andrea conquered her space as an immigrant and today leads one of the most recognized real estate agencies in Orlando. She has received numerous awards and never tires of learning and improving professionally, serving entrepreneurs, investors, and families who trust in her professionalism and success for these very important decisions.