The demand for Florida real estate has been exceedingly strong over the past few years, but now in latter July of 2023 the Florida market is undergoing a healthy rebalancing with the higher interest rates and increased cost of borrowing. During the pandemic, Florida experienced a new work-from-home economy, increased demand from corporate investors as well as a large influx of people relocating to the sunshine state, much higher than the normal snowbird activity.
Median Prices of Florida Real Estate
At the end of June 2023, the median single family Florida home price was $420K and this represents a flat year-over-year price change.
Type | June 2023 | June 2022 | % Change |
Single Family Homes | $420K | $420K | -- |
Condos/Townhomes | $325K | $325K | -- |
Months of Inventory | 2.8 | 1.9 | + 47% |
Source: FloridaRealtors.org, June 2023
Florida Median Home Price vs Inventory
Plotted values are single family homes, past 12 months
After many interest rates hikes over the past year, we are now seeing where the inventory of single family homes (measured in months) has risen from its historic lows, but still remains at a low level. At the end of June 2023, the median Florida home price remains steady at $420K, after 4 months of price increases.
Source: FloridaRealtors.org, June 2023
Orlando Housing Market Trends
What is the housing market like in Orlando today?
In June 2023, Orlando home prices were up 8.3% compared to last year, selling for a median price of $390K. On average, homes in Orlando sell after 17 days on the market compared to 9 days last year. There were 645 homes sold in June this year, down from 736 last year.
How hot is the Orlando housing market?
Orlando is very competitive. Homes sell in 16 days according to Redfin Compete Score™.
- Many homes get multiple offers, some with waived contingencies.
- The average homes sell for about 2% below list price and go pending in around 16 days.
- Hot homes can sell for around list price and go pending in around 5 days.
Orlando Migration & Relocation Trends
In Apr '23 - Jun '23, 35% of Orlando homebuyers searched to move out of Orlando, while 65% looked to stay within the metropolitan area.
Where are people moving to Orlando from?
- Across the nation, 2% of homebuyers searched to move into Orlando from outside metros.
- New York homebuyers searched to move into Orlando more than any other metro followed by Washington and Miami.
Where are people from Orlando moving to?
- 65% of Orlando homebuyers searched to stay within the Orlando metropolitan area.
- Ocala was the most popular destination among Orlando homebuyers followed by Jacksonville and Sarasota.
Source: https://www.redfin.com/city/13655/FL/Orlando/housing-market
Orlando: Growth Continues in Central Florida 2023
The Greater Orlando area remains a popular relocation destination for families to enjoy Florida's great weather, theme parks, beaches, and to work from home. Particularly, the newer construction areas of Lake Nona on the southeast side of Orlando International Airport as Lake Nona’s medical city and now Disney Campus announced to be built there. Newer Resale homes as well as new construction are in high demand and in short supply.
Growth continues in Orlando's most popular suburbs such as Lake Nona, Winter Garden, and established areas like Dr Phillips, Windermere, and Winter Park. As the Fed has increased interest rates many times over the past 12 months, which was anticipated by lenders, homes are now taking are taking roughly 14-30 days on market to sell, and need to be priced "right" as there are now fewer buyers for each home.
Source: Justin Pekarek | Orlando Realtor®
Report for Single-Family Homes, Windermere, FL 34786
by 7/19/2023
This week the median list price for Windermere, FL 34786 is $1,472,000 with the market action index hovering around 45. This is less than last month's market action index of 47. Inventory has increased to 106.
The market has been cooling off a bit in recent weeks, as more homes are available and demand is less. We’ll be looking for a persistent downward trend. If we see a persistent trend, especially if the MAI falls from the Seller’s Market zone to the Buyer’s Market zone, expect downward pressure on prices. There is already some evidence prices moving lower.
Median List Price
Prices in this zip code have been on a downward trend in the last few weeks and this week, while essentially flat, doesn’t break us out of that cycle.
Source: © 2023 Altos Research
When relocating, it is so important to narrow down the areas of Orlando you want to target, and don't just look at new construction since those locations may be further out from the best schools and amenities, being that we are in an Urban Sprawl. Have enough time to hunt for resale homes that pop up for sale as well as lots to be released by builders, and be ready when they do. Consider purchasing a smaller townhome to live in for a year or two while you build your larger "forever home" in your favorite area of Orlando, to avoid paying high rent prices as you wait for the perfect resale or new construction opportunity.
TALK TO US ABOUT YOUR PROPERTY NEEDS
If you're considering moving to Central Florida and doing your initial research online, we encourage you to connect with Ackley Florida real estate experts to understand market trends currently taking place as well as helpful relocation advice. We are here to help with buying, selling and property management! Please contact Ackley Florida professionals for your real estate needs at 407-846-8805.
