Florida’s November Housing Market Shows Renewed Activity

In a notable turnaround from previous months, November saw a rebound in Florida’s housing market, highlighted by an increase in new listings and inventory. This post-hurricane recovery has attracted attention due to its potential implications for buyers and sellers.

November brought positive changes to Florida’s housing landscape. New listings for single-family homes increased by 7.2% compared to the previous year, while condo and townhouse listings saw a 5.4% rise. This growth is a welcome sign for potential buyers who had been waiting for more options to enter the market.

Gia Arvin, the 2024 President of Florida Realtors, highlighted the benefits these changes bring to home seekers. She noted that increasing inventory presents more opportunities for buyers, especially with home prices experiencing a recent decline, making them more affordable. Additionally, mortgage interest rates have remained relatively stable, supporting this trend.

Despite the positive shift in new listings, the number of closed sales for single-family homes in November was 17,095, reflecting a 3.5% year-over-year decrease. Condo and townhouse sales saw a more significant drop at 15.6%, totaling 6,002 sales. Median sales prices also experienced slight decreases: single-family homes averaged at $410,700, 0.6% lower than last year’s $413,000; and condos/townhouses averaged $311,000, down 5.8% from $330,000.

Dr. Brad O’Connor, Chief Economist at Florida Realtors, described November’s data as part of a post-hurricane rebound, noting a significant 12.6% year-over-year increase in new pending sales for single-family homes. This surge comes after an 8% dip in October, marking the largest growth since April 2021—a period influenced by the early pandemic era.

However, O’Connor advised caution, suggesting that the activity seen in November may have been delayed from October due to the hurricane, and true momentum might only become evident in December’s figures. Inventory levels also shifted notably, with a 4.8-month supply of single-family homes, reflecting a 29.7% increase from last year. Condo and townhouse inventory showed an even more pronounced rise, with an 8.2-month supply, up 64% year-over-year.

While November’s housing data provides an optimistic view of Florida’s market recovery, industry experts remain cautious about long-term trends. The coming months will reveal whether this activity signifies a sustained shift or a temporary adjustment following the recent hurricane impacts.

Source: Floridarealtors