Florida’s housing market experienced notable shifts in October, influenced by both natural events and economic factors. Recent data indicates an increase in housing inventory and a slight moderation in home prices, offering prospective buyers greater market entry opportunities despite challenges posed by recent hurricanes.
Hurricanes Milton and Helene significantly affected new real estate listings across Florida, as reported by the Florida Realtors’ latest data. In October, the state saw a rise in inventory levels with more active listings than the previous year. This shift results partly from the impact of the hurricanes, which disrupted many potential new listings.
According to the 2024 Florida Realtors President, this increase in inventory, alongside a slowdown in price increases, is a favorable condition for buyers. Additionally, lower mortgage rates compared to last year are enhancing affordability, thus encouraging more buyers to consider entering the market.
The statistics reveal that closed sales of single-family homes across the state totaled 18,671, marking a decrease of 5.6% from the previous year. Similarly, condo-townhouse sales reflected a significant decline of 19.9% from the figures recorded in October 2023. The median sales price for single-family homes was reported at $415,000, a slight increase of 1.2% from $410,000 in the previous year. In contrast, the median price for condo-townhouse units saw a reduction of 2.2%, settling at $315,000 compared to October 2023’s $321,990.
The hurricanes’ impact was noted particularly in coastal regions affected by Hurricane Milton, which caused damage along Florida’s Gulf Coast. Despite the storm weakening as it approached landfall, it resulted in widespread power outages in inland areas, including the Orlando region. Dr. Brad O’Connor, Florida Realtors Chief Economist, acknowledged that the hurricane had likely intensified the mortgage rate lock-in effect, influencing new listings in October. Specifically, new single-family home listings fell by 10.3% year-over-year, though they remain up 9.5% for the year to date. For condos and townhouses, listings declined by 9.5% compared to last year but have increased 12% for the year overall.
On the supply side, Florida experienced a substantial increase in the availability of homes, with a 4.7-month supply of single-family homes, up 34.3% from the previous year. For condos and townhouses, the supply reached a 7.7-month level, marking a 67.4% increase from a year prior. This growth in supply might indicate a shifting balance in the market, potentially easing price pressures moving forward.
Overall, October presented both challenges and opportunities for Florida’s real estate market. The natural disruptions from hurricanes influenced the inventory and demand dynamics, while economic factors like mortgage rates played a role in shaping buyer interest. As the market adapts to these changes, both buyers and sellers need to stay informed about the evolving conditions.
Source: Floridarealtors
Source: FloridaRealtors
