Realtors in the Sunshine State are hoping for a rebound soon.
During the coronavirus (COVID-19) outbreak, several U.S. states and their respective housing markets have been affected in one way or another. While some regions have reported shortage in inventory, others have seen a decline in sales. According to statistics from May 2020, Central Florida seems to fall under the latter segment.
While Central Florida housing prices during coronavirus have stayed consistent and competitive, the region has seen a slump in overall home sales in four key counties. But local realtors are holding out hope that pending sales contracts may inject some much-needed positivity into the market before the end of June.
Pending Sales May Come to Fruition Soon
According to figures posted by the Orlando Regional Realtors Association (ORRA), the month of May reported 4,930 pending sales contracts in Central Florida, which was a 34 percent bump from April where 3,679 pending sales were recorded.
Since the month of April had experienced a drop in activity during the first week and only recovered during the latter parts of the month, these figures are not surprising for realtors. However, as it takes anywhere from 4-8 weeks for pending sales to come to fruition, these contracts may give a bump to closed sales in June.
This promise of noticeable activity is a big moment for the Florida housing market. Its effects are further elevated by how these contracts might close in the wake of a noticeable drop in new sales.
The Region Reported Lukewarm Sales
ORRA’s report also outlined that four Florida counties had noted a drop in sales in the month of May. These locations include Lake County, Orange County, Osceola County, and Seminole County.
There were 2,127 new sales in May, which was a 11 percent drop as compared to April where 2,393 sales were closed. It was also a staggering 44 percent slump as compared to May 2019, which reported 3,806 new sales.
Despite these sales figures, realtors are taking solace in the fact that Central Florida housing prices during coronavirus have been bolstered by market activity during the past few weeks. With a median price of $259,900 for a single-family home, townhome, and condo, the month of May recorded a 1.5 percent increase from April 2020, and a 7 percent increase as compared to May 2019.
New Listings Have Soared
In contrast to the performance of new sales, new listings have increased in Central Florida. This soothes the pressing problem of shortage in inventory, which had been creating quite some issues for buyers in the past few weeks.
The number of new listings in May soared to 3,717, recording a massive 32 percent increase from April, where 2,814 new listings were put on the market. This has also created newfound excitement within the market, especially for buyers who had been eager to see new listings.
With these figures, the Central Florida housing market is hoping for a better month in the form of June. However, the actual figures can only be seen once the final statistics are tallied after the end of the month.