Orlando Home Sales Flatten, Values Remain High

The Orlando housing market may not be seeing inventory moving too quickly, but values are remaining steady at least.

In September, the median price of homes sold was $250,000, a 2.5 percent rise over September 2005’s figure. However, the inventory of homes on the market went down for the first time since April 2005, as a 3.3 percent drop brought the current total to 20,319. More people appear to be applying for Florida mortgage loans in the city.

A total of 1,965 existing homes changed hands in September.

Orlando Regional Realtors Association President Beverly Pindling notes that surging home values, while nice for homeowners ready to sell, can actually be detrimental to the long-term health of the housing market.

“Slow, steady increases in home values are favorably viewed by relocating companies, relocating individuals, domestic and foreign second-home buyers, and retirees that drive sales in Orlando,” says Pindling.

Year-to-date sales of homes –21,617 - have dipped below the record-breaking pace of 2005 with 8.66 percent fewer homes sold through September, but Pindling notes that the market is still on track to post its second-best year ever.

Sales of duplexes, town homes and villas are up by 22 percent so far this year, while single-family homes have dropped by 15 percent. Condo sales, meanwhile, are still up year to date by about 10 percent, but for September, sales dropped 48 percent, ORRA reports.

A total of 26,246 homes in the Orlando metropolitan statistical area have been sold by Realtors so far in 2006 ,compared with 28,656 sold through September a year ago. By the end of 2006, Florida home mortgage demand should really be in full swing.