Tampa Bay, Sarasota Home Sales Decline

Sales of existing homes in the Florida housing market are continuing to track lower than the previous year, according to the monthly report from the Florida Association of Realtors.
Last month’s 11,674 homes sold was closer to the number sold in July 2002 than last year’s July total of 15,378 homes. Year-over-year sales have decreased every month for more than a year.

The state’s median sales price for existing single-family homes last month was $237,500; a year ago, it was $250,400, making for a 5 percent decrease.

In Tampa Bay, sales fell 28 percent to 2,068 units. The median price dropped 7 percent to $215,600.

In Sarasota-Bradenton, where sales actually increased in June, the number of units sold fell 4 percent and prices dropped 12 percent in July.

The National Association of Realtors’ latest Florida mortgage market outlook calls for existing home sales to gain momentum by the end of the year and broader improvement in sales activity in 2008.

“Existing-home sales should be relatively stable over the next few months, holding in a modest range, with some pent-up demand growing from buyers who’ve been on the sidelines,” said Lawrence Yun, NAR senior economist.

The Florida condo market continued its decline as well with 19 percent fewer sold in July compared with a year ago and the median price down 7 percent to $193,900.

In Tampa Bay, units sold fell 5 percent, while prices inched upward 3 percent to $172,100.

Last month, interest rates for a 30-year fixed-rate Florida mortgage averaged 6.7 percent, according to Freddie Mac, which was lower than the average rate of 6.76 percent in July 2006.