Contact:

Jeff Zipper, Vice President of Communications
407/438-1400, ext. 2314
JeffZ@far.org

Marla Martin, Communications Manager
407/438-1400, ext. 2326
MarlaM@far.org

Picking Up the Pace: Florida’s Home Resales Rise 9 Percent, Median Price Up 22 Percent in November

ORLANDO, Fla., Dec. 29, 2004 -- Florida's housing market picked up the pace in November, shaking off lingering effects from the four hurricanes that pummeled the state over a six-week period in August and September. Last month, a total of 17,116 existing single-family homes were sold statewide for a 9 percent increase over last year’s sales activity of 15,757 homes, according to the Florida Association of Realtors® (FAR). 

The statewide median sales price rose 22 percent in November to $192,400; a year ago, it was $157,400. In November 1999, the statewide median sales price was $103,200, translating to a gain of 86.4 percent over the five-year period. The median is the midpoint, which is a typical market price where half of the homes sold for more and half for less. 

Florida’s median sales price is similar to last month's national median sales price for existing single-family homes, which was $187,000 in October -- an 8.8 percent increase over last year. In California, the statewide median resales price was $460,370 in October; in New York, it was $247,500; in Maryland, it was $247,396; in North Carolina, the average resales price was $195,603; and in Illinois, the statewide median price was $183,700. 

Interest rates for a 30-year fixed-rate mortgage averaged 5.73 percent in November, even lower than the 5.93 percent rate recorded last year. FAR’s sales figures reflect closings, which typically occur 30 to 90 days after sales contracts are written. 

Among the state’s larger metropolitan statistical areas (MSAs), the Jacksonville MSA reported higher figures in both sales and median price last month, with a total of 1,190 existing single-family homes changing hands for a 30 percent increase over the 915 homes sold last year. The market’s median sales price increased 18 percent to $162,600; a year ago, it was $137,900. 

Andre Boutte, president of the Northeast Florida Association of Realtors and director of training for Watson Realty Corp, credits still low mortgage rates for driving demand in the Jacksonville area. 

“Jacksonville is a good place to live: The economy is still great, there are job opportunities here and the area offers a range of housing options,” he says. “Of course, single-digit interest rates continue to be the biggest factor influencing the housing market and encouraging people to buy.” 

Other larger markets reporting higher sales in November include: Orlando, where 2,600 homes sold for an 8 percent gain; and Tampa-St. Petersburg-Clearwater, where 3,276 homes changed hands for a 4 percent increase. The median sales price also rose 20 percent in both markets: reaching $175,400 in Orlando; and $167,100 in Tampa-St. Petersburg-Clearwater. 

Among the state’s smaller MSAs, Tallahassee had a dramatic 40 percent increase in home sales last month, with a total of 296 homes sold compared to 211 homes sold last year. The area’s median sales price rose 16 percent over the same period to $160,600; a year ago, it was $138,100. 

“A big factor driving the Tallahassee market is short supply … there just hasn't been enough resales inventory out there and demand remains high,” says Mike Ferrie, president elect of the Tallahassee Board of Realtors and sales associate with Blue Chip Realty Inc. “With mortgage rates continuing at such low levels, it's pushing people to buy. Plus, the Tallahassee area economy has stayed steady with a strong job market.” 

Other smaller MSAs in the state also reported higher home resales last month, including: Fort Walton Beach, where 393 homes changed hands for a 39 percent boost; and Pensacola, where 492 homes sold for a 35 percent gain. The median sales price in those markets also rose over the same period: in Fort Walton Beach, 27 percent to $194,200; and in Pensacola, 20 percent to $138,600. 

A chart showing statistics for Florida and its 20 MSAs is available by clicking here. The chart compares the volume of existing, single-family home sales and median sales prices in November 2004 to November 2003, based on Realtor transactions. 

The Florida Association of Realtors (FAR), the voice for real estate in Florida, provides programs, services, continuing education, research and legislative representation to its more than 120,000 members in 70 boards/associations.

© 2004 FLORIDA ASSOCIATION OF REALTORS