Central Florida Real Estate Market Recap of August 2022

Central Florida Real Estate Market Recap of August 2022

This is the second month in a row that the median home price has fallen with the median price recorded at $377,500

August 2022 Recap

State of the Market

The median home price for August 2022 was recorded at $377,750, a slight decrease of 0.8% compared to July’s median home price, $380,900. This is the second month in a row that the median home price has fallen.
Inventory rose 3.7% in August, from 6,518 to 6,762. This is the fourth straight month of inventory increases.
Homes spent an average of 27 days on the market in August, jumping 28.6% from July when the average was 21 days.
Interest rates remained relatively flat – 4% in July vs. 5.3% in August.
Overall sales in August also remained flat, with a 0.5% increase for a total of 3,324 sales compared to 3,309 sales in July.
Overall sales dropped 16.9% in August 2022 compared to August of last year.
New listings decreased by 4.1% from July to August, with 4,550 new homes on the market in August.
“With a drop in median home price and another inventory increase, we are seeing the Orlando housing market level out as we continue to move away from a period of volatility and enter a period of stability,” said Tansey Soderstrom, Orlando Regional REALTOR® Association President. “This is good for both buyers and sellers, as they can take a slower, more measured approach to buying or selling a home.”

Market Snapshot

Interest rates fell slightly as the average interest rate for August was recorded at 5.3%. This is 86.1% higher than August 2021 when interest rates were 2.8%.
Pending sales increased by 3.5% from July to August for a total of 4,171 pending sales.
6 distressed homes (bank-owned properties and short sales) accounted for 0.2% of all home sales in August. That represents a 66.7% decrease from July, when 18 distressed homes sold.

Mortgage Rates

Inventory

Orlando area inventory increased by 3.7% from July to August from 6,518 homes to 6,762 homes. Inventory in August 2022 was 85.9% higher than in August 2021, when it was recorded at 3,638 homes.
The supply of homes increased to 2.03 months in August. This is the first month since June 2020 with over two months of supply. A balanced market is six months of supply.
The number of new listings decreased in August from July by 4.1% down to 4,550 homes.

Inventory