Central Florida Real Estate Market Recap of December 2022

Central Florida Real Estate Recap of December 2022

Overall sales in December increased by 11.7% from November, with 2,230 sales recorded

December 2022 Recap

State of the Market

“The white-hot seller's market we saw last year is over as we’re now seeing a more traditional market,” said Lisa Hill, 2023 Orlando Regional REALTOR® Association President. “Inventory is on the rise, giving buyers more options. However, those buyers are also faced with higher interest rates, which will have the biggest impact on the market in 2023.”
December’s median home price was recorded at $353,200, down from November’s median home price of $360,000. The overall median home price in 2022 was recorded at $365,000, an all-time high and a 17.7% increase compared to 2021 when the overall median home price was recorded at $310,000.
Overall sales in December increased by 11.7% from November, with 2,230 sales recorded. Overall sales in 2022 decreased by 16.3% with a total of 38,162 sales. Overall sales in 2021 were recorded at 45,572.
Inventory dropped in December, decreasing by 11.8% from November, for a total of 6,351 homes on the market. At the start of the year, inventory was recorded at 2,379 – just 0.78 months of supply. In December 2022, inventory was recorded at 6,351 – 2.85 months of supply. (The real estate market is considered balanced when there is 6 months of supply).
Interest rates decreased for the second month in a row – 6.1% in December compared to 6.6% in November. During 2022, interest rates increased each month until October when interest rates reached 6.95%, their highest point in more than 20 years. Interest rates began to fall the two subsequent months, closing out the year at 6.12%.
17 distressed homes (bank-owned properties and short sales) accounted for 0.8% of all home sales in December. That represents a 88.9% increase from November, when 9 distressed homes sold.
New listings dropped in December, with 2,186 new listings, compared to 2,597 new listings in November.