U.S. Existing Home Sales Continue to Decline
For the third straight month national existing home sales continued to decline. According to the National Association of Realtors, sales were down 5.9% year-over-year and 2.4% month-over-month to a seasonally adjusted annual rate of 5.61 million units.
According to Lawrence Yun, NAR’s chief economist, “Higher home prices and sharply higher mortgage rates have reduced buyer activity”. He further states, “It looks like more declines are imminent in the upcoming months, and we’ll likely return to the pre-pandemic home sales activity after the remarkable surge over the past two years.”
The median existing home price across all property types for April 2022 was $391,200, up 15.0% year-over-year. Home prices rose in each region of the country. This marks 122 consecutive months of year-over-year median home price increases, which is the longest-running streak on record.
Inventory appears to be starting to improve with 1.03 million units available for sale as of the end of April, an increase of 10.8% from March but 10.4% lower year-over-year. Based on the current pace of sales, there is a 2.2-month supply of homes on the market at this time.
The average marketing time for April ’22 was 17 days, down slightly from 18 days which remained consistent from the prior month and prior year averages.
The Florida Housing Market
According to FloridaRealtors, “The red-hot resale market for housing in Florida finally showed some legitimate signs of cooling in April, but prices remain up year-over-year.”
Closed Sales – April 2022
The number of closed sales transactions within the state of Florida has declined (year-over-year) for three straight months. For April 2022, the number of individual closed sales declined by 16.5% to 43,710 units. Single family home sales were down by 15.3% to 28,171 transactions while condominium & townhome sales declined by 20.9% to 13,711 transactions.
|Month||Closed Sales||% Change YOY|
While we are seeing the beginning of a trend with the decline in year-over-year sales, it should be noted that the number of sales in April 2022 is still above both the median and average monthly sales number for the prior 12 months.
Median Sales Prices – April 2022
Median sale prices continue to climb across the entire state. For April 2022 the median sale price across all property types was up 25% (year-over-year) to $375,000. During the same period, the median sale price of single-family homes improved by 21.8% to $410,000 while condominiums & townhomes improved by 24.0%. Average sales prices were also staggering, up 13.7% year-over-year to $538,581 across all property types and up 12.8% to $597,718 for single-family homes, with townhomes up by 16.4% to $465,656.
|Month||Median Sale Price||% Change YOY|
Active Inventory – April 2022
Active inventory across all property types continues to remain low. For the month of April inventory is down 13.3% year-over-year to 51,234 units. However, this is a improvement from the 46,257 active homes on the market as of the end of March 2022 but still below the trailing 12-month average of 55,004 homes. Single-family home inventory is up 6.9% to 32,485 units while townhomes & condominiums are down by 37.9%.
|Month||Active Inventory||% Change YOY|
The South Florida Housing Market
Due to increasing prices and declining inventory levels, the South Florida existing-home market has continued to slow. During the month of April 2022 closed sales were down 17% year-over-year to 10,992. The overall dollar volume also declined by 14% to $7.1 billion.
The median home price across all property types for April 2022 increased by 17% to $425,000 year-over-year. Luxury transactions in South Florida for $1 million or more continued to impact the median and average values.
Inventory continues to remain below historical levels with approximately 15,000 homes across all property types available for sale within South Florida. New listings across the tri-county area were also down by 9.2% to 11,514. Pending sales also continue to decline with 10,209 units under contract for sale as of the end of April 2022.
The Greater Orlando Housing Market
As similar to most other major markets in the state, the Orlando – Kissimmee – Sanford existing home market slowed during the month of April 2022. Closed sales of 4,405 were down 16% year-over-year; however, the overall dollar volume was up by 1.2% to $2.0 billion due to increasing home prices.
The median home price across all property types for April 2022 increased by 26% to $385,000 year-over-year. Luxury transactions in the metro area Orlando area for $1 million or more continued to impact the median and average values.
Inventory levels are down significantly with about 3,800 homes across all property types available for sale. New listings across the metro area were down by 5.9% to 5,040 while pending sales are down by 14% to 4,448 units.
The Tampa Bay Housing Market
Similar to the South Florida and metro Orlando areas, the Tampa – St. Petersburg – Clearwater MSA existing-home market slowed during the month of April 2022. Closed sales of 6,233 were down by 16% year-over-year; however, the overall dollar volume was up by 3.2% to $2.7 billion due to increasing home prices.
The median home price across all property types for April 2022 increased by 28% to $360,000 year-over-year. Luxury transactions in the Tampa Bay for $1 million or more continued to impact the median and average values.
Inventory continues to remain low but has improved by 10% (year over year) with approximately 4,300 homes across all property types available for sale. New listings across the metro area were also down slightly (less than 1%) to 7,304 while pending sales are down by 12% to 6,710 units.
The Greater Jacksonville Housing Market
The greater Jacksonville housing market appears to be stalling based on the results observed during April 2022. Closed sales of 3,001 were down 13% year-over-year and the overall dollar volume was up by 6.5% to $1.4 billion due to increase in home values across the area.
The median home price across all property types in the MSA increased by 22% to $360,000 year-over-year. Luxury transactions in the Jacksonville continued to impact the median and average values.
Inventory is down significantly with approximately 3,500 homes across all property types available for sale within the greater Jacksonville area but is an improved from 3,110 homes as of March 2022. New listings were down 12% to 3,702 homes while pending sales declined by 17% to 3,179 homes.
Are you thinking of selling?
Based on the year-end 2021 data, the current state of the market is highly favorable for seller. If you are a homeowner and are considering selling your personal residence, vacation home or investment property, now may be the perfect time to do so.
Our team has assisted sellers not only throughout the state of Florida, but in most major markets nationwide. We take a highly methodical and deliberate approach when working with or clients and have specific strategies to help get the best value for the property.