Home Sales Decline to 2008 Levels (September 2023)

According to market data provided the National Association of Realtors (NAR), existing home sale transactions dropped by 2.0% during the month of September 2023.  On a year-over-year basis, sale transactions were down 15.4% to a seasonally adjusted annual rate of 3.96 million units.    

Per Lawrence Yun, NAR’s chief economist, “As has been the case throughout this year, limited inventory and low housing affordability continue to hamper home sales,”. He further stated, “The Federal Reserve simply cannot keep raising interest rates in light of softening inflation and weakening job gains.”  

Continuing to buck the trend is the median existing home sale price. At $394,300, this is an increase of 2.8% year-over-year with prices increased within all four regions of the country.

Existing home inventory was down 8.1% year-over-year to 1.13 million units. Based on the current pace of sales, there is a 3.4-month supply of homes on the market at this time.  The average marketing time for the month of September  was 20 days, up from 19 days during the prior year.

Investors and vacation / second home buyers, purchased 18% of all homes sold in September.

The Florida Housing Market – September 2023

For the first time in over a year, closed sale transactions across the state of Florida increased on a year-over-year basis. During the month of September 2023 there were 30,918 sale transactions across all property types, up 4.3%.

Median sale prices continued their rise for 2023 but is down slightly on a year-over-year basis.  The median sale price of $380,000 in September 2023 is slightly less than the recent peak of $388,990 in June 2022.

Active inventory has remained in a tight range since summer 2022 but appears to be on a slight uptrend. As of September 2023, active inventory was 109,580 units, up 13.8% year-over-year. Based on the current rate of home sales, there is a 3.5 month supply of inventory currently available for sale.

Closed Sales

The number of closed sales transactions within the state of Florida appears to have improved on year-over-year basis.  As of September 2023, the number of individual closed sales improved by 4.3% to 30,918 transactions. 

Median Sales Prices

Since the beginning of 2023, home prices in Florida have continued to make strong gains. During the month of September, the median sale price across all property types was $380,000 which is fairly close to the peak of 2023 ($387,990).

The recent peak occurred in June 2022 with a price of $388,990 and at this time, we are slightly below that level.

Active Inventory

Active inventory across all property types continues to improve throughout the state and is currently at a high for the year.

During September 2023, inventory is up by 13.8% year-over-year to 109,580 units.  This represents an increase of more than 60,000 units from the 46,944 active homes on the market as of the end of January 2022. 

The South Florida Housing Market – September 2023

The South Florida existing-home market continues the see increase median sales prices but declining home sales. Closed sales during the month were down 6.6% year-over-year to 6,229 units.  The overall dollar volume improved by 5.2% to $4.4 billion.

The median home price across all property types for September 2023 increased by 6.5% to $460,000 year-over-year.  

Inventory improved with approximately 26,000 homes across all property types available for sale within the South Florida area.  New listings across the tri-county area were up by 7% to 9,735.

The Greater Orlando Housing Market

The greater Orlando existing home market also continued its trend of a slowdown in sales with rising prices. Closed sales of 3,233 during the month of September were down by 1.5% year-over-year. However, overall dollar volume increased by $6.9%.

The median home price across all property types improved by 2.7% to $395,337 year-over-year. 

Inventory levels improved with 8,766 homes across all property types available for sale, up 2.0% from a year ago. New listings across the Orlando metro area were also up by 8% to 4,227 units while new pending sales are down by 4.1% to 3,032 units.

The Tampa Bay Housing Market

 Existing-home sales in the Tampa – St. Petersburg – Clearwater MSA improved by 12% year-over-year to 4,800 units along dollar volume improving by 23% to $2.3 billion.

The median home price across all property types improved by 4.1% to $380,000 year-over-year.

Active inventory levels have also improved, up 2.4% (year-over-year) with 12,115 homes across all property types available for sale.  New listings across the metro area were up 17% as new pending sales were also up by 3.3%.

Are you thinking of selling?

Based on the most recent data, the current state of the residential market is changing fast. 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 while prices are still strong.

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.

To learn more about how we help our clients get the best possible price for their property, visiting our web site or contact us at info@quantumcos.com.

Quantum Realty Advisors, Inc.

For more than 20 years Quantum has provided premium quality real estate services not only to traditional home buyers and sellers, but to business enterprises, trust and estate managers, asset management firms, charitable organizations and several of the world’s best know financial institutions.

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