By Michael Cordero, Ember Realty
May 2024 has brought significant changes to the Orlando housing market, with inventory levels reaching heights not seen since 2016, according to the latest Orlando Regional REALTOR® Association data. This notable increase in available homes marks a pivotal shift, offering more options for buyers in a persistently active market.
Record-Breaking Inventory Growth
In May, the inventory surged to 10,282 homes, a 9.7% increase from April’s 9,376 homes. This rise represents the fifth consecutive month of inventory growth and a staggering 99.7% increase compared to May of the previous year. The last time inventory levels were this high was in September 2016.
Sales and Market Dynamics
Despite the surge in inventory, the market remains buoyant, with overall sales rising by 5.4% from April to May, totaling 2,909 transactions. This marks the fourth consecutive month of increasing sales. However, the median home price experienced a slight dip to $385,000 in May, down from April’s record high of $388,500.
Market Conditions and Trends
Interest rates decreased to 6.6% in May, down from 6.9% in April, contributing to continued buyer activity despite slightly declining pending sales, which fell by 1.8%. New listings also increased by 6.9%, adding 4,521 homes to the market. Homes spent an average of 54 days on the market, consistent with April’s duration.
Rose Kemp, President of the Orlando Regional REALTOR® Association, commented on the market’s vitality: “Although May’s inventory did show a slight increase, it’s important to remember that our market is still very active. With inventory levels remaining below the six months of supply that is considered a balanced market, buyers should be prepared to act fast if they find a home that meets their needs.”
Looking Forward
As the summer months approach, the consistent growth in sales combined with increased inventory suggests that the Orlando housing market will continue to be a hotspot for buyers and sellers. With interest rates stabilizing and a significant inventory to choose from, the market dynamics favor those prepared to act swiftly in securing their preferred properties.
For further insights and a detailed review of market trends, interested parties can refer to the full State of the Market Report issued by the Orlando Regional REALTOR® Association.
This robust inventory presents a unique opportunity for buyers in the Orlando area. It reflects broader trends that may influence the real estate landscape throughout the region in the coming months.
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