ORLANDO – Buyers’ demand for existing single-family homes in Florida continued to rise in December, pushing the statewide median sales price 22 percent higher to $195,900; a year ago, it was $160,600, according to the Florida Association of Realtors(R) (FAR). Statewide, a total of 20,684 homes changed hands last month compared to 20,405 homes sold in December 2003 for a 1 percent increase during the holiday period.
In December 1999, the statewide median sales price was $107,200, which translates to a gain of 82.7 percent over the five-year period, according to FAR records. The median is the midpoint, which is a typical market price where half of the homes sold for more and half for less.
Median Sales Price
Florida’s median sales price approximates the national median sales price for existing single-family homes, which was $188,200 in November, up 10.4 percent from the national median resales price of $170,500 in November 2003. In California, the statewide median price in November was $473,260; in
Maryland, it was $252,867; in North Carolina, the average resales price was $193,762; in Virginia, the median price was $163,750; and in Ohio, the average price was $152,435.
Mortgage Rates
Realtors around the state pointed to continued low interest rates as a major motivating factor for first-time and move-up buyers last month. The rate for a 30-year fixed-rate mortgage averaged 5.75 percent in December, even lower than the average rate of 5.88 percent in December 2003. FAR’s sales
figures reflect closings, which typically occur 30 to 90 days after sales contracts are written.
Tampa-St. Petersburg-Clearwater MSA
Among Florida’s larger cities, the Tampa-St. Petersburg-Clearwater metropolitan statistical area (MSA) reported a double-digit increase in sales and median price in December. Tampa-St. Petersburg-Clearwater reported a total of 4,341 homes sold last month compared to 3,889 homes sold last year for a 12 percent gain. The market’s median sales price rose 17 percent to $170,500; a
year ago, it was $145,600.
George Bodmer, president of the Greater Tampa Association of Realtors and general manager of Bayside Realty Group Inc. in Brandon, said a strong local economy fuels housing activity in the area. “What’s driving the housing market in Tampa?” he says. “It’s a working town — people may put on a suit and tie, or jeans and work boots, but they go to work and the employment opportunities are here. The diversity of business and industry keeps the Tampa Bay area growing.”
Another large Florida MSA reporting higher sales last month compared to a year ago was Jacksonville, where 1,361 homes sold for an 11 percent gain. The median sales price rose 15 percent to $165,700; last year, it was $144,300.
Naples
As for the state’s smaller markets, the Naples MSA reported a 21 percent jump in the number of homes sold in December, with a total of 388 homes changing hands compared to 321 homes in December 2003. The market’s median sales price rose 18 percent to $355,400 — the highest in the state; a year ago, it was $301,100.
Michelle Harrison, president of the Naples Area Board of Realtors and Association of Real Estate Professionals, says that while the area is growing fast, officials are successfully taking steps to manage that rapid growth. Harrison is director of sales for Elias Brothers Communities in Naples.
“Naples is a beautiful area,” she says. “The schools here are great, the shopping is wonderful, our beaches are fabulous and our location offers more of a tropical climate for buyers. There is a strong demand for homes in the Naples area.”
Other small to medium MSAs in the state posting gains last month compared to a year ago include: Panama City, where 260 homes sold for a 28 percent increase; Punta Gorda, where 371 homes sold for a 26 percent gain; and Tallahassee, where 428 homes changed hands for a 22 percent increase. The median sales price also rose in those markets: in Tallahassee, 18 percent to $162,100; in Punta Gorda, 14 percent to $178,200; and in Panama City, 12 percent to $178,900.
