Things are looking up in the SW Orlando real estate market comprised of the following zip codes: 32819 (Dr. Phillips), 32811, 32821, 32824, 32830, 32835 (Metrowest), 32836 (Dr. Phillips), 32837(Hunters Creek), 32834, 34786(Windermere), and 34787 (Winter Garden) .
There’s more sales with less time on the market and a much lower supply meaning we’re at or near the bottom or is it? The only concern that I have these numbers are skewed artificially by the number of foreclosures that are selling. I guess time will tell.
In any case, the inventory is sitting at 7.9 months which is dang close to what a stable market here normally sees and sales are up 144% in the past 12 months. May 2008 only saw 358 sales while May 2009 saw 875 sales. Homes have been selling at about 94% of the asking price and the average days on market sits at 82 days which is a bit of an improvement from the 116 day average we saw a year ago.
So what’s the reason for the improvement? Simple, prices are becoming low enought to stimulate demand. The average sales price was $338,000 a year ago but now stands at $154,000 and the average price per square foot dropped from $160 a foot to $89 a foot in the same period.
I know, the historically low rates are a help but it’s harder to borrow money these days so I’m not sure how this is affecting the market.
I’m tempted to say the market is stable now but I am concerned about the next wave of foreclosures to hit the market. After the past couple of years, I’ll take any good news at this point.