Central Florida Real Estate Snapshot

Happy April!  This year, spring started on March 20.  I wish you a wonderful spring season.  Whatever personals goals you have for 2017, I hope you are well on your way to accomplish them.

I want to share a Central Florida market snapshot with you.

This is a quick look at the sales and active listings in our MLS.

April 2017

The listing composition of our residential real estate market is:

  • 95% “normal” listings.
  • 4% bank-owned (foreclosure) listings.
  • 5% short sale listings.

So, we have a healthy balance of 95% traditional offerings, and 5% (foreclosure + short sales) distressed listings.  This is a far cry from the years when our market was 75% distressed sales.

You have heard me describe the “tale of three markets” in Orlando.  That is, for homes under $300,000, we are in a seller’s market, where the seller has advantage and leverage over the buyers.  At the price range between $300,000 and $500,000, we are in a balanced market, where neither seller nor buyer has undue advantage over the other.  Above $500,000, we are actually in a buyer’s market, where the buyer has advantage and leverage over the seller.

This table also illustrates this effect.  Please take a look at the highlighted portion at the bottom of the table.  Months-of-inventory means the number of months it would take to sell all the existing active listings.  This indicates the supply-and-demand dynamic.   The long-term average of a balanced market is between 5-6 months of inventory.

  1. As you can see, under $250k, there is only a 2-month supply of housing inventory.  This is where the demand outpaces the supply, hence the resulting “seller’s market”
  2. Between $250k – $300k, we have a 4-month supply.  So we are still in a Seller’s market, but not as heated.
  3. Between $300k – $500k, we have a 5-6 month supply.  This is the balanced segment.
  4. From $500k – $1M, we see a 9-month supply.  This clearly tilts to a buyer’s market.
  5. Over $1M, there is a 21-month supply.  This is a strong buyer’s market.

If you are looking to buy or sell a home in 2017, let us brainstorm with you to come up with the best strategy.

If you are looking to buy a home below $300,000, we will do everything we can to improve your odds in the challenging seller’s market.

If you are upsizing and buying a higher priced home, you may be selling your current home in a seller’s market, but buying the next one in a buyer’s market.  This may turn out to be an ideal situation.

If you are downsizing, you may be selling in a buyer’s market, but will be buying in a more competitive seller’s market.

In all the situations, you can benefit from our experience and expertise.  We are not sales-people.  We are consultants.  We take pride in using our know-how to maximize your outcome.  We appreciate the opportunity and your continuing trust.

Give us a call if you have questions, or know of someone we can help!

Until next month, take care!

Yien and the Yao Team.

See home estimate

Sell my house


We will be contacting you shortly.