Orlando condos are some of the most inexpensive in the state of Florida, according to a report released by the Florida Association of Realtors.
In comparison to last year, single-family home sales increased by 48 percent, much higher than the state-wide increase of 28 percent. The high sales numbers could be due partly (or wholly) to the 29 percent price decrease in Orlando homes… still higher than the state-wide’s 22 percent decrease.
There is even a significant reduction in the median home price in Orlando which is now $144,200. The state’s median price is for metro-area homes is $147,400, and Orlando has rarely dipped below the state median in the past four years. The explanation is most likely due to short-sales and foreclosures, as Orlando still tops the list of cities with the heavy distressed home sales.
Condos are also following the same pattern as Orlando homes, with median prices at $49,000, they are way below the state’s average of $107,000. In addition, they are the lowest in the entire state of Florida.
With the $8,000 tax credit, first-time home buyers have also flooded the market and realtors are insisting that the extension of the credit beyond the November 30th deadline is imperative. Because of the sheer amount of distressed and foreclosed homes, the median price (for the state and Orlando) is being driven down. In order for home prices to begin stabilizing, the open inventory needs to clear out, which is why the buying flurry associated with the tax credit could help if it is extended.