Home Price Appreciation
Florida Home Sales Break 200,000 units; 2003 Ends with a 13 % Increase, Says Florida Association of Realtors
ORLANDO, Fla., Jan. 26 /PRNewswire-FirstCall/ -- Throughout 2003, the housing sector propelled Florida's economy into its current upswing and made the year one for the record books in terms of sales volume and median price, both statewide and nationally. By year's end, Florida reported a 13 % gain in the number of existing single-family homes sold and broke the 200,000 mark for annual sales, according to the Florida Association of Realtors(R) (FAR). In total, 203,243 homes changed hands last year compared to 179,631 homes sold the year before.
And the prices of those homes keep rising. Statewide, the median sales price rose 12 % to reach $158,400; a year ago, it was $141,700. In 1998, Florida's median sales price was $101,600, for a 55.9 % jump over the five-year period.
Russell Grooms, 2004 president of FAR and a Broker with Watson Realty Corp. in Jacksonville, says the 2003 home sales statistics demonstrate the phenomenal growth and continued strength of Florida's real estate industry. "The state's growth drives the robust housing market," he says. "And that won't change. Florida is expected to grow steadily in the years ahead. The state's population is predicted to increase by nearly 2.25 million people to reach almost 19 million by the year 2010, according to researchers at the University of Florida. Interest rates also are a major factor; while mortgage rates ticked up on occasion, they usually hovered around a favorable 6 % for most of the year. In fact, the annual average for the 30-year fixed-rate mortgage rate last year was 5.83 %. Demand for homes remained at a record levels in markets across Florida, resulting in tight inventory in many areas and impacting home prices."
Many housing industry insiders forecast the housing sector will see another near record year in 2004, with the nation's economic recovery gaining momentum and mortgage rates expected to remain lower than 6.75 %. Realtors predict another banner year for home sales in Florida. With low mortgage rates and strong appreciation values, Grooms says it's a great time to buy Florida real estate.
"Being involved in real estate, which is the driving force of the booming state's economy, is a responsibility that fills all Florida Realtors with pride," he says.
Last year's average of 5.83 % for a 30-year, fixed-rate mortgage was a significant decline from the 6.54 % average for 2002. FAR's sales figures reflect closings, which typically occur 30 to 90 days after sales contracts are written.
Among the state's larger metropolitan statistical areas (MSAs), Orlando reported double-digit gains in number of sales and median sales price in 2003 compared to the previous year. With a total of 30,343 homes sold last year, the figure was 15 % higher than the area's 2002 sales activity, when 26,338 homes changed hands. The median sales price rose 11 % to $144,200; the year before, it was $130,300.
Looking ahead to 2004, Greg Rokeh, president of the Orlando Regional Realtor Association and REO specialist with Watson Realty Corp. in Longwood, says buyers' demand for homes will remain strong, but continued tight inventory could constrict the area's market in the coming year.
Other large Florida MSAs reporting higher sales in 2003 compared to a year ago include: Tampa-St. Petersburg-Clearwater, where 30,544 homes changed hands for an 18 % increase; and West Palm Beach-Boca Raton, where 15,417 homes sold for a 4 % gain. The median sales price also rose in those markets last year: in West Palm Beach-Boca Raton, 24 % to $241,300; and in Tampa-St. Petersburg-Clearwater, 8 % to $143,700.
In the smaller markets, the Fort Walton Beach MSA reported 4,068 homes changed hands during last year, a 23 % gain over the 3,312 homes sold the previous year. The median sales price rose 9 % to $151,900; the year before, it was $139,600.
"The major factors fueling our market are the military and tourism and resort properties," says Roland Guidry, president of the Emerald Coast Association of Realtors and a Realtor with the Pat Guidry Agency in Destin. "The biggest economic impact on the area is the military, with Eglin Air Force base and Hurlburt Field."
Among the state's smaller markets, others reporting increases in home resales for 2003 compared to the previous year include: Panama City, where 2,332 homes sold for a 24 % boost; and Melbourne-Titusville-Palm Bay, where 7,565 homes changed hands for a 20 % increase. The markets' median sales price also rose last year: in Panama City, 15 % to $140,700; and in Melbourne-Titusville-Palm Bay, 15 % to $133,400.
A chart showing statistics for Florida and its 20 MSAs follows. The chart compares the number of existing, single-family home sales and median sales prices, based on Realtor transactions during 2003 and 2002. The median sales price is the midpoint in the price range - half the homes sold for more, half sold for less.
The Florida Association of Realtors, the voice for real estate in Florida, provides programs, services, continuing education, research and legislative representation to its 100,000 members in 70 boards/associations.
| Florida Sales Report - Year End 2003 | ||||||||
| Single-Family,Existing Homes | ||||||||
| Realtor Sales | Median Sales Price | |||||||
| Statewide& Metropolitan Statistical Areas | Year-End | Year-End | % | Year-End | Year-End | % | ||
| Area | 2003 | 2002 | Change | 2003 | 2002 | Change | ||
| STATEWIDE | 203,243 | 179,631 | 13% | $158,400 | $141,700 | 12% | ||
| Daytona Beach (1) | 10,556 | 7,886 | 34 | $131,300 | $111,500 | 18 | ||
| Fort Lauderdale | 15,163 | 14,465 | 5 | $228,600 | $197,400 | 16 | ||
| Fort Myers - Cape Coral | 8,956 | 7,706 | 16 | $156,800 | $139,700 | 12 | ||
| Fort Pierce-Port St. Lucie | 6,099 | 5,376 | 13 | $153,900 | $128,300 | 20 | ||
| Fort Walton Beach | 4,068 | 3,312 | 23 | $151,900 | $139,600 | 9 | ||
| Gainesville(2) | 2,463 | 2,043 | 21 | $143,900 | $129,800 | 11 | ||
| Jacksonville | 14,072 | 13,927 | 1 | $138,200 | $124,400 | 11 | ||
| Lakeland - Winter Haven (3) | 4,359 | 3,968 | 10 | $95,800 | $89,000 | 8 | ||
| Melbourne - Titusville - Palm Bay | 7,565 | 6,292 | 20 | $133,400 | $115,800 | 15 | ||
| Miami | 12,571 | 12,342 | 2 | $223,100 | $184,700 | 21 | ||
| Naples | 4,387 | 3,927 | 12 | $297,200 | $263,700 | 13 | ||
| Ocala | 5,110 | 4,955 | 3 | $91,900 | $88,400 | 4 | ||
| Orlando(4) | 30,343 | 26,338 | 15 | $144,200 | $130,300 | 11 | ||
| Panama City | 2,332 | 1,874 | 24 | $140,700 | $122,100 | 15 | ||
| Pensacola | 5,328 | 4,553 | 17 | $116,800 | $111,400 | 5 | ||
| Punta Gorda (5) | 2,752 | 2,762 | -- | $135,300 | $121,600 | 11 | ||
| Sarasota - Bradenton(6) | 10,540 | 8,173 | 29 | $193,300 | $163,700 | 18 | ||
| Tallahassee | 3,814 | 2,834 | 35 | $137,100 | $136,900 | -- | ||
| Tampa - St.Petersburg-Clearwater (7) | 30,544 | 25,925 | 18 | $143,700 | $133,300 | 8 | ||
| West Palm Beach-Boca Raton | 15,417 | 14,873 | 4 | $241,300 | $194,600 | 24 | ||
| (1) Data for West Volusia was not available for Nov. and Dec.; historical data for Daytona Beach and Flagler County was not available for Dec. | ||||||||
| (2) Data for Gainesville for Dec. was not available. | ||||||||
| (3) Data for the Lakeland-Winter Haven MSA for Nov. and Dec. was not available. | ||||||||
| (4) Data for Lake County and Osceola County for Nov. and Dec. was not available. | ||||||||
| (5) Historical data for Punta Gorda for March-May was not available. | ||||||||
| (6) Historical data for Englewood was not available. | ||||||||
| (7) Data for Hernando County was not available; data for Tampa for Nov. and Dec. was not available. | ||||||||
| This information is based on a survey of MLS sales levels from Florida's Realtor boards/associations. MSAs are defined by the 2000 Census. Source: Florida Association of Realtors and the University of Florida Real Estate Research Center. | ||||||||
| © 2004 FLORIDA ASSOCIATION OF REALTORS | ||||||||
This information is based on a survey of MLS sales levels from Florida's Realtor boards/associations. MSAs are defined by the 2000 Census. Source: Florida Association of Realtors and the University of Florida Real Estate Research Center.
Florida Association of Realtors
For more information contact: Marla Martin, Communications Manager, (407) 438-1400 ext. 2326, or
Jeff Zipper, Vice President of Communications, (407) 438-1400, ext. 2314, both of Florida
Association of Realtors, (407) 438-1400
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