Florida’s May 2021 real estate market update is beginning to show trends leading us back to normal. Here’s what you need to know!
Since March 2020, “normal” is a word we thought we would never hear again…even in the real estate market. But, according to Florida’s May 2021 Real Estate Market Update, “normal” may finally be on the horizon for the housing market. Here’s what you need to know!
Uptick in Inventory
A severe shortage of inventory is one of the landmark signs of the pandemic on the housing market. According to Florida Realtors, for the first time since March 2020, Florida saw an increase in inventory from 31,618 in April 2021 to 32,021 May 2021. This is a little more than a 1% increase. The percentage increase is slight and we are by no means out of the housing shortage. However, it is significant because it’s a step in the right direction.
One of the main reasons we are seeing inventory loosen up a little bit is that demand is easing up. The number of properties being listed has remained in line with pre-pandemic norms. However, the number of homes going under contract each month exploded since June 2020, which played a major role in the shortage of homes available. And, we are finally seeing monthly sales moving back to normal levels.
Mortgage Rates Holding Steady but Expected to Change
For now, mortgage rates are holding steady at a historical low, which has spurred many homebuyers to take action. However, it is expected that 30-year-fixed mortgages will increase by the end of the year. The exact timeline and percentage increase are still very much unknown at this time.
What Do the Numbers Say?
Let’s take a look at the housing market statistics for the state of Florida and Lake Mary for May 2021 compared to May 2020.
Florida
- Single-Family Homes: Closed sales totaled 30,985, an increase of 57.9%, while the median sales price was $344,900 for an increase of 27.7%.
- Condo and Townhouses: Closed sales totaled 15,491 which is an increase of 155.2%, while the median sales price was $250,000 for an increase of 24.1%
Lake Mary
- Single-Family Homes: Closed sales totaled 27 which is an increase of 50%, while the median sales price was $450,000 for an increase of 16.1%
- Condo and Townhouses: Closed sales totaled 9, an increase of 28.6%, while the median sales price was $299,900 for an increase of 11.1%.
When You Are Ready, We Are Here
Although it is still considered a seller’s market, this is also a good time for buyers to get in on the action (Read about critical buying mistakes you should avoid). With over 32 years of experience in the real estate market, Gitta Sells is the leading expert in Lake Mary real estate buying and selling. We are here to help with all of your real estate needs. Feel free to reach out with any questions you may have at gittasells@gitta.com or 407-330-2181.
