Real Estate Market update for Seminole County
This real estate market update includes Lake Mary, Longwood, Sanford, Oviedo, Winter Springs and Casselberry. The statistical housing information is obtained from the Orlando Board of Realtor Multiple Listing Service and is therefore deemed to be accurate and reliable.
Home sales in Seminole County are lagging behind 2017 by 3%. Below are the breakdowns by city:
- Lake Mary – 15%
- Longwood + 4%
- Sanford – 4%
- Oviedo + 4%
- Winter Springs -19%
- Casselberry +4%
Generally, the cause of declining sales is pointing towards an inventory shortage of quality homes in the lower price range. Homes which are available on the market, the buyers perceive as being priced too high or are not in acceptable condition. The increase in mortgage rates is not helping. To further exacerbate the problem, there are still many sellers who are upside down from when they bought homes in 2006 or 2007. Potential sellers of lower-priced homes, $200,000 to $400,000 are finding that the homes which are on the market for them to upgrade to are not of the price and quality they are looking for. Therefore, there is a problem with the supply chain of lower-priced homes which is causing a general slowdown in sales due to a lack of move-up buyers. This is especially visible in luxury homes where the market is very slow indeed.
If this trend continues we are going to see a reduction in home prices. Sellers, if they are able will have to reduce the price in order to sell their home. As mentioned previously, this may not be possible because some sellers are still upside down on their home. We are already seeing some of this occurring. There are pockets around Central Florida where sales are up, and supply is not that much of an issue, but overall residential real estate sales are down. Also, buyers are looking for newer homes and therefore builders are doing a brisk business in most areas because they are offering a newer product at more acceptable prices.
Most of the properties we have for sale are in Seminole County, in the cities of Lake Mary and Longwood. Lake Mary sales in June were 39% below last year and for the month of May, they were 27% below 2017. Overall, for the year, 6-month sales are down 15% compared to this time last year. Median prices dropped 2% for the same period, from $293,256 in 2017 to $287,496. The Longwood residential sales were slightly up from 84 sales for June in 2017 to 93 sales in 2018.
Seminole County residential real estate resales reflect a 3% decline, 129 fewer home sales for the first 6 months of the year 2018. The median home value increased by 8% and the median per square foot price increased by 7%
I conducted a poll on the website Nextdoor for the 33746 zip code. The goal of the poll was to get a sampling of opinions of how the Lake Mary real estate market is performing based on their experience. The question: How do you think the residential real estate market is doing in 2018 compared to 2017? Do you think sales are up or down? Below are the results of the poll.
54% said it is up 10%
25% said it is up 20%
18% said it is down 10%
14% said it is down 15%
A total of 79% said it is up, and a total of 32% said it is down. It is the 32% who are actually correct. This poll demonstrated that a large number of people have a false opinion about the current condition of the Lake Mary real estate market.
The following information is directly from the Orlando Board of Realtors Market Statistics.
Sales of existing homes within the entire Orlando MSA (Lake, Orange, Osceola, and Seminole counties) in May were down by 13.7 percent when compared to May of 2017. Year to date, MSA sales are down by 2.2 percent.
Each individual county’s sales comparisons are as follows:
*Lake: 10.6 percent below May 2017;
*Orange: 12.7 percent below May 2017;
*Osceola: 15.1 percent below May 2017; and
*Seminole: 17.1 percent below May 2017.
I am here to assist you and answer any questions you might have. My hope is this information will be of help to you and shed light as to why the real estate market might be so awkward.