Central Florida Real Estate Blog

On December 10, 2009, the MFRMLS (My Florida Regional MLS) which covers most of the Central Florida Region released the November 2009 Real Estate Sales & Inventory Report for the Lake and Sumter County areas. While the numbers are basically flat from September, there are a few indicators which seem to support that the we have not seen the bottom of this market yet.

While we had seen a three month upward trend from Aug-Oct '09 on the number of home sales that closed, it looks like the market has finally turned downward with a decline of 8.5%, or only 312 units sold in the month of November. In finding somewhat of a bright spot, we have seen an increase of 34% from November 2008 in the number of homes that have sold. While inventory is being absorbed, there still is over 4,800 active home listings on the market. While MFRMLS currently shows a 15.6 month supply of inventory, these numbers are significantly distorted due to the amount of pending short sales (1102) which will most likely reenter the active inventory, or end up in foreclosure. It is estimated that somewhere between 50%-70% of the current active inventory is in some form of distress.

The current average list price of a home has fallen another 4% from October to November, and is still down 18.6% from Oct'08 - Oct'09.

In regards to the average sale price of a home in Lake & Sumter County, we saw a decline a little more than 2.2% from October to November. In comparing November '08 to November '09, the decline has been over 15.7%, or approximately 1.3% per month. On a $150,000.00 property, this means your home is losing about $1,950.00.00 per month in value. Also consider the dynamic between Sellers and Buyers during the negotiating process. As of January '09, Buyers were negotiating on average 8% off the asking price. During the year, we have seen this number decrease to as little as 6% offering the assumption that Sellers were listing their property closer to market value, and Buyers were being much more realistic as to what they would pay for a home in the current environment. As of the end of November '09, that number remains at 6%. It's hard to predict where the market goes from here, but I'm skeptical that we've seen the bottom or a leveling off of home values.

The number #1 selling price range has shifted upward in Lake & Sumter Counties to the $120,000-$139,999.00 range and making up almost 12.5% of the yearly sale. Furthermore, the $0.00-$100,00.00 range accounted for 29.97% of the sales, while the $100,000-$160,000.00 range accounted for 37.48%. Collectively, the $0-$160K range makes up over 67% of all sales in the area. This should come as no surprise as first-time homebuyers and step-up Buyers will still be able to take advantage of the updated federal tax credit passed last month.

If you would like a full copy of the Lake & Sumter Counties Sale & Inventory Report, please email joe@rockspringsrealty.net and we will email you a copy at no charge or obligation. 

Rock Springs Realty is a full-service Real Estate Brokerage working with Buyer, Seller, and Investors throughout the Central Florida Area. We cover all areas of Lake, Sumter, Orange, Seminole, Osceola, and Volusia Counties. Our sales staff has extensive experience in Buying & Selling REO (Bank Owned Foreclosures) properties and welcomes the opportunity to discuss your real estate needs. You can reach us toll free at (877) 333-2811 or on the web at www.rockspringsrealty.net

P.S. - If you would like a free list of bank-owned foreclosure properties in your area, please contact us at the toll free number and we will forward a detailed list with no obligation.

Best Regards,
Joe Bornstein, Broker/Owner
Rock Springs Realty, LLC
3780 Rochelle Lane
Apopka, FL 32712