A Look At The Existing Home Market
Real Estate In The Parks – By Scott Hillman
We’re now half way through the year and I like to look back and see how we compare to last year in the existing home market. Looking at numbers in eight local zip codes – Orlando, 32801, 32803, 32804, 32806, and 32814, Winter Park, 32789 and 32792, and Maitland, 32751 – I found that since last year, the number of sales have gone down slightly (2.6%), while prices went up 9.6% to $255,000.
Appreciation values are also climbing. In four of the zip codes in Winter Park, Downtown Orlando and Colonialtown – 32789, 32792, 32803, and 32806 – we saw a double-digit appreciation in prices. In Maitland, 32751, College Park, 32804 and Baldwin Park, 32814, we saw modest gains in pricing – about 1-5% from a year ago. Although that appreciation value is still considered average, I anticipate driving and sales will continue to rise over the next year to 18 months.
Lastly, Downtown Orlando – 32801- saw a loss of 8.1%, which is a reflection of a high number of condo sales. However, I do anticipate that these figures will improve, as many of these sales were lower-priced condominiums and the inventory is shrinking.
One trend I bring up often and have been following for years are distressed properties in the market. This year, they make up only 6.4% of the market, compared to last year’s hefty 15%.
This is great news and I believe getting the number of distressed properties below 3% by year’s end is very realistic.
The one consistent number that hits me is the sales price to list price ratio at 97% , which throws water at the notion, “I need to have a big negotiating cushion.” Over-pricing your home for negotiation purposes can, and normally does, work against you. Consulting with a realtor to develop the best marketing strategy will ensure that your home sells quickly – and at the best price.
Scott Hillman is president of Fannie Hillman + Associates, a 35 year old Winter Park-based real estate company specializing in residential real estate sales and producer of The Hillman Report, a semiannual look at residential real estate in Orange and Seminole counties, as well as Hillman Homes, a customized quarterly publication showcasing local luxury listings, editorial features, a dining and shopping guide, and cultural arts calendar. Read the latest issue on the company’s website (fanniehillman.com) or by calling (407) 644-1234 for a copy.