Property in the Sunshine State notched up another rise in February, a particularly busy month for the Florida real estate market. Both condos and single-family homes experienced impressive sales figures and price rises. In addition, new pending sales for both types registered double-digit increases.
Florida real estate market trends
As we move into spring and the busiest time of the year for Florida real estate, the month of February showed some very positive figures across the board. Analysts attribute the rises in sales and prices to several causes.
For Florida Realtors Chief Economist Brad O’Connor, a major reason for the busy month lies in lower rates for mortgages in Florida. Interest rates currently sit at one of their lowest ever and “have helped relieve some of the pent-up demand for affordable homes caused by the housing shortage,” said O’Connor. He also reported that more affordable mortgages have “revived demand in the upper tier of the market”.
Sales up all round
Some of the most impressive statistics can be found in sales. The number of single family homes in Florida sold in February reached 20,693, up 9.1% on the same month in 2019. Condo properties experienced an higher hike – some 8,800 were purchased, an increase of 10.8% over the year.
New pending sales (with final contracts yet to be signed) also saw big jumps. The number of people about to buy single-family properties in Florida went up by 12.5% while those in the pipeline for condo purchases rose by 13.9%.
Prices rise too
In tandem with more sales and higher demand came price rises. Again, these happened across the board. The median price for single family homes in Florida went up by 8% in the 12 months to February to reach US$270,000. This was just slightly ahead of the national average.
Condo properties saw their value go up by 6.7% in February to reach an average of US$200,000. Price rises were similar at national level, although the median price comes in at US$248,100 in the US generally.
Sustained demand for Florida property
February figures confirm that the Florida real estate market continues on its steady upward trend. They marked the 98th month in a row for price increases in the state, underlining the sustained demand for housing.
The Sunshine State continues to appeal to both American and international buyers. Florida welcomes 900 new residents every single day, a steady trend that drives demand for properties. The state is also the number one destination in the US for foreign property investment.
February’s figures confirm the excellent potential in the state. BRIC Group offers investors two investment opportunities in Florida: buy-to-let properties in sought-after residential areas throughout the state; and residential land plots in Englewood, southwest Florida, also in high demand.
(Source: Florida Realtors)