People are still on the fence waiting to see if prices will fall any more. The market has seen a correction over the last year or so. The median home price in Florida according to an article put out by the Florida Association of Realtors states that Florida's median sales price for existing single-family homes last month was $237,000; a year ago, it was $250,100 for a 5 percent decrease. The median is the midpoint; half the homes sold for more, half for less.
In May 2002, the statewide median sales price for single-family homes was $137,100, for an increase of 72.9 percent over the five-year-period, according to FAR records. So if I read this correctly, the median price has INCREASED by 72.9% over the last five years. Is that so bad?
Every market and every investment is cyclical in nature. You cannot expect anything to grow upward continuously and indefinitely. We are seeing a minor correction in our market and it will again pick up and continue to grow. It is amazing how many people are still holding strong on their prices. Our local market of the Greater Daytona Beach Area is relatively undervalued compared to the overall market in Florida.
In April 2007, the national median sales price for existing single-family homes was $220,500, down 0.9 percent from the previous year, according to the National Association of Realtors® (NAR). In California, the statewide median resales price was $597,640 in April; in Massachusetts, it was $345,000; in Maryland, it was $311,075; and in New York, it was $252,500. Our median of $237,000 is a small price to pay to live in paradise.
Florida real estate offers great opportunities for investors and home buyers right now. The smart people realize that they need to buy now before the market picks back and interest rates go up. Some people truly must sell their homes due to job transfers and such. Some people are getting desperate to sell. Desperation equals opportunity. There are some great deals out there right now. Jump before things take off again.
It's a good life,