Existing home sale prices for the Orlando area held steady from September to October but it was the first time in more than a year since the number of houses on the market actually increased, according to a report released Tuesday by the Orlando Regional Realtor Association.
The median price for a house in an area that mostly consists of Orange and Seminole counties was $112,700 in October _ up from $112,500 in September. Prices last month were up 7 percent from a year earlier.
One slight shift in the housing market during October was that, for the first time since July 2010, the number of houses listed for sale grew. By the end of the month, the market had 9,973 houses awaiting a buyer, which was 42 more than in September. Even with the increase, the market continues to have a fraction of buying opportunities than it has had in recent years. It was saturated with a high of 26,330 listings in October 2007 and 15,441 listings this time last year.
At the current pace of sales, Orlando has a 4.82-month supply of homes; six months is considered a normal market.
In October, sales of normal homes commanded a median price of $153,000, while short sales fetched a median of $95,000 and bank-owned houses had a median price of $80,000. The normal sales accounted for about 41 percent of all 2,068 sales during the month.
Buyers who purchased an Orlando area home in October paid average interest rate of 4.21 percent, which is slightly above the 4.19 percent average interest rate recorded for September. That rate was the lowest since the association began tracking the statistic in 1995.
Homes of all types spent an average of 106 days on the market before coming under contract in October, and the average home sold for 94.66 percent of its listing price. A year ago, those numbers were 91 days and 94.67 percent, respectively.
Today’s experts spout off the latest statistics about long-term wealth, home values, and interest rates, yet there’s a much more sentimental side to homeownership. In fact, many home buyers are drawn to homeownership for these warm and fuzzy reasons.
Owning a home allows you to put down roots, both figuratively and literally. On one hand you become part of a neighborhood and community. When you rent, neighbors come and go as quickly as leases renew. Homeowners, however, tend to stay put longer.
What does this mean for you? You can develop, many times, lifelong relationships. This also means your home will see you through many of life’s important milestones.
It makes sense. Many people enter the realm of homeownership as young couples looking to build a nest. They plan on starting their own family and need room to expand and grow. These family homes will see many firsts and will be the container of countless memories. Additionally, homeownership gives families more room to entertain and this means extended family will also share in building memories.
It’s not just young families, though, that seek homeownership. Families with teenagers seek larger homes to room their growing brood. Retiring adults may wish to start a new phase and new memories, seeking out warmer climates or smaller, more manageable homes.
These little moments are what life is all about. Memories from Christmas mornings and summer vacations will fill minds for years to come.
On the other hand you literally can put down roots by planting trees and shrubs! Renters are rarely afforded the luxury of gardening. In fact, digging up the landlord’s yard is frowned upon. As a homeowner you are able to create your own green oasis, including trees that will mature alongside your children and gardens that will feed your hungry pack.
There is a certain pride that comes with homeownership. This little piece of property and land is yours. There’s no one that can evict you or take it away. This security allows people to form deep attachments to both the land and home.
This pride of ownership spurs many owners to make improvements and additions, both to keep the home in working order and to make it more comfortable and usable, which in turns improves neighborhood values and overall curb appeal.
Why do people buy? They may be initially motivated by changes in circumstance, such as a new job or a new family, but they buy based on emotional responses. People want a house that can become their home, where they’ll fill it with good times and memories. Be sure to remember this sentimental side of homeownership the next time you read about stocks, bonds, and housing woes.
by Carla Hill
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