Every metric in the Northeast Florida Association of Realtors (NEFAR) market statistics report for July shows the housing market making a shift towards a balanced market. Although the market is not totally balanced yet, stabilization is on its way, and that is good news for buyers.
“July statistics showed a continued stabilization of the real estate market in Northeast Florida towards a traditional balanced marketplace,” said 2024 NEFAR President Rory Dubin. “Despite a worsening economy and high inflation, median prices were down slightly and the Home Affordability Index was up. Days on market are longer, and inventory of homes to purchase is higher,” he said.
Specifically, over Northeast Florida’s six-county region, the median sales price for single-family homes inched down by less than half a percentage point to $398,970. Meanwhile the Home Affordability Index crept up 1.6% to register at 65.
The Home Affordability Index measures housing affordability for the region. In other words, it measures whether a typical family earns enough to qualify for a mortgage on a typical home, based on current interest rates, median income and median home prices. A higher number means greater affordability. This index measures affordability factors for all homebuyers making a 20% downpayment.
An index of 100 is defined as the point where a median-income family has the exact amount of income needed to purchase a median-priced existing home. An index value higher than 100 means that the family has more than enough income, while a value less than 100 means that the typical family doesn't have enough income to qualify for a mortgage loan.
July’s median for days on the market rocketed up 20% to 42 days and the active inventory of homes shot up 11.6% to 7,897 homes, indications that the market is more conducive to buyers.
Other metrics of note: Month to month, closed sales in the six-county region dropped 4.8% to 1,868. Pending sales plummeted 20.3% to 1,387, while new listings rose 3.9% to 3,318.
“Purchasing a home or property remains one of the very best ways to hedge against inflation and the volatility of the stock market,” said Dubin. “It’s more important than ever to consult a Realtor who is fully trained to aid sellers in pricing their homes accurately in the market. Realtors also are essential in assisting buyers in negotiating the purchase of a new home. Rest assured. The best time to buy or sell a home is today, and Realtors have the specific knowledge to optimize that experience.” In St. Johns County, July’s median prices increased 1.9% to $591,000 for single-family homes. The median days on the market increased 31.9 % to 62. Month-to-month, closed sales dropped 13.5% to 505, pending sales sank 19.7% to 354 and new listings inched up 1.2% to 817. Active inventory climbed 9.7% to 2,334 homes, a 4.6-month supply.
The Home Affordability Index remained unchanged at 44, indicating that it is very expensive to live in St. Johns County.
In Duval County, the July median price of single-family housing was $345,500, a 1.6% increase from the month before. The median number of days on the market in June was 36, 20% longer than in June. Month-to-month closed sales fell 1.9 % to 928, pending sales plummeted 21.2% to 692, and new listings rose 1.1% to 1,682 homes. Active inventory for the county climbed 12.5% to 3,566 homes, a 3.8-month supply.
In July, the Home Affordability Index remained steady at 75.
