Orlando Real Estate

I was looking at homes in the $1 million to $1.8 million price range for customers of mine. There were half a dozen homes that appeared to meet their criteria, so I called to ask a few more questions about them. Three of the six had just accepted contracts, and this made me start thinking that the Orlando luxury real estate market is starting to improve. Recently, a listing of mine in Baldwin Park priced at $699,900 had multiple offers on it in one day back on the market. I have also spoken with other agents that typically sell more expensive properties that are seeing more activity. I went back to 2006 which is when our prices peaked even after activity had begun to wane. Below is the resultof what I found.

Six Months Ended	Number of Sales over $1mm	Median Sales Price
June 30, 2010	119	$1,300,000
Dec 31, 2009	102	$1,300,000
June 30, 2009	75	$1,315,000
Dec 31, 2008	110	$1,367,500
June 30, 2008	172	$1,231,000
Dec 31, 2007	191	$1,300,000
June 30, 2007	242	$1,385,000
Dec 31, 2006	225	$1,300,000
June 30, 2006	247	$1,325,000

The sales of luxury homes appear to lag the overall market by about six months in terms of activity, but seem to be somewhat more insulated from price fluctuations. The Orlando real estate market suffered its biggest slow down in sales activity through the end of 2008, while the luxury segment saw its biggest dip through the first half of 2009. What is really interesting to me is the support for a median sales price of $1.3 million through the entire cycle.

David Welch Real Estate Optimist, Orlando Real Estate