MIAMI—-Broward County single-family home sales, condo sales, median prices and total volume rose year-over-year in September 2019, according to the MIAMI Association of Realtors (MIAMI) and the Multiple Listing Service (MLS) system.
Broward single-family home sales increased 7.6%, from 1,142 to 1,229. Broward condo sales increased 14.8%, from 1,199 to 1,377.
“New tax law changes impacting buyers from the Northeast and low mortgage rates contributed to our across-the-board sales increases last month,” said MIAMI President Jonathan Keith, a Fort Lauderdale broker.
Total Home Sales Increase by Double Digits in September
Broward total home sales increased 11.3% year-over-year, from 2,341 to 2,606.
With consumer confidence rising, unemployment low, job creation high and increased migration to Florida, Broward real estate should enjoy steady growth.
Year to date, Broward single-family home sales have increased 1.0% compared to last year.
According to Freddie Mac, the average commitment rate for a 30-year, conventional, fixed-rate mortgage decreased to 3.61% in September, down from 3.62% in August. The average commitment rate across all of 2018 was 4.54%.
Single-family home dollar volume increased 9.6% from $486.3 million to $533.1 million. Condo dollar volume increased 10.9% percent from $263.6 million to $292.4 million.
Lack of access to mortgage loans continues to inhibit further growth of the existing condominium market. Of the 9,307 condominium buildings in Miami-Dade and Broward counties, only 12 are approved for Federal Housing Administration loans, down from 29 last year, according to Florida Department of Business and Professional Regulation and FHA.
Broward Distressed Sales Continue to Drop, Reflecting Healthy Market
Only 1.7% of all closed residential sales in Broward were distressed in September 2019, including REO (bank-owned properties) and short sales, compared 5.6% in September 2018.
Total Broward distressed sales decreased 67.4% year-over-year, from 132 to 43.
Short sales and REOs accounted for 0.8% and 2.6%, respectively, of total Broward sales in September 2019. Short sale transactions decreased 36.4% year-over-year, from 33 to 21. REOs decreased 33.1%, from 99 to 68.
Nationally, distressed sales represented 2% of sales in September, unchanged from August but down from 3% in September 2018.
Broward Real Estate Selling Close to List Price
The median number of days between listing and contract dates for Broward single-family home sales was 46 days, a 17.9% increase from 39 days last year. The median number of days between the listing date and closing date for single-family homes was 90 days, a 11.1% increase from 81 days.
The median time to contract for condos was 55 days, a 10.0% increase from 50 days. The median number of days between the listing date and closing date for condos was 97 days, a 5.4% increase from 92 days.
The median percent of original list price received for single-family homes was 96.2 percent. The median percent of original list price received for existing condominiums was 94.4 percent.
National and State Statistics
Nationally, total existing-home sales transactions fell 2.2% from August to a seasonally adjusted annual rate of 5.38 million in September. Despite the decline, overall sales are up 3.9% from a year ago (5.18 million in September 2018).
Statewide closed sales of existing single-family homes totaled 23,510 last month, up 11.5% from September 2018, according to Florida Realtors. Florida’s condo-townhouse market totaled 9,007, up 6.1% compared to a year ago. Closed sales may occur from 30- to 90-plus days after sales contracts are written.
The national median existing-home price for all housing types in September was $272,100, up 5.9% from September 2018 ($256,900), as prices rose in all regions. September’s price increase marks 91 straight months of year-over-year gains.
Statewide median sales prices for both single-family homes and condo-townhouse properties in September rose year-over-year for 93 consecutive months. The statewide median sales price for single-family existing homes was $265,000, up 5.3% from the previous year, according to data from Florida Realtors Research Department in partnership with local Realtor boards/associations. Last month’s statewide median price for condo-townhouse units was $193,000, up 5.8% over the year-ago figure. The median is the midpoint; half the homes sold for more, half for less.
Broward Cash Buyers Represent Almost Double the National Figure
Broward cash transactions comprised 33.8% of September 2019 total closed sales, compared to 35.4% last year. Broward cash transactions are almost double the national figure (17%).
Condominiums comprise a large portion of Broward’s cash purchases as 49.1% of condo closings were made in cash in September compared to 16.8% of single-family home sales.
Seller’s Market for Broward Real Estate
Months supply of inventory for single-family homes decreased 4.7% to 4.1 months, which indicates a seller’s market. Existing condominiums have a 5.5-month supply, which also indicates a seller’s market. A balanced market between buyers and sellers offers between six and nine months of supply.
Total active listings at the end of September decreased 2.5% year-over-year, from 13,324 to 12,985. Inventory of single-family homes decreased 4.9% in September from 5,603 active listings last year to 5,330 in September 2019. Condominium inventory decreased 0.9% to 7,655 from 7,721 listings during the same period in 2018.
New listings of Broward single-family homes decreased 6.1% from 1,714 to 1,609. New listings of condominiums decreased 4.8%, from 1,898 to 1,807.
Nationally, total housing inventory at the end of September sat at 1.83 million, approximately equal to the amount of existing-homes available for sale in August, but a 2.7% decrease from 1.88 million one year ago. Unsold inventory is at a 4.1-month supply at the current sales pace, up from 4.0 months in August and down from the 4.4-month figure recorded in September 2018
To access September 2019 Broward County Statistical Reports, visit http://www.SFMarketIntel.com
Note: Statistics in this news release may vary depending on reporting dates. MIAMI reports exact statistics directly from its MLS system.
About the MIAMI Association of Realtors
The MIAMI Association of Realtors was chartered by the National Association of Realtors in 1920 and is celebrating 99 years of service to Realtors, the buying and selling public, and the communities in South Florida. Comprised of six organizations, the Residential Association, the Realtors Commercial Alliance, the Broward-MIAMI Association of Realtors, the Jupiter Tequesta Hobe Sound (JTHS-MIAMI) Council, the Young Professionals Network (YPN) Council and the award-winning International Council, it represents 47,000 real estate professionals in all aspects of real estate sales, marketing, and brokerage. It is the largest local Realtor association in the U.S. and has official partnerships with 215 international organizations worldwide. MIAMI’s official website is www.MiamiRealtors.com