Orlando Regional REALTOR® Association releases overall 2023 data, revealing that rising interest rates were the biggest factor affecting housing market in 2023, slowing sales and boosting inventory.

December 2023 Summary

State of the Market

• “The housing market in 2023 continued to stabilize from the frenzy we saw during COVID-19. Many buyers chose to wait on
  buying a home amid rising interest rates,” said Rose Kemp, 2024 Orlando Regional REALTOR® Association President. “Interest
  rates fell near the end of 2023, which enticed buyers who were waiting on the sidelines. Looking ahead, these rates will continue
  to be the biggest factor in the market.”
• The overall median home price in 2023 was recorded at $370,500, an all-time high and a slight increase of 1.5% compared to
  2022 when the overall median home price was recorded at $365,000.
• Overall sales in December decreased slightly – 0.7% – from November, with 1,982 sales recorded. Overall sales in 2023 decreased
  by 20.1% with a total of 30,499 sales. Overall sales in 2022 were recorded at 38,162.
  Single family home sales decreased in 2023 by 19.6% for a total of 22,530 sales compared to 28,022 sales in 2022.
  Condo sales decreased in 2023 by 22.5% for a total of 4,007 sales compared to 5,168 sales in 2022.
  Townhome sales decreased by 19.7% in 2023 for a total of 2,853 sales compared to 3,551 in 2022.
• In November 2023, inventory was recorded at 8,202 – 4.11 months of supply. This was the highest inventory in the Orlando area
  since January 2019. (The real estate market is considered balanced when there is 6 months of supply.) Closing the year, inventory
  was recorded at 7,838 in December – 3.95 months of supply.
• Interest rates rose nearly every month in 2023. In October 2023, interest rates reached 7.8%, their highest point in more than 22
  years. Interest rates began to fall in the two subsequent months, closing out the year at 6.6%.
• New listings dropped in December, with 2,409 new listings, compared to 3,188 new listings in November.

2023 Annual Market Recap

(Cumulative 2023 totals compared to cumulative 2022 totals)

• The overall median home price in 2023 was recorded at $370,500, an all-time high and a slight increase of 1.5% compared to 2022 when the overall median home price was recorded at $365,000.
• Overall sales in 2023 decreased by 20.1% with a total of 30,499 sales. Overall sales in 2022 were recorded at 38,162.
  • Single family home sales decreased in 2023 by 19.6% for a total of 22,530 sales compared to 28,022 sales in 2022.
  • Condo sales decreased in 2023 by 22.5% for a total of 4,007 sales compared to 5,168 sales in 2022.
  • Townhome sales decreased by 19.7% in 2023 for a total of 2,853 sales compared to 3,551 in 2022.
• “The housing market in 2023 continued to stabilize from the frenzy we saw during COVID-19. Many buyers chose to wait on buying a home amid rising interest rates,” said Rose Kemp, 2024 Orlando Regional REALTOR® Association President. “Interest rates fell near the end of 2023, which enticed buyers who were waiting on the sidelines. Looking ahead, these rates will continue to be the biggest factor in the market.”

Market Snapshot

• Interest rates rose nearly every month in 2023. In October 2023, interest rates reached 7.8%, their highest point in more than 22 years. Interest rates began to fall in the two subsequent months, closing out the year at 6.6%.
• The average interest rate in 2023 was 6.8%.

Inventory

• At the start of the year, inventory was recorded at 6,115 – 3.65 months of supply. Supply dipped in the following months before rising again.
• In November 2023, inventory was recorded at 8,202 – 4.11 months of supply. This was the highest inventory in the Orlando area since January 2019. (The real estate market is considered balanced when there is 6 months of supply.)
• Closing the year, inventory was recorded at 7,838 in December – 3.95 months of supply.
• The average monthly inventory for 2023 was 6,243. The average monthly inventory for 2022 was recorded at 4,997.

ORRA’s full State of the Market Report for December can be found here.

This representation is based in whole or in part on data supplied by the Orlando Regional REALTOR® Association and the Stellar Multiple Listing Service. Neither the association nor StellarMLS guarantees or is in any way responsible for its accuracy. Data maintained by the association or by StellarMLS does not reflect all real estate activity in the market. Due to late closings, an adjustment is necessary to record those closings posted after our reporting date.

ORRA REALTOR® sales represent sales involving Orlando Regional REALTOR® Association members, who are primarily – but not exclusively – located in Orange and Seminole counties. Note that statistics released each month September be revised in the future as new data is received.

Orlando MSA numbers reflect sales of homes located in Orange, Seminole, Osceola, and Lake counties by members of any REALTOR® association, not just members of ORRA.

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