Daytona Beach Real Estate Sales Up 99% Over 2008
November Daytona Beach real estate sales were recorded at 404 homes and condos in the Daytona Beach MLS, nearly doubling the 203 sales from a year ago. Sales were up 13.8% over October of this year. From the chart below, we can see that while sales are rising, the average sales price and median sales price have stabilized over the past few months.
The chart shows sales for the past 23 months. Sales in January 2008 were at 164 properties. That was the low point in sales. So, from that time, November sales are up 146% or 240 properties.
Daytona Beach Real Estate Sales Breakdown
The breakdown of sales by price is shown in the chart below. We can see that 76.5% of all sales were below $200,000, and 87.1% of all sales were below $300,000. This is consistent with what we have been seeing over the past two years. However, because of higher volume, more homes and condos are selling above $300,000.
The 404 properties sold is the highest amount in a long time. There is speculation that the spike in sales nationwide was due to the fear of the expiration of the First Time Home Buyers Credit. We’re not so sure. We’ve sold 24 properties this year and only a few were first time home buyers. Most of our buyers are second homes or people moving into the area for retirement or semi-retirement.
We will see what happens in the coming months, but there are three factors that we see for the short term that will continue to drive sales:
- Low Interest Rates
- The extension of the Home Buyers Credit through offers accepted through April
- Stabilizing Prices – prices in Miami actually rose recently according to Case-Shiller
The amazing thing about the sales in November is that November is not part of the peak selling season. That will occur during the Spring and Summer. You can see that in the chart for last year. 2007 looks very similar. 2009 shows a continuing up trend. We don’t know where the top is.
Daytona Beach Area Home Buyers – What To Do Now
What to do depends on your goals and objectives. Is this the price bottom? All we can say is maybe. We are concerned about another wave of foreclosures, but although there are a lot of foreclosures, the banks and mortgage lenders are not dumping a lot of properties on the market. They are more like drip feeding them into the system. That is contributing to keeping prices stable.
We still believe the best values are in short sales, but patience is required to navigate that process. Foreclosures, or Real Estate Owned (REO) properties are less complicated to buy, but usually do not result in the same level of discount as short sales.
If you are interested in buying Daytona Beach homes or condos in the short-term, you need to pay close attention to what is happening with prices. You can check back here for regular updates.