Orlando property prices rise for fourth month in a row | Bedford Corners Real Estate

Residential property prices in Orlando, Florida, appreciated for the fourth consecutive month in May, with the average price of a home in the city rising by 2.6% from April and 11.1% since the start of the year, according to a new report released by the Orlando Regional Realtor Association.

The four-month trend of rising prices suggests that the market is recovering following a turbulent period that saw prices collapse by up to 70% across parts of Orlando since the market peaked in late 2007.

“The good stuff is getting snapped up. We see more and more multiple offers. It’s reminiscent of 2008,” Mark Dean, broker for Maingate Real Estate in Orlando, told the press.

The core property markets in Orange and Seminole counties are performing particularly well, with the midpoint price in May stood at $120,000 (£76,500), up 9% from a year earlier.

Furthermore, the average property took an average of 12 weeks to sell – three weeks faster than those that sold in May 2011.

The inventory of homes is the most anemic it has been since 2005. At the current pace of sales, the May backlog would sell out in 3.5 months, compared with a six-month inventory, considered a market in balance.

Demand for homes in Orlando is primarily being supported by attractively priced properties, potentially high rental returns and low mortgage borrowing costs – the average interest rate that buyers paid for a 30-year mortgage in May was 3.89%, the lowest on record