A decreasing number of homes for sale is keeping the housing market hot along the First Coast, according to Northeast Florida Association of Realtors data released this week.
There were 4,296 residential properties for sale in January in Northeast Florida. That’s down from the 8,876 homes for sale in January, 2020, a 51.6% annual drop.
That figure topped December’s decline in inventory which dropped 46.9% year over year. January’s inventory dropped from 4,549 in December.
The 2020 annual report for NEFAR showed many real estate records were smashed on the First Coast. Inventory was lower than it ever was before in terms of modern record keeping and home prices soared to new heights.
The low supply of homes has driven up the average price for homes on the First Coast, though it’s fluctuated in recent months. Still, the average cost for a house in January shows a strong start to 2021 in the region. The average cost of a home was $319,811. That’s up from the average price a year ago, which was $275,787.
The average price for a home exceeded $300,000 for the first time on the First Coast in 2020 as demand kept surging while supply went the opposite direction. The monthly average price did drop more than $10,000, though, as the average December cost per home was $331,242.
NEFAR officials said in a news release there appears to be an increasing number of homeowners engaging in forbearance due to mortgage difficulties. It’s projected some of those issues may lead to more properties being added to housing inventory soon.
“Some of these homes may eventually come to market, but given the strong appreciation in most market segments in recent years, these eventual home sales are likely to be mostly traditional sellers. However, a modest increase in short sales and foreclosures at some point this year would not be surprising,” a NEFAR news releases said.