Rising prices make it pricy to live in Northeast Florida 

Rising prices make it pricy to live in Northeast Florida 

For Immediate Release 

JACKSONVILLE, Fla., July 12, 2023 – In June, it became more expensive to live in Northeast Florida.  

The Home Affordability Index for single-family homes in the six-county region fell 4.3% to 66, which is the lowest it has ever registered in the region.  

The Housing Affordability Index measures housing affordability for the region. In other words, it measures whether a typical family earns enough to qualify for a mortgage on a typical home, based on current interest rates, median income, and median home prices.  A higher number means greater affordability. An index value of 100 means that the average family has exactly enough income to qualify for a mortgage. 

“The Home affordability index continues to decrease. Housing demand, interest rates, and labor costs are influencers,” said NEFAR President Diana Galavis. 

In June, Northeast Florida’s median sales price on single-family homes settled in at $394,900, a rise of 1.8% from the previous month. New listings – 3,212 homes — jumped 16.6% and active inventory rose to 4,891 homes, a 15.1% increase. Also in June, homes remained on the market a little longer – 33 days, which is a 3.1% increase from May. 

“More homes were introduced to the market and buyers are taking a little extra time to shop with increased days on market to just over a month,” Galavis said. “In June, the summer heat made its way to the housing market. It is a sellers’ market with the buyers in control. The median sales price and closed sales were up from May. Sellers received over 98% of the list price. Sellers are pricing their homes in line with the market. This brought the median price down slightly and settled it at a median price of $206 per square foot.” 

Pending sales dropped 10.2%, falling to 1,901 in June from a May high of 2,116. Meanwhile the housing supply continues to hover at a low of 2.3 months’ supply.  

“Pending sales were significantly down from May,” Galavis explained. “Housing supply continues to be at the lowest it has been in many years even with increased active housing inventory. There is still not enough housing to meet the needs of the buyers looking to purchase in the area.” 

In these unusual times, it is even more essential that buyers and sellers have a housing expert by their side to help guide them, she said.  “REALTORS® are committed to promoting and creating opportunities for those who seek to achieve homeownership. Seek a trusted advisor, a REALTOR® when navigating the purchase, sale or investment in real estate.”  

Northeast Florida by County 

In Duval County, the June 2023 median price of single-family housing was $335,000, a 1.5% climb from May 2023 when it registered $330,000. The median days on the market in June remained at 30. Month-to-month, closed sales dropped half a point to 1,043, pending sales fell 8.4% to 974, and new listings increased 23.8% to 1,662. Active inventory for the county rose 20.3% to 2,195 homes, a 2.1-month supply. In June, the home affordability index showed housing was becoming less affordable by registering at 78, a 3.7% drop from the month before. 

In Clay County, the June 2023 median price of single-family homes rose 1.4%, to $365,000. The median number of days on the market increased to 41. Month-to-month, closed sales fell .9% to 318 , pending sales fell 14.9% to 262, and new listings increased 7.0% to 396.  Active inventory for the county was 632 homes, rising 11.1% from May 2023 and showed a 2-month supply. The affordability index registered at 72, a 2.7% decrease from the previous month.  

In St. Johns County, June 2023 median prices decreased slightly to $555,000 for single-family homes.  The median days on the market were 34, a 2.9% drop from the month before. Month-to-month, closed sales rose 4.7% to 560, pending sales dropped 11.2% to 478, and new listings jumped 11.5% to 865. Active inventory rose to 1,544 homes, an increase of 14% from May 2023, and 2.8-month supply. The affordability index slid to 47, demonstrating that St. Johns County continues to be the most expensive area to live in the region.  

In Putnam County, the June 2023 median price of single-family homes was $250,000, a 3.3% increase from May 2023.  The median days on the market in June were 31, 22.5% less than May. Month-to-month, closed sales climbed 12.8 % to 53, pending sales declined 3.2.% to 60 and new listings increased 3.8 % to 81. There was a 7.6% decrease in active inventory to 157 homes. Putnam County’s home affordability index registered at 104, a 6.3% drop from the month before indicating that prices in the county became more expensive, however Putnam County still remains the most affordable place to live in the region. 

In Nassau County, the June 2023 median price of single-family homes was $410,000, a 1.4% hike from May 2023. There was a 20% increase in the median days on the market to 42. Month-to-month, closed sales plummeted 14.7 % to 122, pending sales catapulted down 15.2% to 106, and new listings rose 3.6 % to 175. Active inventory increased to 321 homes, a 2.6-months’ supply. The Home Affordability Index registered 64, a 3% drop from the month before. 

In Baker County, the June 2023 median price of single-family homes dropped to 289,000. The median number of days on the market in June skyrocketed to 42, a 33.3% increase from the month before. Month to month, closed sales remained the same at 23, pending sales increased 5 % to 21, and new listings catapulted up 83.3 % to 33. Active inventory rose 20 % to 42 homes, a 1.8-month supply. The affordability index registered at 90, slipping 2.2% from the previous month.  

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The Northeast Florida Association of Realtors (NEFAR,) serves as the voice of real estate in Northeast Florida. It is the region’s largest professional association, representing more than 12,000 members who work in all facets of the real estate industry including residential and commercial sales and property management. It serves the public through support of community affairs programs and seeks to protect private property rights. The region’s multiple listing service, realMLS, is a wholly owned subsidiary of NEFAR. NEFAR is headquartered in Jacksonville, with satellite Service Centers in Orange Park, Jacksonville Beach, and Palatka.