Housing market shows signs of stabilization in New Year 

Housing market shows signs of stabilization in New Year  

For Immediate Release  

JACKSONVILLE, Fla., January 8, 2024 – The Northeast Florida housing market is beginning to stabilize with several signs that should bring New Year’s cheer to those who are seeking to buy or sell homes in the region this year. 

“The local indicators bode well for Northeast Florida’s housing market for both buyers and sellers in our region,” said 2024 NEFAR President Rory Dubin, who took over the reins from 2023 President Diana Galavis during the NEFAR Awards and Installations Gala January 4 at the Hyatt Regency Riverfront Hotel.  

Buyers can be happy that Northeast Florida’s affordability index for single-family homes registered at 67, a 6.3% increase from November’s mark of 63, however, looking at the market’s year-over-year affordability, the index registered 8.2% more expensive than December 2022. But one good sign for buyers is the closed over list price of 11.5% is down about 5% both month over month and year over year. 

The Home 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.  This index measures affordability factors for all homebuyers making a 20% downpayment. An index of 100 is defined as the point where a median-income family has the exact amount of income needed to purchase a median-priced existing home. An index value over 100 means that the family has more than enough income, while a value below 100 means that a family doesn’t have enough income to qualify for a mortgage loan.  

Meanwhile, sellers should take heart that the median sales price for single-family homes registered at $384,750 for the region, a slight 1.3% drop from November but still 4% higher than December 2022.  

Another plus for both buyers and sellers is that active inventory of single-family homes came in at 5,148 houses, a 15.8% increase over last year, although down 3.6% — approximately 200 homes – from November 2023.  

“During the final month of the year, the strengthening market was indicated by a 5% increase in closed sales across Northeast Florida as compared with November,” said Dubin. “Median home prices were slightly down from last month, but up 4% from last December. There are now over 5,100 listings on the market, and more than 2,000 new listings were added, almost 20% more than the increase a year ago, indicating a more balanced market possible for 2024.” 

“The stabilizing market and increasing inventory necessitates the fact that sellers should use REALTORS^® to optimize marketing and proper placement in a rapidly changing market in the early part of the new year. Similarly, buyers will want to use their REALTORS^® to navigate the increasing inventory to timely make offers with pricing changing monthly, and even differences from neighborhood to neighborhood,” Dubin said. 

Northeast Florida by County  

In Duval County, the December 2023 median price of single-family housing was $334,495, a negligible change from November 2023. The median days on the market in December increased to 37, a 7.5% drop from the month before. Month-to-month, closed sales rose 3.1% to 704, pending sales dropped 11.7% to 596, and new listings decreased 9.6% to 1,098. Active inventory for the county inched downward .8% to 2,408 homes, a 3.4-month supply. In December, the Home Affordability Index climbed 5.5%, registering at 77.   

In Clay County, the December 2023 median price of single-family homes dropped 1.1%, to $349.990. The median number of days on the market increased 19.6% to 61. Month-to-month, closed sales fell 11.1% to 211, pending sales dropped 22.3% to 164, and new listings tumbled 25.6% to 230.  Active inventory for the county fell to 656 homes, a 5.9% decrease from November 2023 and showed a 3.1-month supply. The Home Affordability Index rose 7.2% from 69 to 74.   

In St. Johns County, December 2023 median prices climbed 10.7% to $564,787 for single-family homes.  The median days on the market jumped up 31.9% to 62. Month-to-month, closed sales fell 12.1% to 425, pending sales dropped 10.7% to 326, and new listings plummeted 18.3% to 479. Active inventory decreased to 1485 homes, a drop of 8.8% from November 2023, and 3.5-month supply. The Home Affordability Index dropped, 4.2% to 46, indicating that it is growing more and more expensive to live in St. Johns County.   

In Putnam County, the December 2023 median price of single-family homes was $232,500, an 5.7% hike from November 2023.  The speed of sales quickened with homes remaining on the market a median of 46 days, 12.4.3% drop from the month before. Month-to-month, closed sales skyrocketed 83.3% to 44, pending sales decreased 17.5.% to 33 and new listings catapulted 57.7 % to 82. There was an 14.6% increase in active inventory to 188 homes. Putnam County’s Home Affordability Index registered at 110.5, a .5% fall from the month before indicating that prices in the county became slightly less affordable.  However, with a Home Affordability Index registering over 100, Putnam County remains by far the most affordable place to live in the region.  

In Nassau County, the December 2023 median price of single-family homes was $424,995, a 5.5% decrease from November 2023. There was a 3.6% drop in the median days on the market to 54. Month-to-month, closed sales climbed 30.8 % to 102, pending sales skidded down 10% to 81, and new listings inched up 5.5 % to 153. Active inventory increased .3% to 372 homes, a 3.6-months’ supply. The Home Affordability Index registered 61, a 13% jump from the month before.  

In Baker County, the December 2023 median price of single-family homes decreased to $288.990. The median number of days on the market in December skyrocketed to 121, an 86.2% hike from the month before. Month to month, closed sales dropped 38.9% to 11, pending sales rose 14.3% to 8, and new listings plummeted 28.6% to 10. Active inventory fell 22 % to 39 homes, a 3.5-month supply. The Home Affordability Index registered at 90, rising 8.4% 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.