Central Florida’s Affordability Index To Yet Another Record High!

The median price of all Orlando homes sold in March ($137,000) decreased by 37.73 percent compared to March 2008 while the area’s average interest rate dropped yet again to 4.67 percent, its lowest point on record.
Of the 1,653 homes sales in March, 49.06 percent of the homes were either bank-owned (700) or distressed (111) homes. The median price of the bank-owned homes sold in March was $95,000, while the median price of distressed homes was $143,500. The median price for the “normal” homes (842) sold in March was $174,995.
The decrease in median price drove the area’s affordability index to yet another record high of 192.17 percent. (An affordability index of 99 percent means that buyers earning the state-reported median income are 1 percent short of the income necessary to purchase a median-priced home. Conversely, an affordability index that is over 100 means that median-income earners make more than is necessary to qualify for a median-priced home.) Buyers who earn the reported median income of $52,250 can qualify to purchase one of 12,185 homes in Orange and Seminole counties currently listed in the local multiple listing service (MLS) for $263,270 or less.All this means is whether you are an investor or a first time buyer; the time to buy is now.