Northeast Florida Real Estate Market Update

January 26, 2022


“I always just thought if you see somebody without a smile, give ‘em yours!” Dolly Parton



A little Dolly wisdom to get 2022 off to a great start.


The Northeast Florida Association of Realtors Market Stats shows strong buyer demand, a very low supply of homes available, and prices continuing to rise. The buyer demand is particularly strong as mortgage interest rates have risen slightly and buyers want to lock in lower mortgage rates. The higher interest rates expected will decrease affordability for some buyers going forward.


Some great information shared by Bank of England loan officer Alex Stewart at the Sales & Marketing Council last week included some Redfin user search data showing 52% of buyers searching Jacksonville properties were local and 48% were from outside the area. The locals don’t have the perspective of buyers moving here from much more expensive areas.


The average price home in Jacksonville is around $358,000 for a 2,500 square foot home. A similar home in Washington DC is approximately $676,000, in New York $3 million and Seattle $807,000. These buyers relocating to our area find the homes very affordable.


Job growth is also adding to the demand for homes. The Jacksonville market has recovered more jobs than we lost when COVID caused so much unemployment. As of October 2021, Jacksonville has recovered 112% of jobs compared to the United States recovering 81%.


The supply of homes was around 20,000 homes in Northeast Florida in 2007 when the housing market changed. As the market improved, it dropped 52% to around 9,500 homes at the beginning of 2020. In the last 2 years, the supply has dropped an additional 62% to around 3,400 homes available in December 2021. There is a 1.1 month supply of homes available in December way below the 5 to 6 months supply that is considered a balanced market.


The median sales price in the Northeast Florida area in December is $323,880 for all property types in all 6 counties. That is an increase of 20.5% over last December. Most sellers got their asking price with 29.1% closing over list price.


The Northeast Florida real estate market is very strong. If you are interested in buying, selling, or renting your property, please give us a call for a consultation. Thank you so much for all of your support and referrals in 2021. Happy New Year!

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Davidson Realty