Fort Lauderdale Real Estate | Homes & Condos for Sale

South Florida housing market has hit bottom, Zillow says

andy — Mon, 07 May 2012 11:13:41 +0000

By Paul Owers, Sun Sentinel

After six years of historic price declines, South Florida’s housing market has hit bottom.

So says Zillow.com, a Seattle-based real estate website that reports home values aren’t just stable but rising in Miami-Dade, Broward and Palm Beachcounties. Prices in South Florida reached their low point at the end of 2011, according to Zillow.

The optimism extends beyond Zillow. The Sun Sentinel interviewed a dozen builders, buyers, analysts, real estate agents and other local housing observers, and 10 agreed that the region has reached a housing floor, despite concern that another wave of bank-owned homes will hit the market.

The median value for all homes in the three counties is $141,300, up 1 percent from a year ago, Zillow says. While values still may dip in some areas from month to month, the website says overall prices are expected to climb about 6 percent in the next year, making it one of the nation’s best-performing housing markets.

“For people who have been waiting to time their home purchase close to market bottom, it’s time to start shopping,” said Stan Humphries, Zillow’s chief economist.

Most experts don’t anticipate a quick turnaround, but neither do they predict prices will fall farther.

“There are a lot of good signs,” said Ken H. Johnson, an economist and finance professor at Florida International University. “If the guy who buys today looks to sell in a few years, I don’t think he will have made such a good decison. But if he buys and holds off selling for eight years or so, he’ll think, ‘Man, I made a good investment. That was really shrewd.’”

Some say the housing bust that began in 2006 rivaled the Great Depression. Demand from short-term investors and easy lending standards fueled a frenzy that ultimately collapsed, ushering in foreclosures and price declines.

Prices for existing single-family homes tumbled by more than 50 percent in Broward and Palm Beach counties. Condo values plummeted by more than 60 percent.

With prices back to levels last seen in 2002, demand is strong again, particularly from foreign investors and others willing to pay cash.

As a result, the South Florida market is heating up, real estate agents say.

Home values in 21 of 32 Broward cities, including Fort Lauderdale, Oakland Park and Deerfield Beach, have increased from a year ago, Zillow says. In Palm Beach County, Gulf Stream and Highland Beach are among 17 communities with higher values.

Bidding wars have returned as buyers compete for a shrinking supply of homes. Inventories of single-family homes in Palm Beach and Broward counties have fallen in the past year by 38 percent and 48 percent, respectively, local Realtor boards say.

Broward agent Marisa DiLenge said a client recently offered $10,000 above the asking price. Another client, Sarah Brobst, said she and her husband placed an offer on a three-bedroom home in Plantation the first day it went on the market because they were worried they’d lose it to another buyer.

“I honestly am a little afraid,” DiLenge said. “I think we’re setting ourselves up for the craziness that we had before.”

Some real estate observers are skeptical that prices have gone as low as possible.

While sales of existing homes and construction of new homes have likely reached their low points, overall home prices could still fall farther, said Greg McBride, senior financial analyst with Bankrate.com, a consumer website in North Palm Beach.

After a self-imposed moratorium to address possible paperwork errors in late 2010 and 2011, lenders have resumed filing foreclosures, and eventually those repossessed homes will hit the market and drag down prices, McBride said.

“I don’t think prices are going to drop another 10 percent,” he said. “But they still could soften some more.”

At year-end 2011, Florida had 550,000 homes in or near foreclosure, representing about 30 percent of the U.S. total, according to a report last week from Florida Realtors. But banks aren’t flooding the market with properties, and the state’s so-called shadow inventory is declining, the report said.

While some worry about the impact of these bank-owned homes, others insist the properties will help the market, not hurt it.

“Anything that comes on the market is good,” said Becky Walzak, a Deerfield Beach-based mortgage industry consultant. “We can use it.”

Buyer Alexander Fischer isn’t convinced that South Florida has reached a housing bottom. He thinks prices in some areas are headed down.

Still, Fischer, 27, isn’t willing to bet on that. He decided to look for his first home now and found a great deal: a three-bedroom house for $184,000 in a Plantation neighborhood where some prices top $200,000.

He’s redoing the floors and expects to move in this month.

“It’s still a buyer’s market,” Fischer said. “But sellers are starting to raise their prices a little.”

Broward pending sales rise in March

andy — Fri, 27 Apr 2012 12:03:40 +0000

The total number of residential listings that pended in March rose 7.3 percent compared to the same period in 2011, according to data from the Miami Association of Realtors. There were 4,421 listings of single-family homes and condominiums that pended during the month. “We continue to see historically strong home sales activity that is driving price appreciation in Broward County,” said Rick Burch, president of the Broward Council of the Miami Association of Realtors. “Rising pending sales point to further strength and stability in the Broward County residential real estate market. – Alexander Britell, TRD

S. Fla. home sale prices increase

andy — Thu, 26 Apr 2012 12:21:03 +0000

Housing market on the mend

Author: Jacey Birch, jbirch@Local10.com

SUNSHINE RANCHES, Fla. -

South Florida’s housing market is on the mend, and the proof is in an increase in home sale prices.

The properties are being picked off quickly, but at a price.

“As long as everything is working properly, we are good to go,” said Vanessa Hansen as she did the final walk-through before closing on her Sunshine Ranches home.

She liked what she saw.

“Yeah, it’s nice with the pool and everything, very nice,” she said.

Her search has been long, with little to choose from.

“We’ve been looking every day, every day. There were very few options,” she said.

In fact, inventory on single-family homes is down more than 30 percent in Miami-Dade and Broward. Both counties have only about 12,000 listings on the market.

“As of the turn of the year 2012, we’ve seen an increase in prices, with much less inventory,” said Bonnie Brooks of Turnberry Realty.

Brooks has seen a flood of buyers with a drought of available property.

“There were times when there were over 100 listings in certain areas, and now there’s 40,” Brooks said.

While South Florida home values have increased 1 to 2 percent over past year, depending on the county, some neighborhoods have bounced back big time. Sales are up nearly 20 percent in Bal Harbour, about 14 percent in Bay Harbor and Sunny Isles and even Key West has passed the 10 percent mark.

“I thought we could bargain a little more on the price,” Hansen said.

Even though she is happy to have a new home for her family, she estimates she paid about 3 percent over market value.

“The prices are not only going up. The good properties are selling above asking price and fast,” said Hansen.

She was concerned she might be outbid by a cash buyer, so she was happy to pay more and is now preparing for a massive renovation to update the 1970 home to 2012 standards.

South Florida home prices are still on the increase. Some analysts predict a 6 percent rise just in the next year. But, for home buyers who are looking for a deal, thousands of bank-owned properties should be released to the market within the next few years.

Fort Lauderdale / Miami # 5 in the Top 10 markets for rising ‘Zestimates’

andy — Wed, 25 Apr 2012 15:33:58 +0000

Top 10 markets for rising ‘Zestimates’

Zillow estimates of home values up from Q4 in 70 of 165 markets

By Inman News, Tuesday, April 24, 2012.

Inman News®

Location: Miami-Fort Lauderdale, Fla.

Quarter-over-quarter home value change (%)	2.7%
Year-over-year home value change (%)	1.1%
Zillow Home Value Index	$141,300

Miami Beach night photo via Shutterstock

Broward condo prices rise 7.1 percent

andy — Tue, 24 Apr 2012 15:20:45 +0000

Broward County condominium sales prices rose for the 14th time in 15 months in March, up 7.1 percent over the same month in 2011, according to a report from the Miami Association of Realtors. The median sales price for condos in March increased to $75,100, while the median sales price of single-family homes jumped 8 percent. “The Broward County real estate market continues to experience positive trends, as sales remain at strong levels, prices rise and inventory sharply declines,” said Rick Burch, 2012 president of the Broward County Board of Governors of the Miami Association of Realtors. “The resurgence of the local real estate market benefits the economy, the business community and residents at large.” Alexander Britell,TRD

Broward County pending sales up 53 percent

andy — Fri, 30 Mar 2012 21:51:33 +0000

The total number of listings that pended in Broward County during February jumped 53 percent, according to data from the Miami Association of Realtors. There were a total of 3,902 single-family homes and condominiums that pended last month, up from 2,555 such properties in February 2011. “February pending home sales in Broward County point to strong future sales activity,” said Rick Burch, president of the Broward Council of the Miami Association of Realtors. “Pending sales continue to rise, reflecting strong demand for both single-family homes and condominiums countywide.” Pending home sales activity continues to mirror closed home sales activity, according to Ernesto Vega, president-elect of the Broward Council. — Alexander Britell, TRD

Home Prices Have Been Rising for Three Months: Report

andy — Wed, 28 Mar 2012 12:22:40 +0000

03/27/2012 By: Carrie Bay

Standard & Poor’s reported Tuesday that it’s closely watched Case-Shiller index declined in January for the fifth straight month, with both the 10-city and 20-city composite readings slipping 0.8 percent from December.

But according to John Burns Real Estate Consulting (JBREC), that’s stale news and doesn’t reflect what’s actually happening in the market right now. In fact, the independent research company says home prices are rising.

JBREC conducted its own analysis of home prices in 97 markets and found that over the January-to-March period prices are up in 90 of them. The average price increase over the last three months is 1.1 percent, or a 4.5 percent annual rate, according to data issued by JBREC just before S&P’s Case-Shiller release.

The company also found that home prices have been trending up nationally since January, and even more markets have turned positive recently, with 93 of the 97 markets it analyzed showing appreciation over the last month.

So why are other industry indices still painting a picture of the doom and gloom of freefalling home prices? Wayne Yamano, VP and director of research for JBREC, says it’s because most price indices are on a three-month lag.

Yamano explains that after hundreds of hours of research vetting 23 data sources and running calculation after calculation, JBREC developed the Burns Home Value Index (BHVI), which calculates home values based on prices that are set at the time purchase contracts are negotiated and signed.

Nearly all other indices are based on when the purchase transaction closes, he says, which is typically two months after the purchase contracts were negotiated. Then, it takes one to two months for the closing price data to be compiled and reported, according to Yamano.

He contends that the BHVI is a better assessment of current changes in home prices and precedes median price data from the National Association of Realtors by three months and the S&P/Case-Shiller index by four to six months.

“It is current because it uses what is happening in MLS databases all over the country, as well as some leading indicators we have determined are reliable,” Yamano explained. “We call it a Home Value index because it is partially based on an ‘electronic appraisal’ of every home in the market, rather than just the small sample of homes that are actually transacting.”

JBREC has calculated BHVI index values for the United States and 97 major metro areas, with history going back to January 2000.

“The slow housing market recovery is underway, and it can accelerate or turn down quickly,” said Yamano. “The future is uncertain, and it is even more uncertain when you are using data that is three months old.”

Greater Ft. Lauderdale Home Prices Continue to Rise, Aided by International Cash Buyers

andy — Wed, 28 Mar 2012 12:11:00 +0000

Michael Gerrity, WPC

According to the Miami Association of Realtors, the median sales price of single-family homes in Greater Ft. Lauderdale area (Broward County) was $180,000, up eight percent compared to February 2011. The median sales price for condominiums increased 12 percent to $75,000 compared to a year prior. Broward County condominium prices have increased 13 out of the last 14 months.

The average sales price for total single-family homes increased 3.1 percent, from $244,139 to $251,757. The average sales prices for condominiums rose 15.7 percent, from $105,246 in February 2011 to $121,759 last month.

“As housing inventory in Broward County continues to decline, home prices are rising on a consistent basis, which points to further strengthening and stabilization in the Broward real estate market,” said Rick Burch, 2012 president of the Broward County Board of Governors of the Miami Association of Realtors. “The remarkable recovery of the South Florida housing market benefits the local community and will boost our improving economy.”

Statewide median sales prices in February increased 15.9 percent to $95,000 for condominiums and 7.2 percent to $135,000 for single-family homes, according to data from Florida Realtors Industry Data and Analysis department and vendor partner 10K Research and Marketing. The national median existing-home price for all housing types was $156,000 in February, a 0.3 percent increase from February 2011.

Broward Housing Inventory Declines 33 Percent

From February 2011, the inventory of residential listings in Broward County has decreased 33 percent from 18,826 to 12,483 in February 2012. Compared to the previous month, the total inventory of homes dropped four percent. Total housing inventory nationally rose 4.3 percent at the end of February.

“New residents, vacation, second home and international buyers continue to be attracted to Broward County and all that it offers,” said Ernesto Vega, president-elect of the Broward County Board of Governors of the Miami Association of Realtors. “Despite the decline in available inventory and rising prices, there is evident demand for properties throughout Broward County.”

In Broward County, single-family home sales increased .44 percent, from 909 in February 2011 to 913 last month. Condominium sales dropped nine percent in February compared to a year earlier, from 1,357 to 1,238.

Statewide sales of existing single-family homes totaled 14,270 in February 2012, down 4.8 percent compared to a year ago. Statewide condominium sales totaled 7,545, down 16 percent from those sold in February 2011. Nationally, sales of existing single-family homes, townhomes, condominiums, and co-ops decreased 0.9 percent from January but were 8.8 percent higher than they were in February 2011, according to the National Association of Realtors (NAR).

International Buyers Fuel Cash Sales

In February, cash sales accounted for 68 percent of all residential sales, 47 percent of single-family and 84 percent of condominium closings, in Broward County. Nearly 90 percent of international buyers in Florida purchase properties all cash. Nationally, all-cash sales were 33 percent in February, reflecting the stronger presence of international buyers in the South Florida real estate market.

Broward County condo prices rise 12 percent

andy — Thu, 22 Mar 2012 21:50:53 +0000

The median sales price of Broward County condominiums rose 12 percent in February, compared to the same month in 2011, according to data from the Miami Association of Realtors. Condo prices in Broward County have increased in 13 of the last 14 months, according to the MAR. The median sales price of single-family homes rose 8 percent in the same period. “As housing inventory in Broward County continues to decline, home prices are rising on a consistent basis, which points to further strengthening and stabilization in the Broward real estate market,” said Rick Burch, 2012 president of the Broward County Board of Governors of the Miami Association of Realtors. “The remarkable recovery of the South Florida housing market benefits the local community and will boost our improving economy.” Alexander Britell, TRD

Home Affordability Index Reaches Record-High Level

andy — Thu, 08 Mar 2012 13:51:59 +0000

Home affordability has reached the highest peak since 1970, which is when the data was first recorded, according to National Association of Realtor’s (NAR) housing affordability index.

The index rose to 206.1 in January, and an index of 100 is defined as the point where a median-income household has exactly enough income to qualify for the purchase of a median-

priced single-family home, assuming a 20 percent down payment and 25 percent of gross income for mortgage principal and interest payments.

“This is the first time the housing affordability index has broken the two hundred mark, meaning the typical family has roughly double the income needed to purchase a median-priced home,” said Moe Veissi, NAR president.

While projections about future mortgage rates and home prices have been mixed, NAR expects little change and anticipates affordability levels will stay high through 2012.

“Housing inventory levels have declined to a point where conditions are becoming much more balanced in much of the country,” Veissi said. “If access to credit improves, we could see a much more meaningful increase in home sales and broader stabilization in home prices with modest gains in areas with stronger job growth.”

The index is based on the relationship between median home price, median family income, and the average mortgage interest rate.

By: Esther Cho DSnews.com