BOTTOMED OUT

ORLANDO, Fla. – July 23, 2009 – Florida’s existing home sales rose in June – the 10th Fla. existing home, condo sales upJune's sales surpassed May's. For 2nd month in a row, the existing home median price was higher than previous month's172,900, down 16.1 percent from a year earlier, according to NAR. In Massachusetts, the statewide median resales price was $284,000 in May; in California, it was $267,570; in Maryland, it was $265,724; and in New York, it was $189,000.NAR’s latest housing industry outlook notes the $8,000 tax credit for first-time homebuyers is boosting the sector. “Strong activity by entry level buyers is helping to absorb inventory and allow some existing owners to make a trade,” said NAR Chief Economist Lawrence Yun. “However, the increase in sales is less than expected because poor appraisals are stalling transactions. The big question is how much the appraisal issue will impact the ability of contracts to go to closing.”In Florida’s year-to-year comparison for condos, 5,241 units sold statewide compared to 3,771 units in June 2008 for a 39 percent increase. The statewide existing condo median sales price last month was $112,900; in June 2008 it was $180,400 for a 37 percent decrease. The national median existing condo price was $173,800 in May 2009, according to NAR.Interest rates for a 30-year fixed-rate mortgage averaged 5.42 percent last month, down significantly from the average rate of 6.32 percent in June 2008, according to Freddie Mac. FAR’s sales figures reflect closings, which typically occur 30 to 90 days after sales contracts are written. Among the state’s smaller markets, the Punta Gorda MSA reported a total of 216 homes sold in June compared to 196 homes a year ago for a 10 percent increase. The existing home median sales price was $145,600; a year ago, it was $141,000 for a 3 percent increase. The market’s existing condo median price last month was $140,000; a year earlier, it was $160,000 for a 13 percent decrease.© 2009 FLORIDA ASSOCIATION OF REALTORS

MORE GOOD NEWS
The National Association of Realtors says pending U.S. home sales rose 5.1 percent in February to rate of 4.72 million units. Economists had expected sales would fall. That's the second bit of good housing news over the past week -- last Tuesday, the government issued a better-than-expected housing starts report.

UP UP AND AWAY??????
HOUSING STARTS: The U.S. Commerce Department reported Tuesday that construction of new homes and apartments in February jumped 22.2 percent from January to a seasonally adjusted annual rate of 583,000 units, defying economists' forecasts for a drop in activity. Applications for building permits, considered a reliable sign of future activity, also rose in February by 3 percent.Read the full story:http://click.email.floridarealtors.org/?ju=fe271575736d077f761374&ls=fdf515707c62077b7714767c&m=feff1070756103&l=fecc177274660379&s=fe2b15767767027c771279&jb=ffcf14&t=

TIME TO GET OFF THE FENCE

It has been said that you will only know that the housing market has hit the bottom after it begins to rise again. Sales in January were up 50% in Florida as compared to a year ago. Sales of foreclosed properties and short sales, plus sales of all "existing Homes" continued to shrink the inventory of properties listed for sale. The median prices of existing single-family homes sold in January, 2009 were at 2002 levels. In Miami-Dade County this level in January, 2009 was $208,100. Those in the know say that it was after 2002 that prices began to soar to unsustainable levels. The above data was reported by the Florida Association Of Realtors. The numbers are County and Florida specific with no allowances being made for individual neighborhoods that may be either ahead, or behind the trends.

ANOTHER MONTH OF INCREASED SALES

It has been said by some experts that the bottom will be reached when home prices reach 2002-2003 levels. That level was reached in November when the "median" price of single family homes in Miami-Dade County was $224,700 as opposed to $359,300 in November 2007. This is a 37% drop from the same month a year ago. According to The Florida Association Of Realtors this is slightly below 2003 numbers. Sales of homes actually rose 39% in November 2008 over sales for November 2007!

ONLY GOOD NEWS-AGAIN
FAR (Florida Association Of Realtors) has just released its data for the period ending October 31, 2008. Housing prices are the lowest in four years. Compared to October, 2007 prices in Miami-Dade County have dropped thirty percent (30%)!!!! October was the third month in a row where falling prices led to increased (23%) sales of existing single family homes. The median price of a single family home was $246,800 in October.The President of the area's largest brokerage said that "People are seeing prices they will never see again...." 63% of all listings have an asking price under $300,000.

Talk of funding not being available is nonsense. Ditech is advertising all over the television. We can get 95% financing for qualified buyers. It is true that 100% financing to unqualified buyers and or buyers who refuse to substantiate income is not likely. However, a good to excellent credit rating and cash availability for the down payment and closing costs will get you the home of your dreams. Don't forget that the only time you will know that the market has hit bottom is after it starts to climb again..

IS THE BOTTOM A MONTH AWAY?
A study released on Wednesday by Mt. Pleasant-based Default Research finds that, while foreclosures in South Florida were up 325 percent from the same time last year, the area saw a decline from September to October.
“Our statistics show that foreclosures are beginning to level off in the region,” Research founder Serdar Bankaci said. “Inventories in the region have been falling for the past few months, and that should result in home prices starting to stabilize by the New Year.”