Florida Defies US Resale Falls
The number of existing-home sales in Florida rose in December despite a severe drop in the national US resale figures.
Florida resales rose 4.3% compared to the previous month to nearly 14,630, while national transactions fell 16.7% to an annual rate of 5.45 million units, according to data from the Florida and National Realtor associations. Year-on-year the Florida numbers rose 33%, more than twice the national rise of 15%.
Existing-condo sales in the state saw the biggest rise, increasing 22% compared to the previous month and 91% compared to December 2008. Miami also did particularly well, recording a 53% year-on-year climb in resales.
Though Florida has been one of the hardest-hit markets in the US, large amounts of distressed and repossessed property and a sharp decrease in prices appear to have brought transaction levels back to life. December was the 16th month in a row that year-on-year resale numbers increased.
Tax credit
National resale levels have also been steadily increasing but the market saw a surge in November as first-time buyers rushed to qualify for an $8,000 tax credit, which has now been extended to the end of April 2010.
“We’ll likely have another surge in the spring as homebuyers take advantage of the extended and expanded tax credit,” said Lawrence Yun, chief economist for the National Association of Realtors (NAR).
“By early summer the overall market should benefit from more balanced inventory, and sales are on track to rise again in 2010. However, the job market remains a concern and could dampen the housing recovery – job creation is key to a continued recovery in the second half of the year.”
Florida’s median sale price was $140,400 in December, 10% less than a year earlier. The national median was $178,300, up just 1.5%.
Source: Overseas Property Professional |
