Allied Realty Group Blog

Residential inventory on the rise in South Florida

Residential real estate inventory was on the rise in South Florida during the month of January.  We have noted that some of this bounce is seasonal.  Plenty of sellers would rather not have their properties listed during the holidays.  They come off in late November and magically reappear in January.  What is noticeable this time is that we are now seeing available listings reaching levels not seen since 2011.  There were 21,496 houses and 32,221 condos available for sale in the tri-county area in January.  It is worth noting that residential  inventory hasn’t been this high (53,717 properties) since  August 2011!  Here is a look at the chart:

residential inventory on the rise

Transaction volume tanked!

The volume of closed sales tanked in January.  One month does not make a trend, but if this persists it will wreak havoc on prices.  Lower transaction volume and higher inventory will eventually lead to significant price declines.  There were 5,113 closed sales in January in South Florida.  This number is literally off the chart, since we haven’t seen transaction volume this low since we started charting in January 2012.  There is a great deal of “air” in this latest housing bubble.  If demand doesn’t rebound in the next few months……look out below!

Residential deal volume tanks!

Mortgage rates –  still easy money!

What we find so disturbing about this latest housing slowdown is that it is happening with all of this easy money floating around.  What would happen if rates had continued to climb back in October?  Although some may be cheering the low rates, they have had minimal impact if any at all.

Mortgage rates - easy monet

 

Posted in Fort Lauderdale real estate, Market Insight, Miami real estate, Mortgage rates, Palm Beach real estate, South Florida Real Estate | Tagged , , , | Comments closed

Pick your poison

When it comes to the current housing and mortgage market, I guess you have to pick your poison.  If rates move lower, there is a very good chance that the economy is slowing and the housing market will struggle.  If rates move higher, the economy may be stronger, but the higher rates will hurt the housing market.  It appears that we are in a no-win situation.  Our first chart is a snapshot of mortgage rates and you will notice the correlation to the 10-year bond yield.  The 30-year mortgage rate almost reached 5% (net of fees) in early November, but has been on the decline since then.  Sometimes those rate shocks do psychological damage to the market and 5% seems to be the “line in the sand” where transaction volume drops sharply once it’s breached. Last week mortgage applications declined, which is not a good sign for real estate market sentiment.  The recent decline in rates should stimulate purchase applications, but maybe this is a sign of a shrinking demand for real estate.

Pick your poison - mortgage rates

Median Sale Prices – Houses

Do you want higher prices or lower prices?  It all depends if you are a buyer or seller.  As of December 2018 it sure looks like prices hit a wall.  This is typically a slower time of year, but here is a look at the numbers for single-family homes sales in South Florida:

  • Traditional sales – $355,000
  • Foreclosure sales – $275,000
  • Short sales – $240,000

Pick your poison - median house prices

Median Sale Prices – Condos

Traditional sales prices in the South Florida market appear to have peaked in June 2018, when the median price reached $210,000.  Here is a look at the numbers for December 2018:

  • Traditional sales – $193,500
  • Foreclosure sales – $143,250
  • Short sales – $160,000

Pick your poison - South Florida condo prices

You probably are wondering why we still include foreclosure sales and short sale transactions in our charts.  The reason is simple:  There was never a full clearing of distressed real estate in South Florida.  Years of foreclosure halts and bailouts have allowed this problem to linger throughout Miami, Fort Lauderdale and Palm Beach.  This last chart today shows that new foreclosure filings rebounded slightly in January.  Auto loan delinquencies climbed into the end of 2018, just another example of how this debt-fueled “recovery” could come back to haunt us.

Foreclosures in South Florida

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Housing Bubble Update

The latest housing bubble in South Florida real estate looks like it has been leaking air.  Nearly a decade of easy money in the form of record low mortgage rates  helped create this monster and we aren’t sure how it will end.  What we do know is that these distortions cannot last forever and there is always reversion to the mean.  Today we will look at a few charts showing residential prices, transaction volume and foreclosure activity throughout South Florida.

Housing Bubble – South Florida Real Estate Prices

The average sale price of a single family home in South Florida has declined 10% since June 2018.  Condo prices have dropped 14% for the same period.  You will notice from the chart below that June appears to be the peak in this latest cycle.

Miami, Fort Lauderdale, Palm beach real estate

Housing Bubble – Transaction Volume

Some of the slowdown in transaction volume may be seasonal in nature.  It may also be exhaustion of the last cycle.  In December 2018 there were 6,647 closed sales, which represents a 9% decline from December 2017.  The key to this next chart is if there is a strong rebound this spring.  If not, that will prove an end to the cycle.  Price declines typically follow a slowdown in sales activity as listings go stale and sellers begrudgingly lower their prices.  Once sentiment changes, popping the latest housing bubble begins.

South Florida real estate volume

Here is a look at the annual numbers for residential real estate transaction volume:

Transaction volume in Miami, Fort Lauderdale & Palm Beach

By the numbers……

Annual Monthly Avg
2012   86,001    7,167
2013   91,180    7,598
2014   91,239    7,603
2015   96,411    8,034
2016   90,974    7,581
2017   88,227    7,352
2018   90,870    7,573

Housing Bubble – Foreclosure Activity

After a large spike in new foreclosure filings last spring, it looks like the pace has settled down a bit.  Here is a chart showing the tri-county area with some data for the last few years.

Foreclosure filings in South Florida

Annual Monthly Change
2015   9 ,557    796
2016    15,194     1,266 59%
2017    13,071     1,089 -14%
2018   15,905     1,325 22%
Posted in Foreclosure activity, Fort Lauderdale real estate, Market Insight, Miami real estate, Palm Beach real estate, South Florida Real Estate | Tagged , , | Comments closed

Has the condo correction already started?

Has the condo correction already started in South Florida?  By looking at the latest numbers, it appears so.  Today we will focus on Broward County, which includes the cities of:  Fort Lauderdale, Pompano Beach, Deerfield beach, Hollywood and Hallandale Beach just to name a few.

Average condo sale price in correction territory

Our first chart today shows the average selling price of condo properties in Broward County.  Since the June 2018 peak in prices, the average sale price has declined 20% through December.  I think that would be considered a “correction” if you ask me and it looks like it is just getting started.

Condo correction in Fort Lauderdale

Condo inventory in the Fort Lauderdale area

The available condo inventory listed for sale in Broward was 8,128 during the month of December.  Our guess is that it will climb as we begin 2019.  Sellers have a tendencies to remove their properties from the market during the holidays and relist them in January.  We shall see.  This chart does not include all of the new construction product entering the market either.  Developers only tend to list a small fraction of the project in the MLS and they wouldn’t have to keep sweetening incentives if they didn’t see demand for their product eroding.

Condo sales by transaction type

This next chart shows the median sale price of condo properties by the type of transaction.  Sometimes the average sale price metric is more volatile, but you will notice from this chart that the median sale price of traditional sales has declined 13% since June.  The median foreclosure sale prices have dropped 10% and short sale median prices were down 41%.  The distressed sale prices have been more volatile as the volume declines.  The higher-priced units will drag the median prices up once they are sold, hence the periodic spikes in the chart.  Of course the distressed property owners who have the resources to fight the foreclosures have dragged these cases out since the last crisis and those units are eventually hitting the market.

Forelcoures short sales condo correction

Condo transaction volume by deal type

There were 1,210 condo property closings during the month of December, representing a 33% decline from the 1,806 closings in June 2018.  Although some of this slowdown is seasonal, it looks like the overall trend is down.

Condo correction - closed sales in Fort Lauderdale

Comparing houses and condos

Our last chart today compares the average selling price of houses and condos in the Greater Fort Lauderdale (Broward County) market.   The average sale price of a single-family home has only declined 5% since June, while condos have dropped 20% for the same period.  Both housing segments are facing headwinds, so it should be interesting to see how this chart develops as we progress through 2019.

Condo correction and house prices Fort Lauderdale

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Headline of the day

The headline of the day appeared after existing home sales tanked for December. Here is a good  link.   Apparently real estate agents were “baffled” by the latest home sales report.  How could this happen?  You mean that real estate doesn’t always go up?  If agents would spend some time doing basic math and affordability analysis, they would hopefully recognize that prices haven’t made sense in years.  What’s frightening is that they ignore all of the signs of a slowdown and their clients get stuck holding the bag.  Let’s take a look at a few charts of the South Florida market:

Average sale price

I saw a brief news segment on how all the rich people in New York are buying mansions in South Florida.  Not according to the average sale prices.  They have flat-lined and it looks like the next move is lower.  In addition, a few large transactions tend to distort the data, so don’t believe everything you hear.  We still believe that the South Florida residential market peaked in June 2018.  Since then, the average sale price of a house has declined 10% and condo prices have declined 14%.  Is that booming or collapsing?

Miami, Fort Lauderdale, Palm beach real estate

Residential Inventory

The number of houses and condos listed for sale dipped slightly in December, but that is typically seasonal as people take their properties off the market during the holidays.  In December there were 50,167 properties on the market, down from 51,256 in November.  The number of residential listings should snap back in January.

Headline of the day Miami houses, Fort Lauderdale real estate

Transaction volume

There was a total of 6,647 residential sales closed in December.  These numbers include houses and condos in Miami, Fort Lauderdale and Palm beach areas.  That number is down slightly from 6,711 in November, but down a whopping 27% from the 9,141 closings back in June 2018 when the market peaked.

South Florida housing market

As for the 2018 summary, the numbers fared pretty well compared to the last few years.  The 2018 monthly average of transactions in South Florida climbed 3% over 2017.   You can see from the chart below that 2015 was the big winner.  Although transaction volume ended the year o.k., we will continue to monitor the numbers as this latest housing bubble may be leaking air.  After nearly a decade of record low interest rates, bailouts and foreclosure moratoriums, the real estate market will eventually have to pay the piper.

Healdine real estate deal volume South Florida real estate sales volume

Annual Monthly Avg
2012    86,001              7,167
2013      91,180              7,598
2014      91,239              7,603
2015      96,411              8,034
2016      90,974              7,581
2017      88,227              7,352
2018      90,870              7,573
Posted in Fort Lauderdale real estate, Market Insight, Miami real estate, Palm Beach real estate, South Florida Real Estate | Tagged , , , , | Comments closed

About our blog

I remember visiting some friends in Southern California during the last housing boom.  I played golf with different groups over a one-week period and it seemed like everything in the economy was hitting on all cylinders.  Almost everyone I met was a mortgage broker or real estate agent.  This was probably around 2005-2006 and there were plenty of similarities in Southern California and South Florida real estate market.  I knew plenty of people who starting flipping houses and continued to double-down after a few successful flips.  What could go wrong?

There was a REO (Real Estate  Owned) conference out in Palm Springs on the following weekend, so I registered for the event, rented a car and drove out to the desert to attended the conference.  My friends in California didn’t understand why I would attend a foreclosure conference when the real estate market was on fire.  What was funny is how easy it was to register and find a hotel room.  Attendance at the conference was light to say the least.  Everyone was so busy flipping and making money they didn’t see the disaster about to hit the housing market.  I just didn’t understand how the market could stay so frothy for so long.  People were paying nonsensical prices for real estate and there was no end in sight (for them).  Many of them were being led my real estate agents and even more of them were agents themselves.  I sat through a few days of speakers and visited with a few default servicing companies. I handed out my business card and eventually headed back to Newport Beach to play a few more rounds of golf before traveling back to Fort Lauderdale.

A few months went by and I started to hear stories of flippers with 3-4 houses seeing longer days on market and listings going stale.   Keep in mind, these are the same people who were telling me I was “missing out” and didn’t understand the market.   Plenty of them called me an idiot.  I just couldn’t comprehend how people were paying so much with hopes of selling for even a crazier amount. In addition, I heard stories of people qualifying for loans with minimal income and poor credit.  Then my phone rang.  It was a default servicing company from the REO conference I attended earlier that year.  What’s funny is that there was a house flipper visiting my office when the call came in.  They were telling me that I was too conservative and just didn’t understand the market.

I took the first REO listing just to see how it went.  Then I received another call, followed by a flood of calls.  On any given day I had 4-5 properties listed, with another dozen or so in the pipeline over the next few years.  I worked alone, so this was plenty of work for me.  The experience I gained was priceless.  I took listings all over Broward County.  What I remember most was the insight I had with some of the top banks and how inundated they were with foreclosures all of the sudden.  What was scary is that the local agents didn’t get it, and they continued selling overpriced properties to unsuspecting buyers.

Fast-forward to 2008-2009 and everyone wanted to be in the REO business.  The conference I had attended years before was sold-out.  It seems like the entire real estate industry was caught flat footed.  They didn’t know what hit them!  This is why I write my blog!  I could not believe how so many real estate “professionals” refuse to understand the market cycle.  I know a flood of real estate agents and brokers that allowed several properties go into foreclosure during the last downturn.  They stuck their lenders with massive losses and many of them are back in the flipping game repeating the same mistakes.  What’s crazy is that these people are advising buyers on the largest financial decision of their lifetime and they are a fiscal train wreck themselves.  There are also agents who entered the business after the last crisis and haven’t seen a rising rate environment or a recession.  One of my favorite indicators of a market top is when I see agents paying top dollar for properties in a neighborhood.  This one works like a charm and look out below once that happens!

Our blog is different.  It contains helpful charts that not only illustrate where the market has been, but also where it may be going.  Basically, my blog will tell you what you may never hear from your real estate agent.  Our goal is to provide everyone with necessary tools not only to educate themselves, but to make better decisions when buying or selling real estate.  Some may consider our blog as contrarian, but I firmly believe that clients should clearly understand market conditions and trends when considering a transaction.  Based on transaction volume and prices, my view is that the South Florida residential market peaked for this latest cycle in the late spring / early summer of 2018.  Has your agent discussed this with you?  Are they selling you a property and telling you how much it will increase in value?  Keep their contact information, because you may want to stay in touch with them during the next downturn.  Remind them of their sales pitch on how you could easily sell the property you just bought because you were getting such a great deal.  Maybe they should offer to split your losses and have some skin in the game.

The problem is that real estate agents don’t act as a fiduciary.  Years ago some agents would be a “single agent” and act in the best interest of their client.  Those days are gone and single agents are in the minority. The numbers in Florida is less than 5% of real estate agents are single agents, on the way to zero.   Now almost all agents act as transaction brokers and are basically there to facilitate a deal.  They don’t represent anyone but themselves and their need to make a commission.

A few months ago I ran into a person who said they were out looking at condos in Fort Lauderdale with a real estate agent.  I told them to be patient because the South Florida market has peaked and prices are starting to retreat.  Of course their agent didn’t tell them that and proceeded to sell them one of their own overpriced listings at full asking price (roughly 20% higher than recent comparable sales in the same building).  The trusted agent was able to double-dip on the commission and the unsuspecting buyer was stuck holding the bag on an overpriced condo in a declining market.  Seeing this breaks my heart.  I’m certain that the agent has already booked a trip to the Bahamas and the buyer will watch the largest purchase in their lifetime decline in price from the day of closing.  The vast majority of real estate agents didn’t see the last market crash coming and they won’t see the next one either.  They have blinders on and they firmly believe it’s always a great time to buy or sell a property, as long as they get a commission.  Then they wonder why real estate is one of the least respected professions.  This is why I write my blog! 

A few of the areas we cover in our blog for Miami, Fort Lauderdale and Palm Beach residential real estate markets:

  • Average sale price – Our charts show the trends in condo and house prices in the tri-county area.
  • Inventory – Our charts show the trends in available supply.  Is inventory rising, falling or staying the same?
  • Mortgage rates – We chart current rates on a weekly basis, their trends and correlation to the 10-year bond yield.
  • Transaction volume – Is deal volume climbing or slowing?  We look at monthly data and the averages.
  • Deal volume by type – Our charts show traditional sales, short sales and foreclosure sales.
  • Median sale price by transaction type – Our charts show traditional sales, short sales and foreclosure sale median prices.
  • Foreclosure activity – We chart the monthly foreclosure filings in South Florida and the overall trend.
  • Days on market – As much as we would love to chart this useful data, it is inaccurate since agents love to manipulate the numbers!

 

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Year in review – 2018 foreclosures

Today we will do a year in review with a look at foreclosure filing activity throughout South Florida.  It’s crazy to think that ten years after the last housing bust, the delinquent mortgages still remain.  There have been a variety of foreclosure halts in South Florida over the last decade.  As a result, we continue to wrestle with this problem.  Also, the fact thatFlorida is one of the 22 judicial states in the U.S. that doesn’t help matters.  delinquent borrowers and their attorneys have gained years of experience on gaming the system. Our charts today illustrate the monthly foreclosure filings in Miami, Fort Lauderdale and Palm Beach houses and condo properties.

2018 foreclosures in Broward County, Florida

The months of may and June had a large number of new foreclosure filings in Broward County.  There was a foreclosure halt in the 4th quarter of 2107 due to Hurricane Irma.  As a result, there was a sharp decline in 4th quarter filings.  Maybe it took awhile to get some of those filings cued-up again.  It’s anyone’s guess at this point!

2018 year in review Forecloures in Fort Lauderdale

Here is a look at the Greater Fort Lauderdale / Broward County filings by the numbers:

Annual Monthly Change
2015      3,356           280
2016      5,044         420 50%
2017      5,228         436 4%
2018       5,341            445 2%

2018 foreclosures in Miami-Dade County, Florida

The new filings in Miami remained strong through the summer months:  May, June, July and August all had above normal filing counts.  After that, the filings tapered off, but the averages in 2018 increased over 2107.  Look at the September-December 2017 portion of these charts to see the last halt due to Hurricane Irma.

Year in review - Miami foreclosures

Here are the numbers and average monthly filings for Miami and the monthly averages:

Annual Monthly Change
2015     4,638   387
2016     6,855    571 48%
2017     5,393   449 -21%
2018     7,622      635 41%

2018 foreclosures in Palm Beach County

Palm beach seems to have fared better than Miami-Dade and Broward over the past few years, but still has it’s share of mortgage loan defaults.

Palm beach area foreclosures - Year in review

Annual Monthly Change
2015    1,706           142
2016       3,295           275 93%
2017    2,450           204 -26%
2018       2,935           245 20%

 

Snapshot of the Tri-County area

Year in review - South Florida foreclosures

Posted in Foreclosure activity, Fort Lauderdale foreclosures, Miami foreclosures, Palm Beach foreclosures, South Florida Real Estate | Tagged , , , | Comments closed

Will they see it this time around?

Will the real estate agents see it this time around?  So many of them were blindsided by the last downturn.  They were busy selling and collecting commissions on overpriced properties, ignoring all of the signs of a frothy market.  My guess is they won’t see it, because they don’t want to.  More importantly, real estate agents seem tone deaf to shifts in market sentiment.  Are they letting their customers know that they might be “stuck” with this one for awhile?  I doubt it.  Accoding to them it is always a good time to buy a house.  Today we will look at mortgage rates, transaction volume, inventory and prices in the Fort Lauderdale area and hopefully shed some light on the local market.

Mortgage rates

The good news is rates are dropping again.  The bad news is that there is trouble brewing in the economy for them to decline so far so fast.  If the economic outlook was positive, this would not be happening.  It may get some additional buyers of the fence, but for all the wrong reasons.  Even with low rates, mortgage applications showed a sharp decline toward the end of 2018.

Mortgage rates fall again

Transaction volume

The number of transactions closing was healthy in 2018, compared to the last six years.  Rates remained in check for most of the year.  This chart shows the average number of residential closings through November of 2018.  You will notice that 2015 and 2016 were very strong and if you glance up at our rate chart you will see why.

Deal volume in Fort lauderdale

Inventory

It sure looks like residential inventory is on the rise again.  This is usually a good indicator that prices will start to decline.  If you are out looking at properties throughout Fort Lauderdale, you will probably notice that plenty of signs have been in the yards for awhile.  This is because property owners and their agents haven’t been able to come to grips with a changing market.  In November there were 14,356 houses and condos on the market throughout Broward County, Florida.  You have to go back to February 2017 to see that much inventory and the uptrend sure looks like it will continue.

Inventory climbs in Fort lauderdale

Sale prices

Will they see it?  The numbers show that condo prices hit a wall a few months back.  The average sale price of a condo was $220,268 in November, representing a 17% decline from the high of $264,975 set in June.  As for single-family homes in Broward, the average sale price was $444,247 in November and that was only a 4% drop from June.

Fort lauderdale real estate prices

Will they see it?  The party may be over!

Although rates have dropped again, it sure looks like the last decade of easy money dragged all of the demand forward.  There may be some activity on the lower end of the market, but it sure looks like the luxury market is already getting hit pretty hard.  If you are in the market for a property, make sure you do your homework.  Make sure that you evaluate the pros and cons of entering the real estate market at this point in the cycle.  South Florida real estate agents have anticipated an influx of buyers from high tax states impacted by the elimination of SALT deductions, but who knows how long that will last.

 

Posted in Condo market, Fort Lauderdale real estate, Market Insight, Mortgage rates, South Florida Real Estate | Tagged , , , | Comments closed

The big unwind

A big unwind is on the horizon.  Although the low rates and easy money helped propel the real estate markets to new highs, it is important to maintain some perspective on how these levels were reached.  There has been lots of market manipulation “tools” in order to create this latest bubble, so don’t expect it to pop overnight.  We will look at a few charts of where we stand in the South Florida real estate market cycle, as well as an idea of where we are going.

Average sale prices

Condo prices have hit a wall.  The average sale price of a condo property in South Florida has declined 15% since June.  Not only are they stagnant, but the next move looks like it will be lower.  In November the average sale price was $278,577.  Single-family homes have performed better and are only down 7% since June.  In November the average sale price of a house stood at $500,299.

Miami, Fort Lauderdale, Palm beach real estate

Available inventory

The total number of available houses and condos in Miami, Fort Lauderdale and Palm beach reached 51,256 properties during the month of November.  This is the highest level of residential inventory since December 2011 during the last crisis.  The only reason inventory declined so rapidly back then is because foreclosures were halted and the bailouts started. Typically an inventory build like this  leads to price declines and it looks like that is where we are headed.  There were 20,535 houses and 30,721 condos available for sale in South Florida in November.

Residential inventory in South Florida

Transaction volume

The deal volume in Miami, Fort Lauderdale and Palm Beach has been holding up well.  In the month of November there were a total of 6,711 transactions closed.  That is slightly below the monthly average for the year so far, which is 7,657.  This next chart shows how 2018 measures up compared to the past six years.

Deal Volume in Miami, Fort Lauderdale palm beach

Foreclosures

Yes, we are still dealing with them, just fewer in number.   The average new filings are up 25% over last year and there are still plenty of distressed properties left over from the last crisis.   There are plenty of modified mortgages that will be resetting at higher rates and will continue to be a headwind for the market.

Foreclosures in Miami, Fort Lauderdale, palm beach

Mortgage rates

The rising rates were starting to put pressure on real estate prices, but they appear to be slipping back.  Although buyers shopping for a mortgage may be happy, it doesn’t bode well for the overall economic outlook.  It’s scary to think that a 5% mortgage could clobber the housing market, but that’s what happens when you keep rates too low for too long.

Unwind in rates

Chart of the day – balance sheet unwind

We always like to include and interesting chart to add perspective.  Today’s chart shows the balance sheet of the Federal reserve.  It grew by $1.7 Trillion (from $2.5 Trillion in 2012 to $4.5 Trillion in 2015)!  Is it possible that this was the invisible hand that lifted asset prices in this cycle?  As the Fed unwinds this massive balance sheet, look for financial conditions to tighten.

A few tips to leave you with (for buyers)

  • Be patient and don’t let FOMO (fear of missing out) take over.
  • Make sure you have two or three recent (30-60 days) closed sales in close proximity to the property you want to buy.
  • Get a quote for windstorm, homeowners and flood insurance before you make an offer on a property.
  • Make sure you obtain an accurate estimate of what your property taxes will be based on the sale price (not the current taxes).
Posted in Fort Lauderdale real estate, Market Insight, Miami real estate, Palm Beach real estate, South Florida Real Estate | Tagged , , , , , | Comments closed

On the home stretch

Well, we are already on the home stretch in 2018 and trying to see how this year will stack-up in home sales data.  This has been an unprecedented decade of artificial stimulus for the housing market and we will soon find out how the hangover feels.  Our charts today will examine prices, sales volume, inventory and foreclosure activity.

Average Sale Prices

By looking at our chart, you will notice that the residential prices in South Florida peaked in June.  Since then, the sale price of house have declined 8% and condo prices declined 16%.  During October, the average single-family home sold for $495,133 and the average condo sold for $276,331.

home stretch - South Florida real estate

 Sales Volume

When we compare residential sales volume from October to June, house sales are down 20% and condo sales dropped 14%.  There were a total of 7,614 deals closed in Miami, Fort Lauderdale and Palm Beach in October.   Although this is typically a slower time of year for South Florida real estate deal volume, this may finally be indicating a more significant slowdown.

Miami, Fort Lauderdale, Palm beach real estate

Residential Inventory

A slowdown in sales volume usually leads to a gradual increase in available inventory.  In October there were 19,871 houses and 29,972 condos for a total of 49,843 properties available for sale in South Florida.  If you look at the far left of our inventory chart, you will see that residential inventory was over 72,000 properties listed for sale back in January 2011 in the post-crisis market.  After that, foreclosures were halted, housing bailouts commenced and inventory declined rapidly.  The trend of available properties does appear to be climbing again.  If transaction volume remains sluggish, we will see inventory climb.  That will keep prices in check.

Miami, Fort Lauderdale and palm beach real estate inventory

Foreclosure activity

Nearly a decade after the housing crisis, we still have plenty of foreclosures in Miami, Fort Lauderdale and Palm Beach.   There was a big spike in new filings during the month of June, but it appears to have slowed through October.

Foreclosures in Miami, Fort Lauderdale & Palm Beach

Posted in Fort Lauderdale real estate, Market Insight, Miami real estate, Palm Beach real estate, South Florida Real Estate | Tagged , , | Comments closed
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  • Allied Realty Group, Inc
    2550 North Federal Highway
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    Fort Lauderdale, FL 33305

    Phone: 954-586-8400
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