Broward and Miami-Dade Counties Both See Over 13,000 Foreclosures
Florida foreclosures increased over 200% in the last year, reports Default Research, a provider of lis pendens data.
In Broward and Miami-Dade alone 1.75 % and 1.45 % of households entered some phase of the foreclosure process in the last 12 months, according to Default Research. Miami foreclosures increase by 27% in 2007 while Broward had an increase of 66 % in 2007
“There is no end in sight for Florida foreclosures in 2008,” said Serdar Bankaci, President/CEO of Default Research. “Median home prices are still decreasing as home inventories increase. That is a recipe for more foreclosures in South Florida. Last year we saw an average of about 220 foreclosures daily in our extensive coverage area in Florida.”
The average median home price is $221,000 across the state of Florida with exception to Broward and Miami-Dade. The median home price in these two areas is $346,800. The larger price tags for the properties in South Florida have, however, actually hurt the market and recovery.
Many investors are just walking away from their South Florida properties because they have been burned by the foreclosure crisis and. South Florida foreclosures are predicted to rise as more ARMs reset and people are unable to make their payments. My statistics show that South Florida’s bank foreclosure list will continue to grow and it is unlikely that South Florida will do away with the foreclosure crisis in 2008.
We have watched the South Florida market since 2004 and witnessed the “tremendous” price increases and seen the number of South Florida condominiums increase almost daily. Unfortunately as the housing unit numbers grew, the demand and money began to decrease.
There is significant demand for rental properties and with foreclosure real estate properties selling for discounted prices, investors are buying properties, renting them, and already getting a return on their investment.
Contributed by MLR Realty
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