Throughout the country the current state of the real estate market is greatly dependent upon the location; therefore, when buying or selling in the current real estate market location is key.
For example, some states are making significant strides toward recovery with declining inventory and rising home prices. Despite the high foreclosure activity in the state, Florida falls into the category of states with a booming real estate market.
Florida Home Prices
One of the biggest indications of real estate market progress toward recovery involves looking at home prices. As home prices start to steadily increase, the real estate market is making progress. This is exactly what is happening in Florida’s real estate market. Median home prices were $166,000 in the first quarter 2011 and $213,000 in the fourth quarter of 2012. Although this number has not reached its peak, which was in the first quarter of 2006, these numbers indicate huge progress for the Florida real estate market.
Along with rising home prices, there is actually a decline in the supply, especially in comparison to the demand for housing. There are many possible reasons for this situation, including the fact that there is pent up demand with people not buying homes over the last few years but now having more confidence in the real estate market and looking to take advantage of low mortgage rates and still low home prices (when compared to 2006).
Second, sellers are still not putting their homes on the market as they are anxiously waiting for the market to return to “normal” so they can get the most bang for their buck. Plus, Florida is an attractive state with a wide variety of attractions that is drawing in everyone from those within the United States to international buyers.
For example, Cape Coral, Florida has experienced an increase in those looking to retire in the area as well as an increase in international buyers looking for investment properties.
The following video has more information on the Florida real estate market.
In short, the Florida real estate market is doing remarkably well, especially considering the fact that it is a judicial foreclosure state with high foreclosure activity. Despite the foreclosure rates, Florida is making strides toward recovery with rising home prices, increasing demand, and a declining inventory of homes on the market.
If you are interested in investing in Florida real estate start your search today - home prices are going to continue to rise so now is the perfect time for purchasing a discount Florida home.