Still, industry observers worry about a sizable "shadow inventory" of foreclosed homes that could complicate any real estate recovery.
According to a multiple listing service report compiled by the Keyes Co., Broward County had 19,869 properties on the market in July, down 35% from July 2008. While Palm Beach County's inventory of homes and condos slid 31% to 23,947 during the same period.
Brad Hunter of the Metrostudy research firm in Palm Beach Garden stated that the supply of new homes being built in the two counties also has decreased sharply in the past two years.
In 2005, sellers rushed to list their homes, hoping to fetch record prices during the housing boom. But the frenzy led to a collapse and prices plummeted.
Thousands of foreclosures and short sales have clogged the market ever since, giving buyers plenty of choices and little reason to pay top dollar.
In 2005, sellers rushed to list their homes, hoping to fetch record prices during the housing boom. But the frenzy led to a collapse and prices plummeted.
Thousands of foreclosures and short sales have clogged the market ever since, giving buyers plenty of choices and little reason to pay top dollar.
Mike Pappas, president of Keyes Realty states: "You won't get price appreciation until you get the inventory in balance. We're making great strides."
Declines in homes for sale already have helped stabilize prices recently. The median price in Broward rose 7% during April, May and June to $209,800 from a year ago, the FloridaRealtors said Wednesday. Palm Beach County's median increased at the beginning of the year but dipped 2% in the second quarter to $235,500.
Pappas said his firm is handling fewer transactions involving foreclosed homes, and he thinks that's an indication the foreclosure market has peaked.
But some analysts disagree, pointing to a recent surge in homes repossessed by lenders that is pushing inventory levels higher in recent months.
According to CondoVultures.com, banks are on pace to take back nearly 50,000 properties in Palm Beach, Broward and Miami-Dade counties this year. Many lenders are careful to hold off listing those properties for sale all at once to prevent widespread price declines.
Declines in homes for sale already have helped stabilize prices recently. The median price in Broward rose 7% during April, May and June to $209,800 from a year ago, the FloridaRealtors said Wednesday. Palm Beach County's median increased at the beginning of the year but dipped 2% in the second quarter to $235,500.
Pappas said his firm is handling fewer transactions involving foreclosed homes, and he thinks that's an indication the foreclosure market has peaked.
But some analysts disagree, pointing to a recent surge in homes repossessed by lenders that is pushing inventory levels higher in recent months.
According to CondoVultures.com, banks are on pace to take back nearly 50,000 properties in Palm Beach, Broward and Miami-Dade counties this year. Many lenders are careful to hold off listing those properties for sale all at once to prevent widespread price declines.
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