MT. PLEASANT, Penn.-Though housing values continue to decline, sales volumes are up significantly in south Florida and a positive trend in foreclosures could help bring an end to the worst housing slide in the state's history. According to new numbers from Default Research, foreclosure lists pending fell about 12% in January compared to the previous month. Miami-Dade county saw a 22% drop, Palm Beach's foreclosure listings fell 15%, and Broward saw a 4% decrease. The new numbers come after Gov. Charlie Crist asked financial institutions to implement a 45-day voluntary moratorium on foreclosures in December, meaning those numbers could rise again very soon.
"These numbers are encouraging, but it is only one month of solid improvement," said Default Research founder Serdar Bankaci. "[But] South Florida real estate conditions will improve throughout 2009 and buying now with the knowledge gained from our data will lead to profit later. With a second housing stimulus package on the way, and the trickle down effect of the government's stimulus plan yet to come, the region is poised for a positive 2009."
Foreclosure remains a serious problem in the region as skyrocketing demand from investors and prospective owner-occupants led to a massive construction boom in south Florida with condominium complexes popping up in mass quantities over the last few years. Many of them lie mostly vacant today. Nearly 5% of Miami-Dade households entered foreclosure in the past 12 months; an improving foreclosure rate in the medium and long term could take stress away from strapped consumers as well as financial institutions and help spur economic recovery.
