The Census Bureau revealed that 1.6 million homes in Florida are currently vacant. That’s a rise of more than 63% over the past 10 years.
This large amount of inventory will no doubt continue to keep home prices down. The high number of vacant homes will also continue to make the housing recovery a slow one, especially with banks not being very aggressive in placing many of the properties they own on the market. The so called “shadow inventory” coupled with the large amount of vacant homes in Florida, and historically low interest rates, is making it a very good time for buyers to buy a home.
The high number of vacant homes should come as no surprise to anyone who has followed real estate trends here in Florida. Florida, and especially South Florida, was among the hottest real estate markets in the nation during the hey day of the real estate boom.
What does all of is mean? Its tough to tell. The drop in values means the housing market recession is not over. It also means that it would be imprudent to expect another month in which the foreclosure rates drop. After the banks finish reviewing their practices, we may begin to see a surge in foreclosure rates. Also, these reviews may continue for the foreseeable future. This is certainly true in light of the fact that very recently HSBC indefinitely suspended foreclosures to conduct a review of their practices.
On the other hand, it also means that buyers have many wonderful investment opportunities available to them. Indeed, buyers continue to find bargains by purchasing foreclosed homes in record numbers. Given the historically low interest rates, coupled with the low prices for many properties, especially foreclosed properties, the timing may never be better to purchase a new a property. Our firm can certainly assist you in your real estate needs should you be interested in purchasing property.
We are certainly in difficult times. Not only can a foreclosure be daunting, it can break an individual’s spirit. However, there are solutions, and alternatives, to foreclosures. At Alvarez & Barbara, we understand all of our client’s individual needs and pride ourselves in providing high quality service. If you’re facing a foreclosure, don’t let it bring you down. Call us today so we can show you that the saying “every problem has a solution” is an undeniable truth.