Has the Florida Housing Market Hit Bottom?
Florida home loan borrowers looking to time the housing market in Florida just right are asking one question – “Has the housing market hit bottom?” Well, to know the answer to this question, we need to take a look at some data.
Home sales and the housing market took a double hit over the past couple of years.
First, we’ve seen mortgage markets tighten over the past couple of years, with more and more restrictions preventing some homeowners from getting out of bad ARM loans. This led to a increase in foreclosures, which in turn led to large losses on Wall Street. The net result – the US economy took a huge hit.
Looking back over the past 3 years – we can see that foreclosures are up, home values are down, and Florida home loan rates are as low as they’ve ever been. This is great news for mortgage borrowers looking to buy Florida homes today, as there is an ample supply of homes, and Florida home loan financing is inexpensive. However, home loans in Florida may be getting more difficult to obtain, and the housing market may be shifting away from a buyer’s market.
We can already see these changes taking place:
- The home supply is down 40 percent this year
- Existing home sales in Florida and other areas are on the rise
- Pending Florida home sales are as high as they’ve been since 2006
Furthermore, home prices are on the rise in Florida and other U.S. markets.
Bottom line, the buyer’s market is coming to an end. If you bought a home in February 2009, congrats.
For today’s home buyers, rates on Florida home loans are still low, and Florida home prices will continue to move upward. Home-buying in Florida may not be the great deal it was 9 months ago, but there are still deals on homes and Florida home loans to be had. If yous see a rate you like now, lock it in – as we will likely see Florida home loan rates pass the 6 percent mark before too long.
