It seems like South Florida’s housing market might be on the road to stability. November 2014 scores for Broward, Miami-Dade and Palm Beach were 72.2 on the Multi-Indicator Market Index which is 10.57 percent higher than last year’s figures. Only three cities had larger yearly gains (Chicago, Denver and Las Vegas).
What is also positive for the region’s housing market is that it looks like this upward swing is set to continue in 2015. Indeed, according to Stan Humphries, Chief Economist at Zillow, low-end homeowners are finding it easier to sell now that lost equity is being regained. As a domino effect, more properties will be on the market for those young professionals looking to buy in 2015.
In addition there has also been a plummet in the distressed market. Foreclosures and short sales are not as common. Indeed, figures showed a nearly 40 percent decrease in short sale closed sales from November 2013 to November 2014.
Thus it should come as no surprise that Deputy Chief Economist at Freddie Mac, Len Kiefer, found “consistent improvement” in the market since May 2014. But he does caution that affordability “is starting to be an issue in South Florida.” Thus while figures indicate that there is good news ahead, it’s not all going to be plain sailing in the region.