Brevard Home Sales Continue Upwards!

Sales in November of single-family homes in Brevard County surged over the previous year, and trends indicate the housing market will close out 2012 strong.

Sales statistics for existing single-family homes, townhomes and condominiums were outlined in Thursday’s report by the Florida Realtors.

Closed sales for single-family homes rose nearly 20 percent in November, 589 compared with 492 the previous November.

The median price — the point at which half the homes sell for less, half for more — jumped 16.2 percent to $122,000 in that period. Closed sales of town homes and condominiums also increased.

Sales rose 15.7 percent in November, 147 vs. the previous November, while the median price edged up more than 22 percent to $115,015 in that period.

Closed sales typically occur 30 to 90 days after sales contracts are written.

“We have seen a gradual strengthening in the market,” said Jesse “Jay” Parrish, the incoming president of the Space Coast Association of Realtors. “There’s certainly reduced inventory, and my personal sense of the market is that it is improving. And it’s improving in the commercial sector as well.”

Economists and others pay close attention to the home sales as it, as well as unemployment data and consumer spending, are key components of the nation’s economy.

Statewide, closed sales of existing single-family homes totaled 17,072 in November, up 24.4 percent compared to the year-ago figure. The statewide median sales price for single-family existing homes in November was $150,000, up 11.2 percent from a year ago.

“Particularly striking in this market is the degree to which prices have risen,” said John Tuccillo, the chief economist for the Florida Realtors. “This might be expected to be the case for median prices as investors absorb the inventory at the lower end of the market, but average prices are up dramatically as well – and that suggests we’re seeing real appreciation occur in the marketplace, another sign of how solid Florida’s real estate recovery has become.”

In Brevard, the average sales price for single-family homes in November was $153,197, a nearly 10 percent increase compared with the previous November figure.

Local data also indicates inventory is running below last year. Single-family home inventories are 43 percent smaller than last year. That’s the case even with last week’s report that Brevard’s rate of foreclosure filings is the highest among the nation’s metro areas.

Nationally, the National Association of Realtors on Thursday reported that total existing-home sales- completed transactions for single-family homes, townhomes, condominiums and co-ops — was 5 million, 14.5 percent higher than the 4.4 million-unit pace in November 2011.

Sales are at the highest level since November 2009 when the annual pace spiked at 5.4 million, the Washington-based organization said.

The national median existing-home price for all housing types was $180,600 in November, up 10.1 percent from November 2011, the national real estate group reported.

Cocoa Beach Pier New Year's Eve Party!

Join the thousands of revelers expected to ring in the new year at the 24th Annual ‘Rockin’ the Dock’ New Years Eve Party at the Cocoa Beach Pier. The Pier is holding “5 parties in one” at the historic Cocoa Beach landmark that stretches 800 feet in to the Atlantic Ocean.

Each of the restaurants and bars on the Pier will feature live entertainment, champagne toasts, balloon drops, and television screens showing other great parties simultaneously occurring around the world.

Tickets on sale now in Ocean Notions Gift Shop. Just $20.00 each.

Dine in the Atlantic Ocean Grille on Dec. 31 and receive a FREE ticket to stay for the party. 1 free ticket for each entrée purchased.

Please call 321-783-7549 for reservations.

Florida Housing Market Continues It's Upward Trend

ORLANDO, Fla., Dec. 13, 2012 /PRNewswire/ -- Florida's residential real estate market will continue its upward trend into 2013, though the pace of recovery may be slower than the U.S. as a whole, according to leading U.S. economists speaking at Florida Realtors^® 2013 Real Estate and Economic Forecast Conference Dec. 12 in Orlando.

"Florida's housing market is back, with great possibilities for the future – but those possibilities are only beginning to be realized," said Dr. John Tuccillo , chief economist for Florida Realtors.

Along with Tuccillo, conference speakers included Doug Duncan , senior vice president and chief economist for Fannie Mae; Leslie Appleton-Young , vice president and chief economist for the California Association of Realtors (CAR); and Pat Reass , a state-certified residential real estate appraiser at Appraisal Group MidFlorida LLC in Winter Haven.

Fannie Mae Chief Economist Doug Duncan said, "We believe the housing market is on firm footing. … Most of the improvement we've seen has come from the supply side of housing. Distressed properties are coming down from about 5 million to more like 3 million."

Mortgage rates should remain low and not change much in 2013, he added, while banks likely will continue to maintain high lending standards and a tight credit environment.

"The trend has been established for the housing recovery, but robust growth awaits more jobs and a stronger economy," Duncan said. "Three years into the recovery, the current economic expansion is the weakest since World War II. Just over half of the jobs lost in the Great Recession have been recovered."

The real estate market "bottomed out in late 2008," Tuccillo said, according to Florida Realtors' market data, data from the National Association of Realtors (NAR) and other market research sources.

"Since the beginning of 2009, we've clearly seen a regrouping and a recovery underway," he said.

Median sales prices are consistently rising for both existing single-family homes and condo-townhome units across Florida. However, he noted the state's active distressed property (foreclosures and short sales) market is putting pressure on prices, resulting in smaller gains and a slower rate than what is being seen in California and the U.S. as a whole.

Other signs of Florida's steadily improving residential market, according to Tuccillo:

• Months' supply of single-family homes is below 6 months;
• Latest data (October 2012) shows 44 percent of closed sales were paid in cash, signifying strong demand from investors;
• Foreign buyers make up 19 percent of closed sales in Florida (October 2012);
• Traditional (non-distressed) sales now make up over 50 percent of Florida's closed sales;
• Closed sales include fewer REOs (real estate-owned) and more short sales; and
• Shadow inventory has been declining since 2009, though it remains a key factor in the state's housing market going forward since Florida is a judicial foreclosure state (meaning foreclosures go through a court process.)

Comparing Florida's residential market to California's and to the U.S. as a whole, CAR Chief Economist Leslie Appleton-Young agreed that the nationwide housing market is back.

"The latest NAR data shows very strong closed sales and rising prices," she said. "Low inventory is currently a challenge for the nation, for California and also for Florida in many areas. There's just not enough property for sale, particularly with investors buying properties for cash (29 percent of the market in California; 25 percent of the U.S. market). For California, we're calling 2012 the return of the traditional seller to the marketplace – in October 2012, 63.4 percent of our total sales were from equity or traditional sales."

In California, the current months' supply of existing single-family homes is 3.1 months, Appleton-Young noted. While the state is still dealing with lender issues such as tight credit, problems are being resolved at a faster pace, she said, and home prices are rising as a result.

Looking ahead to 2013, Appleton-Young said, "There is a tremendous amount of pent-up demand for housing. The number of new units is improving, but it's still low and isn't enough to meet pent-up demand. The housing recovery is gaining strength, but the long-term viability of the market and its recovery depends on jobs."

Where will Florida be in 2013? Assuming that the national fiscal problems are not resolved but are "postponed," Tuccillo said he expects employment in the state to grow by 10 percent in 2013; residential sales to increase by 10 percent; prices (same sales index) to rise by 5 percent; commercial activity to revive; and inventory to grow as the market improves.

"I think the improvement in the market and rising prices will bring more potential sellers back into the market," he said. "Signs point to a better year in 2013."

Florida Realtors^®, formerly known as the Florida Association of Realtors^®, serves as the voice for real estate in Florida. It provides programs, services, continuing education, research and legislative representation to its 115,000 members in 63 boards/associations.