Miami Real Estate

42% of Broward County home sales were foreclosed homes in last summer

Much of the South Florida sales from the third quarter of this year have come from foreclosed homes, and it seems that this may be a cause of trouble for the housing market if this trend carries on over the next seasons to come. A spokesman for RealtyTrac has been noted to say that these foreclosures undeniably play a large role when it comes to the housing market because of the discounts that are made available on such properties.

People who are looking to buy a home for the very first time are particularly inclined to foreclosure properties because of the fact that these are easily attained below their real market value. But these foreclosure sales are predicted to drop in number because of the lender moratoriums which have caused a lot of those properties to come off the market in recent times. In due time, a good number of those homes will gradually once again get back on the market to be placed for sale.

Broward only came second to Miami-Dade Country with 4,688 sales related to foreclosures in the third quarter of this year, which is a calculated 6 percent drop from the previous quarter. Also during the third quarter, a projected average of 24 percent was given to property within Broward. During the peak of the housing boom in 2005, only 1 percent of home sales made in Florida were made through foreclosures. But in the third quarter of this year, there were 37 percent of home sales which were related to foreclosures, which indeed a significant increase in statistics.

It is sure going to take a while before the South Florida market will find that it has successfully rid itself of these foreclosed homes, but it is part of the road to recovery.

Sales related to foreclosures are a popular deal for a lot of buyers on the market, but these buyers do not recognize the fact that these transactions may lead to other problems in the future which will only serve as additional expenses in the future.

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