Not long after the recession hit, a high number of homeowners found themselves in the midst of foreclosure. The home foreclosure rate rose all over the country, but hit Florida particularly hard. As the economy improves, the outlook of the home market is starting to show some signs of improvement also.
One positive affect on the housing market is the rise in prices. The high number of homes that were foreclosed on were sold off at low prices once they were able to be sold. However, now that the market in Florida is not flooded with these homes, the prices have started to increase again.
In some Florida neighborhoods, prices have spiked from 20 percent to 70 percent higher in the last nine months. The rise has spread across all sorts of Florida neighborhoods. This spike in prices also helps those who have underwater mortgages as they may be able to sell their homes now rather than choose the home foreclosure route. Even though there is a rise in prices, the current prices are still below that of levels five years ago.
The improved numbers translate into a better market overall, especially in neighborhoods with lower priced houses to begin with. However, any Florida homeowner still struggling to avoid home foreclosure, or who is unsure what the future holds for them, may still need more information. Anyone who is struggling to pay their mortgage may benefit from knowing the facts about home foreclosure and also knowing the current market and how that may affect their situation.
Source: Orlando Sentinel, Orlando home prices recover in communities hit hard by foreclosures, Mary Shanklin, Dec. 7, 2013