Foreclosure rate falls, turning south Florida into seller's market
New data shows more people are buying homes
5:57 PM, Oct 9, 2015
BOCA RATON, Fla. - Encouraging news was released Friday if you're trying to sell your home.
CoreLogic, a property information and analytic company, announced foreclosure rates for July 2015.
The numbers show a significant decrease in the amount of foreclosures in the West Palm Beach/Delray Beach/Boca Raton market compared to July 2014.
The foreclosure rate in July 2014 was 4.41%. In July 2015, it fell to 2.28%, according to CoreLogic.
When real estate broker Ben Schachter looks at a map of all the foreclosed homes for sale in Palm Beach County, he says there are fewer listings than last year.
He says that's a good indication people are buying homes.
CoreLogic's data shows the foreclosure rate in our area has decreased for the past 18 months.
Schachter says that is turning South Florida into a seller's market.
"If you didn't buy today, buy tomorrow, don't wait," says the owner of The Signature Real Estate Companies, based in Boca Raton.
Schachter says one reasons we're seeing fewer foreclosures is because banks are selling them with customers in mind.
"Banks are being much more business-minded and a lot less bureaucratic," Schachter points out.
He says homes are going up in value and people feel confident making that big purchase.
"As home prices appreciate, as foreclosures and excess inventory decreases, people feel more comfortable spending money," he explains.
He says there is such a demand for houses, developers are building new homes and condos.
Schachter says you don't need to worry about a foreclosed home on your block bringing down your property value. He says other things factor into an appraisal, most likely canceling out any effect the foreclosure would have on your home's value.
CoreLogic's data shows Florida, as a whole, is behind the national foreclosure rate average. Sitting at 2.71% compared to 1.26% across the United States.
Schachter says that's because Florida (and Nevada) was hit hardest during the real estate bust; so it's natural the state would take longer to recover.