Home Sales on the Rebound in the Sunshine State

The Florida Realtors offered some good news for the Sunshine States economy on Thursday when they announced that home and condo sales jumped 12 percent in July when compared to July 2010. More than 15,500 homes sold in Florida in July as opposed to less than 13,900 in July 2010.

Realtors in markets across the state are reporting increased activity from potential homebuyers who are ready to [take] advantage of historically low mortgage rates and current availability of affordable housing options, said Patricia Fitzgerald, president of the Florida Realtors.

While the average home sale price dropped 1 percent compared to July 2010 -- from $137,700 to $136,500 -- the Florida Realtors pointed to similar numbers across the nation due to the large number of foreclosed properties being sold.

Interest rates for 30-year mortgages did not change much according to Freddie Mac. In July 2011, the average 30-year fixed-rate mortgage in Florida stood at 4.55 percent as opposed to 4.56 percent the year before.

Despite the good news, experts cautioned that the poor economy continued to impact the real estate market in the Sunshine State.

Even though unemployment in Florida improved in many markets, the pace of change and the still-high levels are affecting the pace of improvements in the real estate markets, said Tim Beckerof the University of Floridas Bergstrom Center for Real Estate Studies. Consumers continue to be cautious and pessimistic about their own spending, which is also affecting the rate of fundamental improvement.