Home sales increased by 8 percent in 2011 from the year before, the third time in as many years that sales have grown as Florida continues to rebound from the housing crash, according to statistics compiled by Florida Realtors.
Sales in December, however, were off 2 percentage points from December 2010, a decline that the group's economist said was not unexpected and underscores the fragility of the recovery.
Condominium sales rose 15 percent in 2011, with the median price dropping 2 percent to $88,300.
"Our expectation is that recovery will continue through 2012," said Florida Realtors' chief economist John Tucillo. "The major obstacle in the market is the inadequate accessibility to financing. Prices are moderating, but we don't expect too much movement owing to the continuing significance of distressed properties."
Sixteen of 19 metropolitan areas reported higher existing home sales at the close of 2011 compared to 2010; the same number of MSAs also reported higher existing condos sales.
Home sales in Miami jumped 36 percent for the year, while sales in nearby West Palm were up 24 percent. Home sales in Tallahassee increased 7 percent for the year.
Southwest Florida continued to be dogged with a glut of housing inventory. Sales for the Fort Myers areas fell 7 percent in 2011.
Sales increases were driven mainly by lower prices. Median prices in Florida fell by 3 percent for the year, with half of Florida homes selling for $131,700 or less. That's down from $135,900 in 2010. Realtors caution that both figures are affected by the sale of distressed property, which pulls the median price down.
Nationally, homes sales in December were 3.6 percent higher than in December 2010, according to the National Association of Realtors. The December rate continues a trend of year-to-year increases that, in return, reflects a strengthening economy, says NAR chief economist Lawrence Yun.
"The pattern of home sales in recent months demonstrates a market in recovery," Yun said in a statement. "Record low mortgage interest rates, job growth and bargain home prices are giving more consumers the confidence they need to enter the market."
In the South, sales of existing sales increased 3.5 percent in December from a year ago. The median price in the South was $146,900, down 1.1 percent from December 2010.
