Continued low interest rates and a more confident consumer drove existing home sales up in November by 11 percent over last year, according to figures released by Florida Realtors.
Meanwhile, the median price for an existing home remained relatively flat, a continuation of a trend that Realtors say is a good sign that better days are ahead for an industry that could use a little good news.
"In recent weeks, we've seen encouraging reports of job growth and improvements in Florida's economy," said Patricia Fitzgerald, president of 2011 Florida Realtors. "Mortgage rates have remained at record lows and home prices appear to be stabilizing in many local markets across the state --all positive signs for the housing recovery."
Another positive sign was that median prices fell only slightly last month, dipping $500 to $131,100 in November from the year before. In the condominium market, sales in November were up 2 percent from a year earlier. Median price grew by 4 percent year-to-year to $87,700 in November.
Along with price stabilization, potential buyers are finding lenders more open to making loans. Meanwhile, interest rates for a 30-year fixed-rate mortgage averaged 3.99 percent in November, down from the 4.30 percent average during the same month a year earlier, according to figures compiled by Freddie Mac.
"The more important factor is that sales are increasing and, in large part, that's due to lenders becoming more educated on how to deal with distressed properties more effectively and in a more timely manner," said Florida Realtors chief economist Dr. John Tuccillo.
Florida's experience mirrored that of the nation, which saw a 12.2 percent boost in November from the year before, according to the National Association of Realtors.
"Sales reached the highest mark in 10 months and are 34 percent above the cyclical low point in mid-2010 -- a genuine sustained sales recovery appears to be developing," NAR chief economist Lawrence Yun said in a statement Wednesday. "We've seen healthy gains in contract activity, so it looks like more people are realizing the great opportunity that exists in today's market for buyers with long-term plans."
In the South, existing-home sales increased 2.4 percent from October, 12.3 percent above a year ago. The median price in the South was $143,300, which is 2.1 percent below November 2010.
In all, 17 of 19 Florida metro areas experienced year-to-year growth in sales. Only Fort Myers/Cape Coral (-13 percent) and Panama City (-12 percent) experienced lower sales than in November 2010.
Particularly strong markets included West Palm Beach/Boca Raton, up 36 percent; Tallahassee, up 25 percent; and Fort Lauderdale, up 22 percent.
The national median sales price for existing single-family homes in October 2011 was $161,600, down 5.8 percent from the previous year, according to NAR.
In California, the October statewide median resale price was $278,060; in Massachusetts, it was $275,000; in Maryland, it was $221,765; and in New York, it was $215,900.
