Median Home Prices in Florida Fall; Potential Mortgage Applicants Should Take Notice

While current owners in the Sunshine State are suffering through long-term Florida home loans, potential owners should be keeping an eye on the state of the market.

Why? Because median prices for existing single-family homes in South Florida fell in October compared to a year ago (when Hurricane Wilma struck the region).

In Miami and Fort Lauderdale, median prices fell 3 percent over the prior 12 months: to $356,000 from $366,300. While not a huge decrease, such a drop could help convince certain borrowers that it’s the right time to apply for a Florida mortgage.

“Inventory levels appear to be stabilizing and sales prices also are leveling,” said Dorine Longhini, president of the Realtor Association of Greater Fort Lauderdale and manager of the Lighthouse Point office of Coldwell Banker Residential Real Estate. “This is good for buyers, who have more options in the market, while the biggest impact has been on speculative buyers.”

In West Palm Beach-Boca Raton, the number of homes sold declined 2 percent, to 618 homes from 630 homes. The October median price fell 12 percent, to $365,600 from $416,500.

The September median price was $365,500.

Near South Florida, median prices for single-family homes fell …

• 44 percent, to $249,200 from $445,100, in Fort Myers-Cape Coral, as the number of homes sold fell 36 percent.

• 8 percent, to $242,400 from $263,500, in Fort Pierce-Port St. Lucie, as the number of homes sold fell 10 percent.

Jerry Mabus, president of the Realtors Association of St. Lucie and a mortgage broker associate with All Florida Realty Services in Port St. Lucie, said he sees evidence the real estate market is on the rise.

“We’re on the cusp of growth in a new direction: School officials here say that they’re projected to spend $2 billion on new schools through 2025; and since May, we’ve had 3,000 new students coming into our school,” he said. “We have five quality universities that have developed satellite campuses here in St. Lucie County and Torrey Pines molecular research institute is moving its headquarters here. With this kind of growth comes greater economic stability.”

• 11 percent, to $212,400 from $238,200, in Melbourne-Titusville-Palm Bay, as the number of homes sold fell 8 percent.

• 17 percent, to $420,000 from $505,400, in Naples, as the number of homes sold fell 27 percent.

• 17 percent, to $202,800 from $243,900, in Punta Gorda, as the number of homes sold remained relatively steady at 226 homes.

In the state as a whole, October median prices remained relatively stable at $242,500, down from $243,400, as the number of homes sold declined 22 percent.