The Ten Housing Markets That Will Collapse This Year – 24/7 Wall St.

imageThis article was originally published in August of 2011 and lists 10 housing markets in which the authors expect an additional 10% decline in home values in 2012. Three of these cities are in Florida. The characterists of the subject cities are as follows: median income no more than the national average and high unemployment. The article points out the connection between unemployment and home prices–when people in a city can not afford to buy homes demand must decrease along with price.

Subsequent reports indicate some good news in the housing market, but prices do continue to fall (the greater Miami are is an exception. See here.) However, even that report comes with qualifications. Such as, even though prices increased by 0.2% from November to December 2011 they are down 3.8% from the same month a year ago.

If you are stuck in an underwater mortgage and are facing foreclosure or considering strategic default, please give me a call so we can discuss how I can help.

Tampa Bay home prices reach new low – Tampa Bay Times

In a post from yesterday I noted that home prices in South Florida rose 0.2% from November to December 2011. This first article in contrast reports that housing prices in the Tampa Bay Area fell by 0.2% from November to December 2011. And, home prices fell by 4.3% from their December 2010 totals.

This second article reports that the government adjusted the new home sales figures for the 4th quarter of 2011, which now indicate that home sales rose 10% in that quarter. But new home sales are still the lowest since 1963, and stand at roughly half of what economists consider to be a healthy market.


These articles report that there are signs that the market may be stabilizing, but prices are still falling, and home sales dipped again in January 2012. The result is that selling an underwater home will still be difficult.

If you find yourself unable to sell your home and facing foreclosure, please give me a call so we can discuss how I can help.

South Florida home prices rise in December | House Keys blog


In December 2011 home prices in South Florida were up 0.2% while home prices nationwide fell.  The article reports that in spite of this rise the market is not expected to stabilize and prices will continue to fall while the market finds its bottom.  The increase in foreclosures in January and beyond will certainly affect the market as foreclosed homes flood onto the market.  Additionally, as posted previously on this site, Florida ranks second in the nation in numbers of households spending at least half their income on housing expenses.  As long as this continues to be the case, foreclosures will continue and the market recovery will be delayed by foreclosures.

If you are facing a foreclosure, please give me a call so we can discuss how I can help.

Mortgage applications down as purchase demand falls


This article published February 15th by Reuters reports that mortgage applications are down, indicating a dip in demand for home purchases. This report comes at a time when forclosures are increasing, adding to the downward pressure on home values. This information also seems to contradict the optomisitc view expressed by some experts earlier in the year that the housing market had reached bottom.

Florida No. 2 on Trulia’s Housing Misery Index | House Keys blog


Florida is behind only Nevada on this housing misery index calculated by 43% of working households in South Florida spent more than half their take home pay on housing in 2010. Owners shouldn’t spend more than 30% of their income on housing costs.

To calculate the index Trulia combined the percentage of decline in home value since the peak of the housing boom and the number of mortgages that are at least 90 days past due.

The housing market was already suffering from inflated prices, but the recession has made things worse. The average owner’s housing expenses are the same or more than before the recession begain, but now home values are dramatically lower.

If you find yourself in this situation and are facing foreclosure, please call so we can discuss how I can help.

Florida existing home sales dip in January | FLORIDA TODAY |


Total home sales for January 2012 are down from the same month last year; but the median sales price of homes is up, the number of pending sales is up, and the inventory of existing homes has fallen to a point where the market is balanced. This all seems to indicate that the market is stabilizing, but following resolution of the robo-signing controversey with the recent $26 billion dollar settlement the numbers of new foreclosure filings is expected to climb. Combine this with the Florida legislatures attempts to fast track some residential foreclosures and the market could very easily regress in spite of recent positive developments.

If you are facing foreclosure please do not hesitate to contact me to discuss how I can help you.