In pockets of the U.S., including South Florida, residential real estate is on the bound after hitting bottom five years ago. The demand far outstrips supply, triggering prices upward that lead to bidding wars, even for the U.S. government’s Housing and Urban Development (HUD) foreclosure properties, not all of which is in a great state of repair, according to RealtyTrac.
There’s still a wave of bank possessions to come, with 3 million U.S. mortgage holders at least 90 days delinquent on their loans.
Florida’s market won’t rebound until 2014 under the constraints of its huge foreclosure backlog, the report said, and until then, will remain undervalued. [Realty Trac] –Emily Schmall