South Florida ranks second among metro areas in the United States for the most “boomerang buyers,” a term used to describe those who lost their homes to foreclosure or short sales during the crash but are now eligible to buy again, according to a report released Tuesday.
RealtyTrac reported that the first wave of 7.3 million prospective homeowners are now past the seven-year window needed to repair credit and requalify to buy a home. In the Miami, Fort Lauderdale and Pompano Beach region, that’s more than 322,000 potential home buyers over the next seven years.
“The boomerang buyers represented a drag on the housing market over the past seven years as they lost their homes to foreclosure,” RealtyTrac vice president Daren Blomquist told The Real Deal. “On the flip side, we believe a percentage will want to be homeowners again.”
Those potential buyers represent 13 percent of the total housing units in South Florida. Those who lost their homes in 2007 are now able to become homeowners again due to improved credit, Blomquist told TRD.
“Some people can recover their credit faster,” he said.
Most are Baby Boomers or part of Generation X, between the ages of 39 and 70. At the end of 2013, home ownership rates for buyers between the ages of 35 and 44 were 11 percent below historical averages going back to the early 90s.
Phoenix, Arizona had the most metro-area potential buyers for 2015 to 2022. Other Florida cities on the list: Orlando, Tampa, Cape Coral and Port St. Lucie, among others.