Despite National Instability, Survey Suggests Florida Real Estate Market is Not All ''Gloom and Doom''
|August 14, 2007|
ORLANDO, Fla.--(BUSINESS WIRE)--The annual Fund Homeownership survey found that 63 percent of Florida homeowners believe the value of the homes in their community will continue to rise or remain the same during the next 12 months, despite recent real estate sales data that show home values waning across the state.
The annual survey, commissioned by Florida-based Attorneys’ Title Insurance Fund's Consumer Education Campaign, polled more than 1,400 homeowners throughout the state between June 11 and June 25, 2007. Detailed results can be found at www.myrealestatestory.com.
More than half of the respondents believe now is a good time to buy a Florida house or condo (58 percent), but just one in five said they actually intended to buy a home in the next two years. Not surprisingly, the vast majority (80 percent) of homeowners agree that now is a bad time to sell and are less optimistic about their ability to sell their homes today.
"The good news is that, amid proliferating news stories about an underperforming national real estate market, Florida homeowners remain optimistic about the value of their homes and are encouraged by the growing buyer's market," said Charles J. Kovaleski, president and CEO of AttorneysTitle Insurance Fund.
The survey also indicates that respondents are most likely to cite rising property insurance costs (86 percent) and rising property taxes (75 percent) as the biggest obstacles to purchasing a home.
When asked about their biggest real estate concern in Florida, respondents were least concerned about rising mortgage interest rates and becoming the victim of real-estate fraud (only 5 percent and 2 percent of respondents respectively indicated they were number one concerns). Being hit by a hurricane was still listed as the top concern for 19 percent of all Florida homeowners and tied with rising property taxes as the top concern in West Palm Beach (32 percent each).
"The most alarming part of this survey is that Florida homeowners appear to be unconcerned about becoming the victim of real estate fraud, " said Kovaleski. "Fortunately Florida no longer has the dubious distinction of leading the nation in mortgage fraud cases, but we are still ranked second reminding us that fraud is a serious concern and homeowners should continue to take precautions, such as looking to real estate attorneys to protect them from potential problems that can be very costly in the long run."
Summary of key findings:
Mixed perspective on Florida real estate market values:
Overall, Florida homeowners are evenly divided between those who expect home values in their community to increase (36 percent) and those who expect them to decrease (37 percent) during the next 12 months; 27 percent think it will remain the same.
Plans for buying a home in Florida:
Nearly 60 percent of Florida homeowners believe that now is a good time to buy a house or condo, but residents in select markets like Ft. Myers-Naples (78 percent), Sarasota County (75 percent) and Orlando (70 percent) are even firmer in this belief.
Plans for selling a home in Florida:
The vast majority of Florida homeowners (79 percent) believe that now is a bad time to sell a house or condo.
Obstacles to homeownership:
Obstacles to homeownership:
Among Florida homeowners, rising property insurance costs was cited the most as a big obstacle to homeownership (86 percent), while nearly half of all respondents listed assembling a qualified real estate team (realtor, real estate attorney, appraiser, etc.) as their top choice for "not an obstacle ” to homeownership.
Biggest real estate concerns:
Rising property insurance costs are clearly an issue in Florida; with all markets, except West Palm Beach and Gainesville, ranking it as their top "biggest concern."
Future buying behavior:
Source: Attorneys’ Title Insurance Fund, Inc.