Even as the Florida real estate market shows signs of recovery, industry experts warn that there are 11,102 properties in Manatee, Sarasota and Charlotte counties headed toward foreclosure.
The Sarasota Herald Tribune is reporting that the expected flood of foreclosed homes may soften the market and drive down prices, based on a report issued by RealtyTrac, which monitors foreclosures nationally.
RealtyTrac Inc. is reporting that those 11,000 homes have yet to be listed, most are still owner-occupied, and the majority are valued between $100,000 and $300,000. It refers to these homes as "shadow" inventory.
According to RealtyTrac, the number of properties that received a foreclosure filing in Manatee County in February was 17 percent higher than the previous month and 27% higher than the same time last year.
The median sales price of a non-distressed Manatee County home was $140,000. The median sales price of a foreclosure home was $91,100, or 35 percent lower than non-distressed home sales.
The pre-foreclosure inventory has risen 122 percent in Sarasota County; 62 percent in Manatee County; and 113 percent in Charlotte County,. according to the report.
The biggest home-buying market for foreclosures is institutional investors and baby boomers headed for retirement.
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