Even though foreclosures and distressed properties will remain a significant part of the home sales market in Florida next year, plus the macro economic headwinds, economists cited by the state's Realtors said the market is in "a mini-recovery."
Florida Realtors chief economist John Tuccillo said "sales are trending up, listing inventories are falling, the supply of lender-related properties has stabilized and we are seeing multiple offers on homes in some markets."
As for the foreclosure-related sales, Tuccillo said lenders are feeding these properties into the market at a gradual pace rather than putting them up for sale all at once. His comments came at the group's real estate and economic forecast conference in Orlando.
Mark Vitner, senior economist at Wells Fargo in Charlotte, N.C., says the economy will continue to face significant challenges, particularly financial concerns related to the European debt crisis. But he expects the U.S. economic recovery will continue next year.
"Florida's economy is recovering, with tourism and healthcare leading the way," Vitner said. "On a national level, we expect the U.S. will not fall into recession next year, although Europe faces serious problems."
