South Florida’s Sun Sentinel published some good news for the South Florida real estate market today in their article on Broward County real estate sales. The article outlined an upward trend in the real estate market that substantiates our experience over the past 6 months. The statistics are encouraging for those interested in buying property in any area of South Florida this year, including the Boca Raton area.

Boca Raton is bordered on the southern edge by Broward County, with Deerfield Beach and Lighthouse Point falling within Broward County borders. These nearby areas lie on the fringes of Boca Raton, and we believe that the following statistics wil shed some light on the states of our real estate market in Boca Raton, FL as well.

The Sun Sentinel has reported details surrounding the upward trend we have witnessed over the past six months, along with some expectations for the real estate forecast in 2012. During the last quarter of 2011, the real estate market began to experience some slight but significant improvements in Boca Raton and surrounding areas. Contracts for sale significantly increased in number during the month of November in 2011, followed by a significant spike in sales in January 2012.

Over the past year, Broward County home sales have increased by 15%. Sales have likely increased due to a number of factors: lowered interest rates, various buyer incentives, decreased home pricing, and a booming rental market. Houses for rent in the local area have increased in number as former home buyers look to rent a home to rebuild cash reserves again.

The median price for a home in Broward County is currently $175,000 as of January 2012, marking a 6% increase in median home price over the past year. Homes for sale in Broward County are being sold at higher prices this year due to the increased competition or the real estate inventory available. Home buyers often find themselves making several offers on houses and participating in competitive bidding wars before eventually putting a contract on any property.

The article outlines a foreclosure town home which was listed for $410,000 and sold for $426,000. This example is a very common occurrence for those looking to purchase foreclosure property in Palm Beach County these days. Competition for property among home buyers and investors has become fierce, with home price increases being the result. The decreased inventory, coupled with growing competition for foreclosure properties, seems to be helping grow our real estate market in South Florida.

If you are in the market to buy a home for sale through MLS or foreclosure auctions, it may be time to readjust our expectations. There has never been a better time to buy property than now-low interest rates, bulk foreclosure home incentives, and the Fannie Mac Renovation and Home Mortgage programs make home purchases more appealing. However, home prices are increasing this year, so buyers may or may not get the price they had hoped for on a property.

You can read the full article on Broward County real estate here: Broward County Home Sales Increase

As always, stay the course if you’re in the market. If you can’t find the home for the price you’re looking for, it may pay to wait for the right deal. Happy house hunting!

Mike Benton is an experienced real estate professional specializing in distressed property in the Boca Raton and Fort Lauderdale areas.