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Own? You'll rake more than leaves

By ROBERT TRIGAUX
Published February 19, 2007

So there I was, lucky me, one recent weekend raking leaves off my faded lawn when the nice woman who delivers my mail stopped to vent about the wacky housing market.

Soon a savvy real estate agent paused with his dog to marvel at my fruitless task and lament the rough climate for home selling.

Forget Anna Nicole Smith. Ignore the Bucs. Sorry, NASCAR. In neighborhood encounters, agonizing over home prices remains the tip-of-the-tongue topic.

For good reason. My neighborhood, like most of yours, is dotted with "For Sale" signs bedecked long ago with Reduced, Motivated Seller and, in some more severe cases, Includes Free Car messages to spark some interest.

At first glance, the fresh housing data out last week once again appear sobering. Nationwide, median prices for single-family homes sold in the fourth quarter of 2006 fell in 73 of 149 metropolitan areas, slipping 2.7 percent.

Some parts of Florida suffered rough year-to-year price declines Sarasota-Bradenton, Fort Myers and Miami-Fort Lauderdale got walloped. Yet more than a few Central Florida metro areas hung tough. Year to year, home prices rose in Orlando, Ocala and Gainesville. Even here, Tampa Bay area median home prices squeezed out a 3 percent gain to $229,700 over a year ago.

Critics will point out, correctly, that paltry annual gain becomes a loss when the fourth quarter is compared to the third quarter last year. Median home prices then were $234,000, which means prices dropped $4,300 by the fourth quarter.

That decline may offer some signs of hope for home buyers feeling priced out of the inflated housing market here.

And for those folks lucky to have owned their homes for a while, count your blessings. Florida homeowners have enjoyed an astonishing run-up in wealth from housing appreciation, outstripping most of the nation.

Since 2001, six Florida metro areas rank in the top 10 nationwide in price appreciation. Miami-Fort Lauderdale-Palm Beach ranked No. 3 in the country with a 135.4 percent appreciation, behind two southern California locations.

And the Tampa Bay area? Over five years, the median home price rose 85.2 percent from $123,600 to $228,900. That's good enough to rank No. 24 countrywide.

Some folks complain they can't buy a house here, and that's a concern. Others complain they bought in the overheated market and find they overpaid.

But the burst of wealth in Florida created by such remarkable gains in home values is nothing short of an economic bonanza. Remember that when raking. It may make the job less tedious.

Robert Trigaux can be reached at trigaux@sptimes.com or (727) 893-8405.

Fast Facts

Florida: Much appreciated

Top gainers since 2001

in median home prices

Miami-Fort Lauderdale- Palm Beach +135.4%

Palm Bay-Melbourne- Titusville +130.2%

Daytona-Ormond Beach +119.6%

Sarasota-Bradenton-Venice +119.5%

Orlando +117.9%

Cape Coral-Fort Myers +114.4

Tampa-St. Pete-Clearwater +85.2

Source: National Association of Realtors

[Last modified February 26, 2007, 14:56:01]