Business: More grim news from the home sales front

After swimming in gains last year, Florida homeowners continue to sleep with the sharks this year.

Despite an unexpectedly healthy national home sales market in February, the Sunshine State and the Tampa Bay area proved to be a sorry exception.

Homes sales in Tampa-St. Petersburg-Clearwater gave back 32 percent year over year, from 2,957 in 2006 to 2,001 in 2007. Condo sales fell by 43 percent.

Only Fort Myers-Cape Coral and Fort Pierce-Port St. Lucie registered bigger declines.

Of the homes that sold, median price declines were more modest, falling 1.6 percent for single-family homes and 3 percent for condos the past year.

The National Association of Realtors reported Friday that sales of existing homes were 3.6 percent lower than a year ago, but 3.9 percent higher month-to-month. Those relatively upbeat figures were traced to a big jump in sales in the Northeast. It was the biggest increase since a similar increase in March 2004.

Analysts, who had been looking for sales to decline in February, said the increase reflected warmer weather in the Northeast and Midwest. In their view, the housing industry will not sustain the rebound.

"Sales cannot be sustained at this level, which is way above the pace implied by mortgage applications," said Ian Shepherdson, chief economist at High Frequency Economics.

The price of a median home sold last month dropped nationally to $212,800, down by 1.3 percent from the same month in 2006. It marked a record seventh straight month that the median home prime has fallen compared to the same period a year ago.

Sales and median prices of single family homes tumbled year over year in Florida and the Tampa Bay area:

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Comments on this article

by Pete	04/01/07 11:03 PM
Fix the property tax mess and things are going to move again. Nobody can afford to "move up". That's what fuels the real estate sales. Be patient and watch the market closely. For all the folks heading north, don't forget to buy a snow shovel.

by Joe	03/28/07 09:57 AM
Florida is the worst place to live in the country. The work ethic is horrible, the academics are the lowest, and the people are dumb. You can have the weather. The Northeast is the place to live. Believe me, I am trying to move back north.

by Rob	03/25/07 08:16 PM
Not a surprise to those who have been following the real estate market. Expect things to get much worse now that credit/mortgage-tightening is occuring

by Alicia	03/25/07 02:01 AM
There is no such thing as the middle class. If I buy a house for $242,500.00 people will think I'am rich in the poor countries.

by Bill	03/25/07 01:59 AM
My gosh whatever happened to the time when you could buy a house for $90,000.00? People have just got a bit greedy. Now if you buy a house at that price people will think there is something wrong with it.

by Sarah	03/25/07 01:49 AM
People are trying to make Tampa, and the Tampa area into one big city that it is not. The quality of jobs here do not support the high housing costs. It is nice wether but you have to put up with bugs to enjoy it.

by Tim	03/25/07 01:47 AM
I'am starting to wounder if the yankees have brains how can you raise housing prices, and property tax but not minimum wage, and peoples incomes? New York, California, and Chicago are expensive to live but you make $9.00 an hour instead of $6.50.

by James	03/25/07 01:43 AM
Well thats why I bought a condo. Cheaper, and I'am not going to poor lots of money in a house I'am probably not going to get much for.

by John	03/24/07 08:08 PM
As a two year homeowner I love save our homes. I pay more in taxes than my neighbor, but I paid more for my house too. With save our homes I can estimate taxes almost indefinetly. Without - property values and related taxes would have taken my house.

by Jim	03/24/07 02:50 PM
I'm up also from when I bought eight years ago, but it doesn't matter. There is no way for me to sell now or try to sell now and be able to afford a bigger or newer home. The property taxes and larger mortgage payment wouldn't allow it, for me.

by Dennis	03/24/07 01:19 PM
I am not bothered that sales are down, and some siting Save our homes as a reason snowbirds are not buying is silly. Save our Homes is for people who live here, not part time residents or flippers trying to make tons of money for doing almost zero.

by Pembrook	03/24/07 12:48 PM
We%u2019ll see the last bargains of existing waterfront homes now through May above the Pinellas/Pasco line. New impact fees will then bolster market for existing in Gulf Harbors 34652 area, still significantly undervalued with reliable deep water access.

by Tom	03/24/07 12:47 PM
There doesn't seem to be any bargains for quality locations. Miami's prices went up 5% for houses, and 3% for condos. Unique homes or locations such as Downtown St. Pete, Old Northeast, and Hyde Park are still very expensive and in demand.

by sandra	03/24/07 11:57 AM
Why doesn't the govt. help our homeowners, like peanut growers, marine fish owners, and when disaster strikes like hurricanes or tornadoes. Isn't this a disaster? We need help, where's our disaster fund for this.

by mickee	03/24/07 11:44 AM
I agree with Don, Florida now is out of reach for the middle and lower class who wish to retire in a warm climate. Add to that all the traffic caused by over development, Florida has nothing better to offer then other southern states which are less

by Tom	03/24/07 11:23 AM
Unless it drops by 50% I'm still up from when I bought in six years ago. Markets are cyclic, real estate is no exception.

by Pete	03/24/07 11:19 AM
How does this little rule sound? Don't buy anything (stocks, real estate, etc.) that you can't afford to sit on for at least 5 years.

by John	03/24/07 11:06 AM
No one seems to be paying any attention to the fact that people are were using their equity as ATM machines... now its no wonder with rising insurance and taxes folks are trying to get the monkey off thier backs

by Brian	03/24/07 10:08 AM
Statistics can be misleading. Condo prices on the beach are in a free fall with some units having price reductions of nearly $150K and still going unsold. If the legislature does not solve the property tax mess, it will only get worse.

by Bob	03/24/07 09:30 AM
Home prices in Florida and many other coastal markets went parabolic because of the overabundance of easy credit with no money down and/or teaser ratesfueling speculation and a housing mania. Home prices have far outstripped wages and is correcting.

by gillnetter	03/24/07 09:13 AM
Well that breaks my heart that the yankees in real estate are not able to ripoff every person who needs a place to live. I see real estate people driving porsches and hummers everyday, so its time for them to pack up and go back up north and stay.

by JT	03/24/07 08:36 AM
These numbers would be through the roof if property tax reform would occur along the lines of the current plan calling for sales tax to replace property tax.

by Jay	03/24/07 07:38 AM
This is a no-brainer, Save our Homes cap is reason for decline in sales. Nobody who benefits from it (like me) are willing to move out/up to face 2x, 3x, 4x, 5x property taxes. Newcomers balk at the high taxes.

by don	03/24/07 07:13 AM
Why would any snowbird buy in Florida until this real estate tax issue is resolved. The 3% cap thould be fazed out in order to make taxes equitable.

More grim news from the home sales front

In Tampa Bay and around Florida, sales tank and prices drop slightly, compared with 2006.