Latest figures released from RealtyTrac Inc have revealed that over 56,000 properties are in some stage of foreclosure in Palm Beach and Broward counties, offering new hope to buyers looking to invest in Florida.
Some prospective buyers, including Ryan Bivens from Broward, have expressed concerns regarding a lack of inventory, as the larger investment companies are making their presence felt by seemingly snapping up the best property deals and creating bidding wars that drive up prices for individual buyers.
Bivens, 33, said: "Every day, I look to see what homes come on the market, but I haven't found one I like. The good ones get contracts within a day. I want to be in something as soon as possible, but the market will dictate that."
The shadow inventory figures released will certainly serve to alleviate concerns of buyers where a lack of inventory is concerned; however, some are still skeptical about being out-bid for these properties by investment companies, who have been committing millions to the distressed real estate investment market.
Housing analyst Jack McCabe said: "It used to be that Realtors handled 75-77% of the transactions in a normal marketplace, but now I think it's closer to 60%"
A professor at Florida International University's Hollo School of Real Estate, Ken H Johnson, has predicted that investment firms will begin to lose interest in the real estate market as the rising house prices reduce the return on investment figures and make the process less appealing.
"The banks aren't going to give their homes away," he said. "I think there will be more for the general public than there is now."
