Newsletter: Distressed Sales Fall Below 25 Percent First Time Since 2007
From 2009 through 2011, distressed sales accounted for more than half of Flagler County’s single-family home sales. In November, the percentage dropped below 25% for the first time since 2007.
Palm Coast, FL – December 15, 2014 – For the first time since 2007, the percentage of Flagler County home sales comprised of distressed properties (lender-owned via foreclosure or short sale) dropped below 25%. During the depth of the Great Recession (2009 to 202), distressed properties contributed more than half of all home sales. 2007 was the first year that the Flagler MLS began to report short sales and REOs separately.
The following chart illustrates the time delay between the collapse of the housing market and the introduction of distressed sales. You can see that the market to gets healthier only after the wave of home sales is followed by a wave of foreclosures, then by completed foreclosures.
The collapse of the market naturally caused an increase in new foreclosure filings. Over time, some foreclosures were resolved through refinancing. Many were resolved through short sales or a deed (back to the lender) in lieu of foreclosure. The rest end up at the final step, a foreclosure auction, resulting in a Certificate of Title being issued to either the lender or to a successful bidder. At that point, it becomes a completed foreclosure.
From 2005 through 2009, the number of new foreclosure filings exceeded the number of foreclosure completions with the result that open foreclosure cases increased. Beginning in 2010, the number of open foreclosure cases in the county began to decline as foreclosure completions outpaced new foreclosure filings.
November foreclosure completions outpaced new filings during November 51 to 31. There are currently 838 open foreclosure cases in Flagler County. Of these, 419 are homesteaded.
Home Sales for November 2014 as compared to November 2013
|2014||% of Total||2013||% of Total|
Comparison of the first 11 months of 2014 and of 2013
- Homes Sold +0.82%
- Total Revenue +1.37%
- Cash Sales -9.01%
- Short Sales -63.48%
- REO Sales +19.61%
- Non-Distressed Sales +9.69%
- New Single-family building permits + 22.2%
Maybe if they start having some places for people to go out to eat and shop, they will get more homes sold. People need things to do and shop not buy a house and have to go to daytona or jacksonville to shop. Palm coast is a very nice place they need business. Other places around here are bulding homes and also giving shops and business to start. I find that plam cost needs to rethink and stop living in the pass sales and go forward in buliding nice places for family and business. Look at the Jacksonville Town Center how many people go their to shop?? what taking palm coast town center so long to start building up there center to look like that??.
I agree with Moreno. Palm Coast is beautiful, but there’s still so much to be desired by residents. I’m not even sure how we continue to get tourists. They must be staying here to escape high priced rentals/condos located in Daytona/St. Augustine and then commute to those areas. Will Palm Coast ever be Daytona/St. Augustine? NO and we don’t want it that way but it would be nice to have a city council that would allow corporate businesses to move in to give all of us something to do closer to home and to attract more people. I personally have not bought a home here yet because I have no idea if Palm Coast will remain a sort of “Ghost Town”. It does not seem wise to buy a home here from what I’ve noticed with “Town Center” development (or lack there of). They need to focus on development of commercial properties and start filling some of these empty lots. Who is paying to maintain the TC area?
Moral of the story it’s a shame PC is so beautiful and has such great infrastructure yet nothings being done.