By Duane Marsteller, The Bradenton Herald, Fla.
Oct. 24--MANATEE -- The local housing market's recovery continued in September, according to sales figures released Friday.
Sales of existing Sarasota-Bradenton single-family homes soared by 42 percent in September compared to the same month a year ago, the Florida Association of Realtors said. Condominium sales did even better, with twice as many being sold than in September 2008.
It was the third consecutive month of double-digit percentage increases in local home sales from last year, arguably the nadir of the three-year housing slump.
"These are some really good numbers," said Barry Grooms, of RE/Max Alliance Group, the Manatee Association of Realtors' president. "We're really pleased."
Local Realtors sold 781 existing single-family homes last month, compared to 550 in September 2008. It also was an improvement from August, when 678 homes were sold.
The local median home sales price -- the point at which half sold for more and half sold for less -- was $164,000 last month, comparable to August's $164,200 but down 18 percent from September 2008's figure of $200,800.
"A lot of this activity is the direct result of prices going down," Grooms said.
Also helping: more lending by banks, which also are becoming more comfortable with short sales and approving them faster, he said.
Buyers also are more confident in the economy and are increasingly getting off the fence and making offers, enticed by low prices and an $8,000 federal homebuyer tax credit, Grooms said.
The local condo market, which has suffered the worst in the housing slump, roared back last month. Local Realtors sold 247 condo units in September, more than double the 119 sold in the same month a year ago.
The median condo sales price was $134,800, compared to $156,400 in September 2008.
Statewide home sales rose for the 13th straight month, the Realtors' group said. Realtors sold 34 percent more single-family homes in September than they did a year ago.
The median sales price of a Florida single-family home was $142,000, down 19 percent from $174,900 in September 2008.
Nationally, homebuyers racing to complete their purchases before the tax credit expires pushed up sales by the largest amount in more than 26 years. After jumping 9.4 percent in September, U.S. home resales are up nearly 24 percent from the bottom in January, the National Association of Realtors said.
But the housing market's momentum could easily peter out if Congress doesn't extend the credit of up to $8,000 for first-time buyers beyond its current Nov. 30 deadline.
National sales rose to a seasonally adjusted annual rate of 5.57 million last month, from a downwardly revised pace of 5.1 million in August. It was the strongest month in two years and beat economists' forecast of 5.35 million, according to Thomson Reuters.
Sales, however, are still down 23 percent from their peak four years ago. In another positive sign, the inventory of unsold homes on the market fell almost 8 percent to 3.6 million. That's less than an eight-month supply at the current sales pace, and the lowest level since March 2007.
Still, economists caution that the pain from the worst housing bust since the Great Depression probably isn't over yet. While home sales and housing construction have risen steadily after hitting bottom earlier this year, most economists believe prices, which recently stabilized, will resume their descent.
To entice buyers, U.S. Sens. Johnny Isakson, R-Ga., and Christopher Dodd, D-Conn., want to extend the tax credit through June 30, and expand it to include all homebuyers, at an estimated cost of $16.7 billion.
Realtors and homebuilders are loudly in favor, arguing that the tax credit is crucial to get the housing market back on its feet.
"We are not there in terms of removing the consumer fear factor," said Lawrence Yun, the Realtors' chief economist.
The Associated Press contributed to this report.
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