According to data released Wednesday by Zillow, 45% of South Florida homes sold in May did so at a loss. The previous month 46 percent of South Florida homes were purchased for less than the previous sale price.
In May, 42 percent of homes sold did so at a loss in Palm Beach County, in Broward 47 percent and 48 percent of Miami homes, sold at a loss.
According to Zillow, in 2006 at the height of the Miami real estate market, no more than 3 percent of South Florida homes sold at a loss.
Zillow’s monthly real estate market report also included the Zillow Home Value Index which shows a median value of $152,300 in South Florida for May. That's a 50 percent drop from the peak of the market in June 2006 and a 1.6 percent decrease from April.
The national median home value in May was $182,600, less than a 1 percent drop from April, but a 24 percent decrease from the peak.
Zillow’s report also analyzed June price reductions on listed South Florida homes. About 26 percent of homes nationally had at least one price reduction in June. Last month in South Florida, 18 percent of listed homes reduced their asking prices. The median price cut in South Florida was 9 percent.
Contributed by Miami Luxury Villas
