Pending home sales up in Miami-Dade, Broward

Cumulative pending home sales in July – including single-family homes and condominiums – in Miami-Dade and Broward counties were up from a year ago, with Miami-Dade leading the pack with a 19 percent increase.

Miami-Dade had 12,014 pending sales, up from 10,113 in July 2010. Broward County was up 4 percent, year-over-year, with 8,124 pending home sales recorded, according to the Miami Association of Realtors. (The association does not provide Palm Beach County information).

The total number of Miami-Dade pending sales during July increased 22 percent, to 3,359 from 2,759 in July 2010. Single-family home and condominium pending sales during the month increased 25 percent and 20 percent, respectively.

“Despite unnecessary restrictive mortgage credit and home appraisal practices, Miami continues to exhibit signs of a healthy and balanced real estate market,” said Jack H. Levine, 2011 chairman of the board of the Miami Association of Realtors. “Foreign buyers and investors have boosted the local market unlike any other in the state and the nation. A favorable lending and home appraisal environment would dramatically strengthen our market and improve consumer confidence.”

The nationwide Pending Home Sales Index, a forward-looking indicator based on contract signings, decreased 1.3 percent, to 89.7 in July from 90.9 in June, according to the National Association of Realtors    . The index is 14.4 percent higher than the 78.4 index reported in July 2010.

Increased pending sales are an indication of increased future sales. A sale is listed as pending when a contract is signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing.

In Broward, pending sales during the month of July increased 14 percent, to 2,974. Pending single-family home and condominium sales increased 19 and 10 percent, respectively, in July.

“Sales levels in Broward County are at the highest point since the real estate boom and continue to rise,” said Terri Bersach, president of the Broward County Board of Governors of the Miami Association of Realtors. “Rising pending sales is a positive sign and reflects strong housing demand in Broward County, but more favorable lending and home appraisal standards would further boost home sales and consumer confidence.”