Foreclosure Filings Increase in Coral Springs

July 13th, 2009 | Tags: Foreclosure Crisis

foreclosure fillings

Foreclosure filings have increased in Coral Springs. This has happened despite the increase in sale of homes and condominiums in the area.

Foreclosed properties had touched the mark of 500 in 2008 but now the figure is all set to double. Coral Springs director of community development, Susan Hess, says there were 500 bank-owned houses in December and January. In February, the number had touched 507, in April it was 607 and in May it reached an all-time high of 896.

The spurt in foreclosures has not had much of an effect in Coral Springs. This is because there is an ordinance in place that requires banks to maintain foreclosed homes. Experts agree that the increase in foreclosures is due to rising unemployment. As people lose jobs they falter on mortgage payments. At the same time, sales of homes and condominiums have increased. Broward County has seen sales spurt by 47 per cent. From 530 in May, it has now touched 780.

Colleen Stobinsky, managing broker of Prudential Florida Realty in Coral Springs says Parkland and Coral Springs will see an increase in foreclosures. She says there was a ban on foreclosures but there will be an increase soon.

Stobinsky says that Florida has come third in the ranking of states with the highest foreclosure rates. In this state, one in each 148 homes has got a foreclosure. The only other states which have more foreclosure rates are California and Nevada. In Florida, 374,134 properties are in the process of being foreclosed. Coral Springs is seeing a reflection of this.

Despite this, Coral Springs continues to attract home buyers. Parkland, Weston and Coconut Creek are the other attractive places for investment. Sherry Gottlieb of RE/MAX Professionals in Coral Springs says that the housing market has changed in the last four months. Even six months back, foreclosures were on hold. Now foreclosures and short sales are dominating the market. Homeowners have many queries on the phenomena and as interest rates plunge to an all-time low, sales have seen an improvement.

Gottlieb says short sales are a dominant factor today. Way back in 1991 there was only one short sale out of 1,000. Now there is at least one short sale in 20. While earlier, a short sale took nine to 10 months to mature, now approvals are being received in six weeks. On an average it takes three months to complete a short sale.