Miami on the cheap

There is a growing belief among financial experts that the recession is finally over.

While watching "Good Morning America" yesterday Liz Ann Sonders, chief investment strategist at Charles Schwab, said that she agrees with the conclusion Barry Knapp, a strategist at Barclays Capital, recently wrote that the economy appears "to be in the sweet spot of a recovery" and that the recession may have ended last month, according to Bloomberg News..

"It isn't any brilliant prescience on mine or anybody else's part," Sonders said. "There are certain indicators we can look at to set the turn, and I think we have seen that turn."

While the jury may still be out on this one, there is good news in South Florida housing with signs of a robust market.

It wasn't too long ago that the South Florida housing market was one of the hottest in the country. Developers, seasoned and novice investors rushed to cash in on what was believed to be a gold mine. Home values shot up 75% over three years, and some of the most desirable addresses doubled in price.

The market peaked in late 2005, and soon after just about anything associated with housing in South Florida came tumbling down.

As foreclosures soared, South Florida housing prices fell an average of 36%. The foreclosure rate hit 8.9% in February, up from 3.8% a year ago, according to First American CoreLogic. That compares to 1.7% for the rest of the country. Sales ground to a standstill.

But in recent months, low prices and low interest rates have been luring buyers. First-timers are finally finding homes they can afford, while investors say that for the first time in years they can negotiate deals that make sense.

The sales numbers are dramatic. In February alone, condo purchases skyrocketed 71% from a year earlier, while home sales soared 68%, according to the Florida Association of Realtors.

People are astonished when they learn my team is busier than ever.

What's driving the spike is rock bottom prices on foreclosed homes, lower interest rates and a new $8,000 tax credit for first-time buyers? Homebuyers once priced out of the market are now filled with excitement that they can get a great deal in Miami real estate.

Take Patrick and Shakel Stewart. First time homebuyers forced to rent after being priced out of the South Florida market where able to take advantage of the dramatic reduction in prices and purchase a 3 bedroom 2 bath foreclosure on a huge lot in Biscayne Gardens for $91,000. Nearly one-third of the price it sold for in 2007.

"Who could've imagined this day would come. It was such a great opportunity" said Patrick. "My dollar is definitely worth a lot more in this recession.

When it comes to choosing professionals to assist you with your real estate needs...Experience is Priceless! Andre'Shambley&Miami's Best REALTOR® Team, The Keyes Company, 305-396-9106. MiamiBestTeam@AOL.com. www.OnePlaceOpenHouse.com

Ready to refinance or looking for a better rate? For your complimentary rate quote visit Jacinta Shambley, APEX Lending, Inc. JShambley@ApexLending.com. www.JShambley.ApexLending.com