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By Amber Randall<\/div><\/div>\n

The overheated market may be slowly cooling. Even if July numbers just reflect the usual summer slowdown, it could mean traditional patterns are starting to return.<\/span><\/span><\/p>\n<\/div>\n

FORT LAUDERDALE, Fla. \u2013 Homes in South Florida are a little less overvalued than they were a month ago, a positive sign after a year of insane pricing.<\/span><\/span><\/p>\n

Homes in Palm Beach, Broward and Miami-Dade counties sold for 13% above their long-term pricing trends in July, a slight decline from the month before, when homes were overvalued by 16%, according to researchers at Florida Atlantic University (FAU).<\/span><\/span><\/p>\n

\u201cI\u2019m excited about these numbers,\u201d FAU economist Ken H. Johnson said. \u201cI would like to see prices with a premium that is not so large, but we are going in the right direction.\u201d<\/span><\/span><\/p>\n

The slight dip from last month\u2019s index could signal a slight slowdown in the market, as mortgage applications have fallen. Or it could be the typical summer slowdown as families go on vacation.<\/span><\/span><\/p>\n

It\u2019s still a good sign if it\u2019s only a summer slowdown, as it would show that the real estate market could be headed to more traditional seasonal patterns, Johnson said.<\/span><\/span><\/p>\n

Jonson and Florida International University professor Eli Beracha analyzed over 100 metro areas, using 25 years of data from Zillow on single-family homes, townhomes and condos. Out of nine metros in Florida, the South Florida area ranked last in overpricing. Lakeland<\/strong> and the Tampa Bay<\/strong> area were the most overpriced in Florida, both at a little more than 31% above where they should be.<\/span><\/span><\/p>\n

Housing values either fell or remained level from one month to the next, the researchers found.<\/span><\/span><\/p>\n

\u201cWhile we\u2019re almost certainly nearing the peak of the current housing cycle, it\u2019s nowhere near as serious as it was more than a decade ago, when Florida homes were overvalued by 60% or more,\u201d Johnson said. \u201cPrices eventually will level off or fall, and recent buyers who want to sell would be hard-pressed to earn their money back.<\/span><\/span><\/p>\n

Median sales prices leveled out for the most part in South Florida in July, according to data from the Broward, Palm Beaches & St. Lucie Realtors. The median price stood at $500,000 in Palm Beach County for the second month in a row. It was $495,000 in Broward County, down slightly from June, and $515,000 in Miami-Dade, a slight increase.<\/span><\/span><\/p>\n

\u201cBecause the summer months tend to be slower, many buyers I have been working with have taken advantage of this relatively quieter time and have been able to strike deals on homes that may have had more buyer demand in busier months,\u201d said Bonnie Heatzig, executive director of luxury sales at Douglas Elliman in Boca Raton.<\/span><\/span><\/p>\n

\u00a9 2021 South Florida Sun-Sentinel. Distributed by Tribune Content Agency, LLC.<\/span><\/span><\/p>\n<\/div><\/div>\n

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\nAuthor: kerrys<\/p>\n","protected":false},"excerpt":{"rendered":"