Banks Repossess 4,000 South Florida Properties Per Month In 2010

MIAMI, FL--Banks repossessed an average of 4,000 South Florida properties per month in the first half of 2010, representing an 83 percent year-over-year increase for the tricounty region of Miami-Dade, Broward, and Palm Beach, according to a new report from CondoVultures.com.

Miami-Dade (top left photo) led the surge, experiencing a 125 percent spike in repossessions - also known as Real Estate Owned by banks (REO) - on a year-over-year basis. Palm Beach experienced a 112 percent jump while Broward's repossessions increased 42 percent, according to the report based on Circuit Court records from Miami-Dade, Broward (lower left photo), and Palm Beach.(middle right photo)

At the current pace, nearly 50,000 properties would be repossessed in South Florida in 2010, which would significantly outpace the modern day high of 30,400 repossessions that lenders took control of in 2009.

 Lenders repossessed nearly 26,250 properties in 2008 after taking title to 10,100 properties in 2007, according to the report.

"South Florida's real estate market is at a crossroads," said Peter Zalewski, a principal with the Bal Harbour, Fla.-based real estate consultancy Condo Vultures® LLC.

"The number of bank repossessions in 2010 is higher than at any time in at least two decades. This additional bank-owned inventory will undoubtedly be coming onto the resale market in the near future as discounted REO product.

"The flip side is, the number of new foreclosure filings in South Florida is down 34 percent in the first half of the year, putting the region on pace for less than 70,000 actions in 2010 compared to 97,000 in 2009."

Contact: Peter Zalewski of Condo Vultures®, 800-750-0517,  or by email at peter@condovultures.com.