Florida led the nation last month of all-cash home sales: 66 percent
Institutional investors, foreign buyers, landlords and vacation-home shoppers are fueling a cash-only market where first-time homebuyers’.
Cash sales made up 57 percent of Florida’s home sales a year ago and 61 percent of all sales in June of this year, compared with the 66 percent reported in July. Among Florida’s metropolitan areas, Brevard County had the highest rate of cash deals: seven out of every 10 house sales last month went for cash. Next in line was the giant metro area that includes Miami, Fort Lauderdale and West Palm Beach; 69 percent of all sales there were all-cash deals.
One factor tipping the scales in cash buyers’ favor has been the tightening of mortgage requirements following the easy-lending era that preceded the 2007-09 recession.
“The market requires buyers and sellers but if you want to buy a house, you have to have cash.”, said Mark Soskin, an associate professor of economics in the University of Central Florida’s business college.