"Overbuilding and a high rate of foreclosures toppled Florida's housing market, making it one of the worst in the nation."

Prices continue to fall rapidly according to the South Florida Business Journal: “Finally, a bit of positive news about Florida’s housing market. Sales of existing family homes in the tri-county area rose in the third quarter. But, the good news was tempered by the fact that prices across the board continue to tumble, according to the Florida Association of Realtors.”

"’Coming on the heels of positive sales activity in September, Florida's existing home sales are once again above year-ago levels in the third quarter,’ FAR President Chuck Bonfiglio said. ‘Despite lending restrictions and the difficulties of finding affordable credit, we're seeing buyers take advantage of homeownership opportunities in the current market – buyers who want to make a long-term investment in their future.’”

“Sales of existing single-family homes in Fort Lauderdale were up 20 percent, to 1,796 from 1,498 in the same quarter last year. However, the median sales price was down 24 percent, to $277,900, from $364,400.”

“Miami reported a 2 percent increase, with 1,271 sales in the third quarter, up from 1,250 during the same quarter of 2007. Median prices tumbled 24 percent, to $287,300, from $380,400.”

“The West Palm Beach-Boca Raton market saw a 9 percent increase in sales of existing homes, to 1,797 from 1,644. The median price there was down 18 percent, to $300,200, from $365,400.”

Meanwhile, the same publication reports that builder confidence is dropping: “Homebuilders’ confidence that there will be a resolution to the housing crisis anytime soon is at an all-time low, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index.”

“As the financial crisis worsens, the job market weakens and an overwhelming uncertainty hangs over the economy, builders fear it will take major incentives to bring homebuyers back to the table.”

“’Today’s report shows that we are in a crisis situation. If there’s any hope of turning this economy around, Congress and the administration need to focus on stabilizing housing,’ NAHB Chairman Sandy Dunn said. “Beyond the work that is being done to help reduce foreclosures, Congress must immediately incorporate such incentives for qualified buyers in a new economic recovery package.’”

The Miami Herald reports on dropping prices: "The median sales price for South Florida single-family homes fell 16.9 percent from a year earlier in the third quarter, the Chicago-based National Association of Realtors said Tuesday.”

“Nationwide, prices were down 9 percent and sales of properties with mortgages in default accounted for at least a third of all transactions.”

“Home prices fell in four out of every five U.S. cities in the third quarter, a record spurred by distressed foreclosure sales across the country. Prices fell in 120 U.S. metropolitan areas, rose in 28 and were unchanged in four, the biggest share of declines in data going back to 1979.”

“In the Miami-Fort Lauderdale metro area, the median price for existing single-family homes sold in the third quarter was $287,800, down from $346,300 in the same period of 2007.”

“South Florida condo prices fell 14.6 percent to $159,000.’

A large home auction was also announced in Market Watch: “Hudson & Marshall Will Raise its Buyer Agent Commission from 2% to 3% to Attract More Buyers to Florida Auction “

“Overbuilding and a high rate of foreclosures toppled Florida's housing market, making it one of the worst in the nation. With ample supply to choose from, savvy buyers are turning their attention to bank-owned foreclosure auctions because they offer great deals. America's largest foreclosed real estate auction firm, Hudson & Marshall will auction nearly 700 homes throughout cities in Florida December 2nd-7th. Approximately 120 homes will be auctioned in Orlando and more than 300 homes will be auctioned in the Miami/Fort Lauderdale area. “

“To attract more qualified buyers to the Florida auction, Hudson & Marshall is increasing its buyer agent commission from 2% to 3%. Unlike other real estate owned (REO) auction firms, Hudson & Marshall retains the banks' listing agents to better market properties to prospective buyers. Having marketed the foreclosures for many months, listing agents have extensive knowledge that can help buyers understand a property's market value so they can be successful bidders.”