South Florida Home Prices May Double Dip

MIAMI (CBS4) - South Florida sales of condos and single family homes were rising at the start of the year, according to the latest figures from the Miami Association of Realtors. However, the same numbers show selling prices were dropping.

A CBS News report indicated that Florida remains an area where the housing market is facing a double dip in prices. Nationally home prices hit their bottom in 2009 from a peak in 2006. Last year they showed some gains but began dropping again at the beginning of 2011.

One problem still facing the market is mortgage rates, which have been the lowest in years, have slowly begun to rise again. That means anyone looking to buy a home or condo may be required to put down a larger payment to qualify for a mortgage – which could potentially slow sales.