How is this possible? Just by asking that question we know you have a basic sense of economics.
Here is the unedited press release from the Realtors Association of the Palm Beaches. We've put the basic-economics-defying-spin in italics:
Closed single-family home sales increased 65.2 percent, up from 824 in February of 2012 to 1,361 in June of 2012. The median single-family home in Palm Beach County increased 18.4 percent up from 190,000 in February of 2012 to $225,000 in June of 2012. The median price of townhomes and condos increased 17.3 percent up from $75,050 in February of 2012 to $88,000 in June of 2012, and closed sales increased 37.6 percent up from 913 in February of 2012 to 1,256 in June of 2012.
Bonnie Lazar, President of the Realtors® Association of the Palm Beaches said, “June’s housing numbers demonstrate the strength and positive trend of our local real estate market. Inventory for both attached and single-family homes has decreased over the last six-months and home values are up, which is great news for sellers. At the same time, buyers can find an affordable home that is poised to increase in value while interest rates remain low. It truly is a “win-win” for both buyers and sellers.”
During June of 2012 there were 1,938 traditional closed sales, 274 closed foreclosed sales and 407 closed short sales. Tim Harris, President-Elect of the Realtors® Association of the Palm Beaches said, “Closed sales of foreclosed properties have stabilized over the last six-months and are down 34 percent year-over-year. However, there has been an increase in the amount of closed properties that are short sales. This is a result of an increase in people who have embraced the short sale option as opposed to a foreclosure; as well as the lenders ability to process the transaction in a more timely and efficient manner.”
Another cause of the uptick in short sales may be a result of the upcoming December 31, 2012 sunset of the Mortgage Debt Relief Act, which is one of the most helpful laws on the books for underwater home owners.