Seasonal Uptick in South Florida Home Prices

South Florida home prices inched up this May, but analysts say the increase may just be seasonal.

Since April, home prices in Miami-Dade, Broward and Palm Beach Counties rose 1.2%. However, analysts say there is more demand in the early summer months, resulting in seasonal higher home prices.

Florida Realtors reported an increase of 26% over last year for median home prices in Broward County, yet a 12% drop for median home prices in Palm Beach County.

South Florida home sales have been strong this year, but they still have a long way to go.

Florida Home Sales Rise, Prices Fall

Since the homebuyer tax credit expired in May, Florida's real estate market has been slow to recover. But home sales in Florida rose 1% from August 2009 to August 2010 and condo sales had an even greater increase of 22% statewide.

Although home sales have increased, median home prices have fallen 9% over the last year.