My New Blog

Prices higher, incentives stable. Home prices trended higher in April, as our

home price index increased to 60 from 58 in March, above a neutral reading of 50,

indicating sequentially higher home prices (readings greater than 50). 66% of agents said

prices were unchanged, 27% said they were higher, and 7% said they were lower.

Less time needed to sell a home in April. Our time to sell index improved to 70

in April  (from 60 in March), remaining above a neutral reading of 50, suggesting a

decreased time to sell over the past 30 days (readings above 50 point to a reduced time

to sell). 47% of agents said the time to sell decreased over the past 30 days, 47% said

the time to sell was unchanged, and 6% said the time to sell increased. We view the

decreased time to sell as a positive indicator for future pricing trends.

¦ “Clients have been watching the market closely and think we may have finally hit

¦ “A lot of buyers are running into stiff competition or multiple offer situations.” "

The above survey is not glowing with rising prices but the first signs of the flat market that almost always follows a large decline in the housing market.  The flat market of the late 1980's after 3-4 years was followed by the slow steady trickle up market of the early to mid 1990's about 5 years.

If you have been on the sidelines hoping for lower prices to buy into your dream property, this may well be the first indication that there is no longer a need to wait. 

Sellers may expect that  the pricing of the last neighborhood sale may be what they will achieve instead of a lower and lower price in the future. 

We will be watching this carefully in the next few months to verify for our clients.  If you would like a heads up report to be sent to you on the market just email us and we will be sure to place you on our private client list.

Activity just before the Holidays is surprisingly robust with lots of people pulling the triggers on making a move to Southwest Florida that they have been thinking about for months or years!

The Ft. Myers Beach Market is finally experiencing somewhat stronger sales year over year with 320 properties sold so far in 2010 up from 307 in the entire year 2009.  the average sales price in all categories has declined but that appears due to the fact that the lower priced properties in each category have taken the lions share of sales. 

The Multiple Listing Service average for listing price to selling price ratio is just above 92.5% of asking price for solds.  My success rate so far is right at 95% of asking price.  This rate is important for sellers especially in this challenging market where every dollar for a seller is harder to come by.

Buyers find good news in that island properties they covet are now much more affordable. Residential properties have closed on average at $345,165 this year thus far as opposed to $392,912 for 2009.

Please contact me with any questions you have about real estate as these raw numbers are interesting there is much more than meets the eye in interpreting and analyzing them. 

The best values in the market are your phone call away! 239-765-5478(LIST)

Happy Holidays!

-Jerry

There is just one overwhelming and compelling reason to buy real estate right now!  No, it is not the low prices. No, it is not the huge selection, No, it is not that prices are rebounding.

That one reason is, as I write this the national average for mortgage rates on a 30 year fixed rate mortgage is 4.35%. It is amazing but if you borrow $200,000 today, and move into a home that you like, your payment would be $995.62 per month.  And if you borrow half of that to buy a home, and we have lots of them available in Lee County, your payment would be under $500 per month.  

Cheaper than rent? You bet!  Even with property tax and insurance.  Unless you are intending on reselling or moving again in a year or two you might be making the mistake of your life not to take advantage of this situation. Use the Mortgage Calculator and Daily Bank Rate Postings on this site to check your situation.

Even if your mind is uncertain in these unique times remember these current rates are the best they have been since the 1950s. To see how long ago that was: there was no color tv, no cell phones, no home computers, and no seat belts in cars in the 50's.  Even if prices never rise again (highly unlikely), you will be building equity and should have a tax reducing write off of your mortgage interest etc. (check with your accountant or tax preparer). Isn't this better than rent?     

Right now there are Federal and other programs that you may qualify for that make purchasing easier.  Just give us a call and we will make sure you get your personal situation looked at for financing options and help you find a great property for you. 

Remember these rates disappeared from the 50s to the 2008s, (a long long time to wait). And if you wait and the rates rise by just 1/2% to 4.85% your $995.62 monthly payment increases to $1055.38 or $21,513.60 for the life of the loan. That's a lot of money to waste!!

And that's Why you should be thinking of buying!