Pending Sales are on the Rise!

Great News! Real estate activity has finally made a turn North. I guess if prices drop far enough buyers start paying attention:) This is especially encouraging for those of us in this business that have decided to make this our career. I know for myself the wait has been long but the payoff will come starting this year. Here are the statistics.





February '08 pendings (Listings that went to contract) were 514 up from 464 the previous year. That is an increase of over 10% year over year. It is clear we are not yet back at the wild days of 2005. However, it is a turn for the better.

I would say that a fair assessment of prices is that we are in 2004 prices. In some cases, I am seeing properties sell for less than they had sold for in 2003! This is a time of opportunity. We all have an interest in this area for similar reasons; sun, lifestyle, beach, beauty, shopping, schools, etc. However, as real estate slowed much of the local economy has slowed as well. Some have left. We know this is a transient area to begin with. However, let me put this question in front of you...Anyone think that this area will have the same population 5 years from now? How about 10 years from now? 25? The same factors that drew our attention to this area will convince the millions of baby boomers to seek out homes in Florida. I have heard people say that the retiring generation will not give up their homes up north. I think they will. No state income tax and lower property taxes are 2 wonderful reasons.


So what has been selling in this market? If your neighbor has had their home for sale for the past 2 years and cannot figure out why it has not sold, I can tell you. It is priced too high. Most likely it is way too high! I would say that probably less than 10% of homes are priced right at this moment. If you would like to see a list of 'Sold Homes' in a specific community just email me with a request tryan@amerivestrealty.com

What are some of the best deals right now? The market leader for the next 24 months will be Bank Owned Properties. People that understand value will be buying these REO (real estate owned) properties. Banks and lenders have been inundated with so many homes. They have to sell them! Remember, a bank is not in the business of owning property. It is what is referred to as a non-performing asset. In fact, the bank, by law, has to sell the property within 24 months or risk losing their FDIC status. The bank has no intention of renting. Each month has an associated cost of carry. They must sell aggressively and they are...

There are about 200 Bank Owned Properties currently. For a list email me at tryan@amerivestrealty.com or call me 239-293-3336.