Monthly Archives: January 2014

2013 Final Sales Numbers Are In

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2013 final sales numbers are in and again we saw price increases inline with expectations.  The median sales price of a single family home in Lee County Florida popped up to $177,000, up from $170,000 in November and up 24% over last December’s $142,750.  The mean average sale price was only up 12.8% over last year with December 2013 coming in at $269,789 versus $239,186 in December 2012.  2012 numbers were revised upward about $15,000 so that helped to keep the average down to an increase of only 12.8%.

2013 Final Sales Numbers Are In

Aiding in the increase to local housing prices is the limited supply of homes, or scarcity as some buyers like to call it.  About this time of year inventory begins to rise but last year it was hardly enough to keep up with all the seasonal buyers that arrived.  This year it seems the seasonal buyers have arrived earlier, and if they stay as long many are wondering if the inventory levels will hold up.

Season sets the tone for the rest of the year. At the Ellis Team we are working on bringing several homes to the market.  The past several months it seems like we’d list 5 homes per week and sell 7, so inventory levels have gone down for us.  Thankfully they are increasing right now for the overall market.

SW Florida single family home inventory Fort Myers, Cape Coral, waterfront homes

Unfortunately in the 6,169 single family homes currently for sale some will never sell regardless of how low the inventory is.  This is because some sellers are still overpricing their home even in a good market.  This is nothing new, some sellers will always over-price a home and buyers will continue to reject it.  What hurts is missing a good opportunity to sell.  Some of these over-priced sellers actually do want to sell their home; they’re just misinformed about the market.  Either that or they’re under the impression that the seller can always come down but you can’t go up, so they overprice it.

In reality, you can go up if it’s priced correctly because a fairly priced home in a low inventory market attracts multiple buyers who may bid up the price.  An overpriced home attracts buyers who are expecting more and when they compare the over priced home to similarly priced homes they find they get more value in the other homes.  They don’t make offers on the over priced homes, they make offers on the homes that offer more value.

This is probably the biggest misconception sellers have about selling their home.  When you read in the paper it’s a seller’s market, that’s not a license to overprice your home.  It simply means if you price your home at or close to market value, it should attract buyers.  This isn’t always the case in a buyer’s market.  Many years ago we’ve had listings that were priced properly but due to lack of buyers some homes just sat on the market. It took extra marketing just to get a sniff from a buyer.  Of course back then the average time on the market was 9 months or more compared to now.  The median time on the market in December 2013 was 43 days.

If you’re interested in selling, now is a good time.  It’s also a good time to talk to a professional that can help you price it correctly, market it correctly, and take advantage of the many buyers we have shopping for homes.  If you’d like to speak with us, call us at 239-489-4042.  You can search the MLS on our website www.Topagent.com

If you’re looking for a waterfront home to purchase, keep in mind our team is waterfront specialists.  Not every waterfront home in SW Florida is the same.  Some canals have varying depths which limits the size of boat you can have in that canal.  Sometimes the waterfront behind your home may be deep but the waterfront  entrance to the community may have silted in and restrict the depth at the entrance.  Sailboats need more clearance, so you really need to know how much draft your boat pulls, or how much your future boat might pull.

We can help you with all your waterfront needs.

 

Good luck and Happy Selling!
If you’d like to search the market as either a buyer or seller, visit www.Topagent.com If you need extra help we’re always available to talk to you and help you make better decisions. Our phone number is 239-489-4042 Good luck and Happy House Hunting!

To search the MLS for properties go to www.TopAgent.com or give us a call at 239-489-4042     Good luck and Happy House Hunting!!!

Feel free to view our Virtual Tours .

Visit our Google+ Business Page

 

 

Inventory by Price Range

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In the past few months we’ve been on several listing appointments and sellers usually ask how their price range stacks up against the market. Current listings by price range really only tells half the story, so this article will attempt to cover the other half.

Inventory by Price Range

Real estate listing Inventory Fort Myers Cape Coral

As you can tell by the published graph, the $100,000-$149,999 currently has the most listings followed by the $400,000-$599,999 range.  By looking solely at the graph one might think there is a backlog of homes on the market in the $100-150k range.  This just simply isn’t true.

Would it surprise you to learn that in that same $100-149,999 range there were 2,670 single family home sales in Lee County last year?  That works out to a 3.61 month supply of homes on the market.  Conversely, the $400k-$599,999 range had 869 sales last year.  This works out to an 11.72 month supply of homes on the market.  Even though the $100k range has the most homes on the market, it is a much healthier market because there are more than enough buyers in that range to absorb the inventory.

Inventory by Price Range

We created a custom graph using the exact same price points to illustrate how each price range is doing.  In essence, the lower the price range, the more range of buyers there are for a home and the most demand.  The market is best able to absorb the existing inventory from the lowest price range on up to the highest.

If you’re a seller with a million dollar plus home, you have about a 3 year supply of homes on the market that is competition for your home.  This is assuming no other homes come on the market.  If your home is in the $400,000-$600,000 price range, you have about a 1 year supply of homes on the market as competition.

It’s easy to see by the graph how your home rates by price range.  This is important knowledge.  If you would like to sell a home in 4 months time or less all you have to do is look at what price range you’re in and see what the competition is.  If you’re in the $600,000+ range which has a 15.96 month supply of homes on the market and you wish to sell in 4 months or less, it pays to be realistic and price your home more aggressively against the competition.

Many home sellers mistakenly believe they can set the price and buyers have to pay it.  It’s true, the seller does set the price, but the market determines the value.  Buyers are not only shopping your home but many others like yours in your price range.

If you have a home to sell it pays to know how much you should sell it for.  We compare your home against like kind comparables that have closed recently.  We also show you how your home stacks up against other current homes for sale.  You never want to under price your home because if you do you just give away your equity to the buyer.  You also don’t want to overprice your home either because if you do you’ll help sell your competition and insure your home stays on the market longer, and history proves that homes that linger on the market sell for less than homes that were priced correctly upfront.

If you have a house to sell, call us at 239-489-4042.  We’ll guide you through the home selling process and cut through all the clutter.  Good luck and happy home selling!

If you’d like to search the market as either a buyer or seller, visit www.Topagent.com If you need extra help we’re always available to talk to you and help you make better decisions. Our phone number is 239-489-4042 Good luck and Happy House Hunting!

To search the MLS for properties go to www.TopAgent.com or give us a call at 239-489-4042     Good luck and Happy House Hunting!!!

Feel free to view our Virtual Tours .

Visit our Google+ Business Page

 

 

New Pending Sales Set to Rise

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How can we predict pending sales will rise in the coming months? We need look no further than the last 4 years to see a seasonal trend that happens each year starting around January and culminating around March or April. It’s an annual pilgrimage to bring homes to the market in search of buyers, and it works. New pending sales set to rise.

New Pending sales Set to Rise

If you study the new listings chart you’ll see a spike in new listings entering the market each January which coincides with a spike of new pending sales also starting in January. It ends with a rise of closed sales March through May of each year.

It’s a good thing too because without the new listings we wouldn’t have enough properties to satisfy the appetite of all our visitors each year. If you’re wondering whether they’re here just look at the roads, or call a hotel. We’ve heard many hotels had no vacancies this past week and our roads are full.

People are definitely here and we think many are going to purchase again this year. The past two seasons have been good as consumers have been more confident that prices had bottomed and it was safe to invest again in Florida.

Pending Sales 2009-2014 Fort Myers Cape Coral

New Pending Sales Set to Rise

We expect prices to rise again this season as demand is high and inventory is limited. Our weather has been fantastic and weather up North has been bad. A new crop of Baby Boomers will decide this is the year to purchase property in Florida, and so many fall in love with SW Florida. People tend to buy where they’ve been or where they’re familiar with, and this puts the Fort Myers, Cape Coral, Estero, Bonita Springs area in a favorable position.

The Ellis Team is currently working on bringing several new listings to market. Some are really fun to market but fortunately we don’t always get that chance as the market scoops it up before we can tell everyone about it. Literally new listings can been seen and shown in a matter of hours and contracts can follow within a day or so, and many listings are getting multiple offers.

If you’re a seller, now might be the time to consider making a move while demand is high. If you’re a buyer, remember, you’re not in competition with the seller. You’re in competition with all the other buyers out there trying to buy the property you want, so you must structure your offer correctly so you put your best foot forward.

Some buyers mistakenly think it’s all about price, and that is a component. However, if all 4 offers are over asking price, it comes down to which looks stronger on paper. Which buyer is best suited to perform? Which buyer is offering the strongest terms?

If you’re considering buying, call a Realtor who knows the market and can guide you through the process so you make a good offer according to local customs. If you’re a seller, you also want an experienced agent who can help you price your property correctly, and help you select the best offer. It does no good to select the wrong offer and be left holding the bag after season when many of the buyers have gone home only to find out your buyer can’t perform. Whether you’re a buyer or a seller, the Ellis Team can help you make good decisions in a fast paced market. Feel free to search the MLS at www.TopAgent.com or call us at 239-489-4042. Good luck and Happy House Hunting!

If you’d like to search the market as either a buyer or seller, visit www.Topagent.com If you need extra help we’re always available to talk to you and help you make better decisions. Our phone number is 239-489-4042 Good luck and Happy House Hunting!

To search the MLS for properties go to www.TopAgent.com or give us a call at 239-489-4042     Good luck and Happy House Hunting!!!

Feel free to view our Virtual Tours .

Visit our Google+ Business Page