Category Archives: Fort Myers Beach

Real Estate Numbers Not What They Seem

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Most people do not know that last year’s sales prices have recently been revised down, so when this year’s numbers are reported the gain looks better than it would have been had they been left alone.  This means the reported real estate numbers not what they seem.  For example, the official median price reported back in January 2015 was $190,000.  2016 median price was reported at $227,000, which was a 19.47% increase.  Not too shabby.  However, January 2015 numbers were revised down earlier year to $185,748.  This now makes the gain 22.21% instead of 19.47%

Real Estate Numbers Not What They Seem

That’s all well and good when the numbers are spectacular, but what happens when the market begins to tighten?  We reported back in February that the market was in a Shift.  Few people realized it at the time as we were still reporting 20%+ gains.

Real Estate Numbers Not What They Seem

In May the gains were down to 4.65% and that’s with the benefit of revisions.  If they went with original numbers, the median single family home price was only up 3.57%.

Earlier this year I questioned the numbers.  Back in March the local Board of Realtors received information about the changes.  Most of the changes affected listing counts and under-reported listing inventory in previous years due to date errors in their database.  We’re all for cleaning up errors, however we haven’t seen any rationale as to why prices have been adjusted.  We’re not saying there is anything nefarious with the changes, it’s just that by doing so they’re making the market this year look better than it is.

July numbers are due to be released at any time.  We believe average prices may level out while median prices may still advance, albeit at a slower pace than years past.  The reason we see median prices holding steady is because currently the median price is $230,500 in June.  Homes in that price range usually attract multiple offers and quick sales.  It’s the homes priced over $300,000 that are taking longer to sell.  It would take quite a decline in homes over $300,000 to filter down to that $230,000 range.

Buyers and sellers probably need to pay attention to interest rates.  When we get close to an election the Fed’s usually hold off on making big changes.  This year they’ve indicated they’d like to raise rates and recently they signaled next month may be the month.  In other words, they may not wait until after the election.  This is the time of year we watch the tropics.  It also may be the time of year to watch rates, because rates may affect people’s personal lives.

For every 1% rise in rates it eats away a buyer’s purchasing power by 11%.  A buyer that qualifies to buy a $300,000 home today may only qualify for a $267,000 home tomorrow.  It can happen fast.  When rates move the markets can move even faster.  30 year mortgage rates are best associated with the 10 year note, and that can move faster than whatever the Fed’s set the discount rate at.

This is a problem for buyers.  It also becomes a problem for sellers when the buy pool shrinks.  Instead of receiving 4 offers on a home the seller may only receive one because the other three just went down a price bracket.  This halts upward pricing pressure, which affects sellers.  Many $250,000 sellers are move-up buyers, and if they can’t sell their $250,000 home for as much or quickly, they may not be able to move up to the $400,000 home they were looking at, which puts further pressure on homes priced above $300,000.

It starts a domino effect.  If you’re on the fence, right now is a good time to buy or sell.  Through no fault of your own, you will pay more to buy a home once rates change.  You’ll either buy less home for the same money or you’ll pay more each month for the same loan you could get today.  Most sellers buy another home somewhere when they sell, so waiting for a few extra dollars can cost you tens of thousands on the buying end.

If you’d like to search the MLS, or get an idea of what your home is worth, check out www.LeeCountyOnline.com  If you’d like to talk to us about options, call us at 239-489-4042.

Good luck and Happy House Hunting!

If you’re thinking about selling, be sure to get into our Seller’s Club.  Our Ellis Team Seller’s Club provides more detailed insight exclusively for people who request to receive this information.  Simply call or email us.

September SW Florida Real Estate Market Report

Searchable Buyers Database Helps Sell Homes

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Agents use the SW Florida Multiple Listing Service (MLS) to search for homes for their buyers but what about searching for buyers for agent’s listings?  The Ellis Team has found that having a searchable buyers database helps sell homes.

Searchable Buyers Database Helps Sell Homes
Ellis Team Client Search Screen

There is no MLS for buyers.  That would be weird.  There is one for sellers but it does not include personal information like seller’s name, phone number, email address, search preferences, etc. because nobody would want that kind of information out to the public. The same is true for buyers.  No buyer would want a seller searching and contacting them. And it wouldn’t be just sellers.  You’d have every retail store, financial planner, lender, etc. calling these buyers if that data were out in the public.

There may never be a true MLS for buyers as buyers for the reasons stated above however, we do have a large database of buyers we can search upon when we list new properties.  One of the advantages we offer buyers is our MLS search site is updated every 5 minutes, so they can beat out other buyers to hot new properties.  It’s also consumer friendly, speedy, and easy to use.

Because the buyers benefit so much we’re able to capture crucial search data.  The system will email them property matches if they desire, and they can target exactly what they’re looking for.

Searchable Buyers Database Helps Sell Homes buyer search screen
Buyer Search Screen

Searchable Buyers Database Helps Sell Homes

Sellers often ask us if we have buyers looking for a home like theirs.  The answer is usually yes.  We can go into our database and search for buyers that matches our seller’s criteria.  We spend a lot of money on advertising each month.  We create a lot of buyers.  It’s possible the money we spent last month or 6 months ago has already created a buyer looking for a home just like the one we’re listing.

One of our databases has created about 1,407 leads in the past year.  Let’s say we’re on a listing appointment and the property is worth $250,000.  If I search our database, we currently have 304 leads searching in that $250,000 range.

Let’s say we’re listing a Million dollar property.  I just conducted a search and our database contains 58 people searching for properties.  Our agents can tag buyers, so we have the ability to pin it down to features like golf course or waterfront, or neighborhoods.

Each time we list a property we create marketing designed to find a buyer in that price range.  It does us no good to list a Million dollar home and create $200,000 buyers.  Our marketing never stops working.  Not only are we marketing today for a million dollar buyer, our past marketing may have already created the buyer.  Likewise, just because we didn’t have a $4 Million dollar home for sale in last 6 months doesn’t mean we don’t have some $4 Million buyers waiting for the right property to enter the market.  We create marketing for what we list.  If we list a $70,000 condo we’ll create some $70,000 buyers.

Each week we have a team meeting and we inform our agents the properties we’re listing soon.  Many times we have a buyer waiting for one like that to come to market.  I remember a few years ago we listed a property in Moody River Estates.  The seller asked me if we had buyers for his home.  I answered I don’t know, we could.  I went back to office and sure enough, one of our agents was writing an offer on another property a street over from the one we just listed.  I asked him to hold up and go show our home.  A day later our home was under contract with a buyer we already had.

No agent can promise you they have a buyer.  And even if they did, you don’t know what the buyer will pay or how they will like it.  The goal is to produce many buyers for the home.  If you’d like to check out our site go to www.LeeCountyOnline.com Buyers and sellers love the site.  Or call us at 239-489-4042  We’d love to help you buy or sell your piece of paradise in SW Florida.

Ellis Team Weekend Open Houses

14457 Cypress Chase Ct Fort Myers Florida
Open Sunday 11-2

14457 Cypress Chase Ct Fort Myers, FL 33919

3 Bedroom 3 Baths

Located in South Fort Myers

 

 

 

 

San Carlos Park Open House 3 Bedrooms 2 Baths
Open Sunday 1-4 PM

17225 Johnston Dr, Fort Myers FL 33967

3 Bedrooms 2 Baths Home in San Carlos Park

Call Today-Will sell this weekend

Domino Effect Will Help Real Estate Market

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Today we have some good news to report on how the domino effect will help real estate market here in SW Florida and nationwide.

Domino Effect Will Help Real Estate Market

For years Realtors have complained that financing was not as easy to obtain for condominiums as it is for single family homes.  For various reasons FHA would not lend in most condo projects unless the association jumped through exhaustive and costly hoops.  I’m sure FHA had good intentions and wants to protect consumers and the government, but the hoops were so burdensome and arduous that condos could only be financed by FNMA or Freddie Mac secured loans.

While FNMA has 3-5% down loans, many buyers prefer using FHA financing and were forced to buy single family homes under this program.  This all changed now that H.R. 3700 was signed into law this past week.  More than 140,000 Realtors lobbied Congress in support of this bill and it passed the House and Senate with Unanimous votes.  Imagine getting anything done in Congress with unanimous votes!

Many argue that first time home buyers do well in condominiums because the budgeting for repairs, lawn, maintenance, roofs, etc are often times built-into the condo association fee.  Homeowners are sometimes surprised by unexpected expenses that come with owning your own home.  So this new law will really help spur first time home buyers to buy condos that are often times more affordable than single family homes.

Domino Effect Will Help Real Estate Market

What this legislation does is create a domino effect which could really help the real estate market.  By opening up the condo market to more buyers you free up those current condo owners to sell and buy other things.  And prices could go up as there will be more demand for condos going forward.

Getting more people into home ownership has its advantages, and financing is always key to providing a healthy real estate market and economy.  What really hurt the real estate market and overall economy back in 2006-2011 was banks over-tightening lending practices.

Changes needed to be made because loans like the “Liar Loans” and no documentation loans that President Clinton initiated to open up financing to minorities created a monster and the real estate crisis.  What started with good intentions led to everyone getting free money with no documentation and we all know what followed years later.

Now we have Dodd-Frank which is equally disastrous and overly regulatory and caused many homeowners to not be able to live the American dream.  So wins like H.R. 3700 becoming law loom large and are good for the real estate market and economy.

If it were me I’d repeal Dodd-Frank but you can’t just undo that without having a plan in place.  I’d also undo Obama Care, but again you can’t just undo something without having a better plan to go into place.  Since I’m a nobody my ideas don’t matter. And some would argue they like Obama Care.

Where there seems to be unanimous agreement is in this bill, and to that end we’re all grateful.  FHA’s owner-occupancy requirement has been cut from 50% to 35% and transfer fees will be more tolerated under this new law.  These two new rules alone will open up more condos for financing, and the hoops they must jump through will be lessened.

If you’d like to search for condos in SW Florida, you can do so at www.LeeCountyOnline.com  Or you can call us at 239-489-4042 and our team can help you decide whether a home or condo may be the best choice for you.

Good luck and Happy House Hunting!

We have 2 units for sale in Bella Casa in Fort Myers.  Passing of this legislation could help home values in Bella Casa and other condominium projects across SW Florida.

Find out what your SW Florida home is worth online.  If you’d like a more detailed analysis, please call us and we can help.

Problem With Real Estate Agents Find out what your home is worth

The Problem With Real Estate Agents

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The problem with real estate agents is they are not all the same and it’s hard to tell the difference without really interviewing them. Agents come with varying experience and from differing backgrounds. There is no requirement for a college degree in Florida and it’s one of the few careers you can step into without any training. So what’s a consumer to do?

Problem With Real Estate Agents Find out what your home is worth

The agent you hire does make a difference. Agents with vast experience and marketing can net sellers ten’s of thousands more at the closing table than agents with poor track records. Being locked into a listing agreement with the wrong agent can seem like a lifetime if there is no communication and little activity for your home.

On the buying side, having an agent that works with you is invaluable. This is one reason most buyers do not buy For Sale By Owners. They want their agent advising them on price, inspections, zoning, schools, neighborhoods, etc. If a buyer is going to work directly with an owner they want a huge deal, because they feel like they’re taking a huge risk. The owner knows the home and neighborhood but the buyer doesn’t, so they feel at a disadvantage.

One of the reasons a home owner might sell their own is to save the commission, but the buyer and the seller can’t both save the commission, so it rarely works. Even if they come together on price, the deal rarely closes due to other issues they’re not equipped to handle, like inspections, appraisals, financing, HOA rules, etc.

I’ve seen two separate studies that show For Sale By Owners sell on average for 16% less with than an agent. This is not surprising. An owner desires to sell on their own only until they see the value of paying someone else to do it. When that occurs, it’s a no-brainer.

After that, which agent is the best? Only 4% of all buyers can actually buy right now. Many buyers have to sell something first, so somebody has to solve that issue before they become an actual buyer today. Other buyers don’t qualify for financing right now.

The answer is you need an agent that exposes your home to 100% of the market and can help with these facts about buyers. Imagine if you had an item on e-bay to sell. If there was just one buyer bidding on the item, how much would it sell for? Or, imagine you had 1,000 buyers bidding on that same item. Now how much would it sell for? The answer is, much more than just one buyer.

And this is the difference between finding a buyer and 100% exposure. Since we know only 4% of all lookers can actually buy, we need as much exposure as possible. Not all agents advertise the same. Some agents don’t advertise at all. They employ the 3 P’s. Put a sign up, Place it in MLS, and Pray someone else sells it.

The MLS doesn’t sell homes. Great agents do. If the MLS sold homes, all homes in MLS would sell, and that just doesn’t happen. Sellers need an agent who knows the market, communicates well, advertises extensively, studies changes in the market, and will tell the seller what they need to hear, not what they want to hear.

The market rarely stays steady. It changes every year, every month, and by the week. Buyers need an agent that is familiar with financing, knows the market, and will show them homes that meet their criteria. The bottom line is buyers and sellers both need agents that can listen, communicate, negotiate, and help formulate a plan to accomplish a goal. The agent should have experience and wisdom, or access to it at all times. The Ellis Team at Keller Williams has all of this.

Call us at 239-489-4042 if you’re in the market to buy or sell. If you’d like to get an idea of what your home might sell for, check out www.SWFLhomevalues.com If you’re looking to purchase, check out www.LeeCountyOnline.com

Good luck and Happy House Hunting!

Open House Saturday and Sunday 1-4 PM

Reflection Lakes Open House
Reflection Lakes 4 Bedroom + Den Pool Home on Lake

13925 Bald Cypress Cir

4 Bedrooms + Den Pool Home Lakefront

 

Credit Report Changes Coming in September

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Buyers and sellers may want to tune in because changes are coming to the lending process in September and it will affect home buyers. Sellers tend to say that’s not my problem, but it will be if your buyer no longer qualifies for the loan.

Credit Report Changes Coming

Credit Report Changes Coming

Certain loan programs are going to what they call Trended Credit Reports. Trended credit data is different than a FICO score which captures a particular point in time. Trended data looks at the trend and whether a borrower’s creditworthiness is improving or declining over time.

A buyer may have an excellent FICO score but if their trend is negative as Federated Financial reports says  it could affect their ability to finance that much or the pricing on the loan, which also can affect the total amount financed. Many lenders are up in arms over this change, but it’s not necessarily a bad thing.

For instance, let’s say you charge $1,500/mo on your credit card for everything from groceries, repairs, phone bill, etc. You pay off that $1,500/mo so you have a zero balance each month. Under the current system they see an average balance of $1,500 mo on your credit report. You choose to collect the points on your credit card instead of writing checks but the money remains the same. Under trended credit reporting it just might be that you’re not penalized for charging to your credit card instead of a bunch of online banking payments.

We believe the new reporting will focus on credit utilization scores among other things and what that overall trend looks like, although we don’t know for sure. It’s important to note that this is a FNMA decision. This shouldn’t affect FHA loans.

We often tell buyers, don’t go out and buy a new car just before you close on your home. Buyers get the loan approval to buy their home and think everything is a done deal. What they don’t realize is lenders go back and pull credit again just before the closing and if there is a change they can deny the loan. I’ve seen it happen more times that I care to count. I know agents out there counsel their buyers but for some reason they forget that point.

If you’re considering buying it really helps to talk to a lender first. Sellers won’t entertain your offer unless a pre-approval letter accompanies your offer anyway. You can save a lot of time by knowing what the lender requires. Quite often a buyer needs to just have one thing changed in their financial situation and they’re good to go. Doing it upfront can save your deal and help you to shop in the correct price range.

If you’d like to speak to a lender, give us a call. 239-489-4042 We can recommend some good ones for you and really speed up the process. It doesn’t cost any money to talk to a lender upfront, and it can save you money on inspections and appraisals by knowing the facts upfront. You’ll save time and money.

Buyers are happy to find out they qualify for more now because rates have dropped. You might be surprised at what you can afford, but don’t go buy that new car until after you get the home.

If you’d like to search for your perfect home, go to www.LeeCountyOnline.com It has all the homes and the database is updated every 5 minutes, so you’ll beat out other buyers to hot new listings.

If you have a property to sell, you can call us too. 239-489-4042 Find out why our listings sell fast and for top dollar.

Good luck and Happy House Hunting!

Open House Extravaganza This Weekend

Open Sat 1-4 PM

Bell Tower Park Courtyard Home
Open Saturday 1-4 PM

5693 Kensington Loop

$260,000

 

 

 

 

Open Sunday 1-4 PM

Viridian Pool Home on Lake
Open Sunday 1-4 PM

12407 Arbor View Dr

$485,000

 

Agents Reporting Lower Sales Counts Across Lee County

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This past week we’ve been speaking with agents who have noticed lower sales counts across the county, which begs the question “Is something happening to the local real estate market?”

June’s official numbers won’t be released until a few days after this article is written, so we decided to look at May’s numbers and combine some current data from MLS and a few large real estate companies in SW Florida.

Agents Reporting Lower Sales Counts Across Lee County
May 2016 SW Florida Housing Numbers

Agents Reporting Lower Sales Counts Across Lee County

If you look at May’s data you’ll notice pending inventory is down 12% from last year. New pending sales are down 6.4% while inventory is up 14.1% This chart lends credence to the fact that the number of sales counts are softening.

At Keller Williams our office tracks Listings Sold Volume. The board was down 13.21% in June while our office was up 25.33% That’s a differential of 38.54% I spoke with 2 large RE/MAX offices and they both said they were up about 38% and 50% respectively. I’m not sure if that was sold volume or units, but either way they’re up.

So why are some offices increasing sales while others are obviously losing sales? The answer can be complicated. Perhaps the office had 1 or 2 large sales skewing the volume numbers. Perhaps they sold a chunk of homes to an investor. Or, perhaps their agents are just more tuned in to what’s going on in the market and making adjustments.

Agents Reporting Lower Sales Counts Across Lee County Market Watch
7 Day Market Watch

I pulled a 7 day Market Watch available through our MLS. Price decreases are outpacing new listings. I was excited to see pending sales outpacing new listings as well, although we know not all pending sales will close. You’ll see some sellers giving up by looking at the terminated, expired, and withdrawn counts.

It can be frustrating to bring a property to market and have little to no showing activity. When this happens it tells you that you’ve overshot the market. If your home is priced at market it should receive showings. If your home is way above the market, it’s not really on the market and is shunned by potential home buyers.

Sometimes the sellers believe the market is at one point and the buyers believe it to be at a lower point. When this stand-off occurs, activity lessens. The sellers that want or need to sell react and make a move to find the buyers. When this occurs, a property will sell.

We recently had a property go under contract. We picked a price and had lots of showings. It was priced close enough to where buyers would look at it, but not make an offer. We reduced it once and got even more showings and one low-ball offer. We reduced it a second time and it sold, for much higher than the low-ball offer.

The home initially was priced right where it should be based upon past sales. However, the market rarely stands still. In that price range we noticed a shift in the market. If this seller would have stayed at yesterday’s prices, the home could still be on the market.

You never want to get caught chasing the market down. You want to get ahead of it. People read that prices are up, and they are up 4.7% in May versus last year. That doesn’t tell the whole story. That is median price, and some price ranges are increasing while some are decreasing.

Knowing where your home fits is crucial. Sure, you can interview 5 agents and pick the one who says the highest price. But have you done yourself any favors? If your home sits on the market and 6 months later you’re shaking your head because it hasn’t sold, are you going to be happy you selected the agent with the highest price?

We’d suggest interviewing agents who know the market, will be brutally honest in regards to price, and markets the home in a way to reach the entire market. If you do that, you will have success. If you don’t, you can find that agent the 2nd time around and hope that prices haven’t declined further. If it was priced right the first time, it should have sold. Keep in mind, just because you overprice it today doesn’t mean the market can’t fall further. If it does, you’ll just be chasing the market down.

See Also Business Observer Article on SW Florida Real Estate Market

Always call the Ellis Team at Keller Williams, we’ll help you get your home sold now! 239-489-4042 Find your dream home now!

 

Join us for Open House in Reflection Lakes Saturday July 23 1-4 PM

13925 Bald Cypress Cir

Reflection Lakes Gated Community South Fort Myers
Reflection Lakes 4 Bedroom Pool Home on Lake

 

 

 

 

 

 

Best real estate team SW Florida News Press Readers poll
Ellis Team Voted Best Real Estate Team in SW Florida

Thank you for voting the Ellis Team Best Real Estate Team in SW Florida News Press Readers Poll

Ellis Team Shaking Up Real Estate Industry Once Again

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Back in the mid 90’s we ran an ad in the News Press that said “By the Year 2010 All Real Estate Agents Will Operate the Way We Do” It was forward thinking. We were the first team in SW Florida and probably one of the first in Florida. Today we’re pleased to announce the Ellis Team shaking up real estate industry once again.

Ellis Team Shaking Up Real Estate Industry

We caught a lot of flack for that back in the 90’s from agents because they didn’t see or agree with that vision. Real estate had just never been done that way before. Sure there were some loose knit affiliations where agents teamed up and covered for each other, but not to the extent each person on the team had a specialized area and they owned that part of their job.

Fast forward to 2016. There are many teams here locally and across the country. The benefits to consumers are many. On the listing side quite often the listing agent isn’t the best photographer. They may not be the best person answering multiple phone lines, writing ad copy, and all the various other tasks. What you want is an agent that’s great with people, marketing, and negotiating. All the other stuff can be handled by people who do that best.

And yet, not all agents work as a team. That’s OK for agents doing less than 10-20 deals per year. Once you start doing some volume those tasks add up quickly. At that point if you don’t have an assistant, you are your own assistant, and you have to ask yourself if that’s the best use of your time.

You wouldn’t go to a doctor that greeted you as you came in, asked for your ID card, called your insurance company, took your blood pressure, and all the stuff the receptionist and nurse does. You want a doctor who is tops and only doing what she should be doing, which is evaluating, treating, and diagnosing patients. The same is true with a good real estate agent. You want them doing tasks that will make you, the buyer or seller, money.

Running a team requires managing people, setting up systems, and acquiring leads. It takes money. Converting leads is another thing, and without conversions, it all comes crashing down whether you’re a single agent or a team. Real estate has changed, and agents are learning to adapt.

At the Ellis Team Keller Williams Fort Myers & the Islands we’re all about efficiency. We don’t know everything, but we have learned to listen from the best. We talk to other top teams and trainers throughout the country. We’re experts at creating leads. We have thousands. Sometimes our buyer agents get so busy working with buyers, answering internet leads, newspaper calls, sign calls, referrals, etc. We’ve been looking at ways to free them up to work with more buyers and sellers all the time.

Ellis Team Shaking Up Real Estate Industry Once Again

For this reason, we’re expanding our team to include 2 inside sales agents.  Inside sales agents work with our buyer and sellers leads and nurture them until they’re ready to meet for an appointment. At that time a Realtor on our team meets with them and lists their home or finds them a home to buy.

Inside sales agents can answer questions in minutes because they don’t leave the office. This is better for the consumer because the ball doesn’t get dropped. Imagine thousands of buyers emailing in asking questions like “What are the HOA dues on this particular listing?” Or “can you send me more photos of this home?”

We love to help people and want to in the most efficient way possible. We get people the information they need when they need it.

We want everyone on our team to have a wonderful life, and our customers to be better enriched by the experience.

If you know someone who would make a good Inside Sales Agent, give us a call. We may have a position they never knew existed.

If you’re looking to buy or sell, check out www.LeeCountyOnline.com Or you can call us at 239-489-4042 Happy House Hunting, and let’s shake things up once again!

The Ellis Team Seller’s Club is a big hit, so we put our 1st episode on YouTube.  The Seller’s Club is a private video e-mail each month to our sellers, potential sellers, and For Sale By Owners.  It’s basically for anyone either selling or thinking of selling their real estate in SW Florida. We go in-depth with research and analysis and inform sellers everything they want to know to make informed decisions about their property.  If you’d like to get on this list, simply call us at 239-489-4042 or email us.

Ellis Team Shaking Up Real Estate Industry

Open House Extravaganza- We do open houses differently too. This weekend we’ll have 2 builder model homes on the golf course open in River Hall.

Open Saturday 1-4 pm

River Hall Open House Extravaganza
Builder Model on Golf Course

 3301 Chestnut Grove Dr

Open Sat 1-4 PM

 

 

 

 

 

 

Builder's Model River Hall Open House Extravaganza
River Hall Home on Golf Course

16420 Windsor Way

Open Sat 1-4 PM

 

Could Brexit Benefit Southwest Florida Home Buyers?

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Great Britain’s vote to leave the European Union, also known as Brexit, shook financial markets to the core leaving investors scrambling.  There was a definite flight to quality into US Treasuries as the 10 Yr note yield fell instantly as the vote was announced.  We answer the question, “Could Brexit benefit Southwest Florida home buyers?”

Brexit Benefit Southwest Florida Home Buyers

Could Brexit Benefit Southwest Florida Home Buyers?

The answer is yes, it is already benefiting many borrowers.  Since Brexit rates are down about 1/4% to ½%. This works out to about 6% more purchasing power for the same payment in one week’s time.  In other words, a buyer has two choices.  They can either step up about 6% in purchase price and not have the payment cost them any more, or they can purchase the same amount and spend less per month doing it.

This helps more buyers qualify, so it can help sellers too.  We have a listing in Bella Casa that has Open House Friday 5:30-7:30 and Saturday 5:30-7:30 July 8th and 9th.  It is 3 bedrooms and 2 baths and is listed at $185,000.  Before Brexit we needed a buyer that qualified for the full $185,000.  Today we could find a buyer that qualified for a maximum $174,000 just last week and make that deal happen and it wouldn’t cost the buyer any more.

In the higher price ranges it’s even more dramatic.  Essentially borrowers just got either a financing discount or a purchasing boost for the same money.  The buyer definitely wins, and one could argue sellers do too because now there are more available buyers for their home.

When times are uncertain investors flock to tangible assets or quality.  Good examples of tangible assets are gold and real estate.  Both can fluctuate in value but real estate can be rented out.  It’s hard to do that with gold.  The EU may not be done losing participants either, and if anyone else bows out like Great Britain did it could spell more uncertainty for the markets.

Gold rose and oil fell after Brexit.  Gold was considered a flight to quality while oil fell because people feared a business slowdown.  Sometimes the markets are fueled by consumer confidence while other times they’re fueled by opportunities.

We could have fewer British and European buyers in the US market which could hurt some local markets while at the same time helping many buyers.  Many times there are competing forces at work and so it is difficult for anyone to accurately predict which force wins out and who the winners and losers will actually be.  Just keep in mind there are opportunities in situations like these and the news isn’t always grim.

If you’re thinking about buying in this very low interest rate market we’ve got the website for you.  www.LeeCountyOnline.com  We think you’ll like it because it is updated with all the listings every 5 minutes.  Most of the other sites take days and still don’t always get it right.

Sometimes days is too long.  The best properties go fast.  Timing is critical.  If you’d like to take advantage of this financial situation, give us a call at 239-489-4042 or register on our site.  We can get you in touch with a lender who has rates below 3% as of the time we’re writing this article.

If you’re a seller, we have lots of buyers and may have a buyer that’s looking for a home like yours.  You can call us too.  If we don’t currently have a buyer, we have marketing that attracts buyers.  Give us a call and let’s see if we can get you to your next goal.

Good luck and Happy House Hunting!

Next weekend we’ll feature an Open House Extravaganza, so stay tuned.

 

Welcome to the Ellis Team Seller’s Club.  Each month we inform sellers in Southwest Florida trends and data to make the best decisions.  E-Mail us if you’d like to be included in our Seller’s Club.

SW Florida Real Estate Sales Picking Up

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Back in April we reported sales seemed to be picking up just a bit after a lackluster season. We’re happy to report some encouraging news with SW Florida real estate sales picking up slightly.

SW Florida Real Estate Sales Picking Up Months supply inventory
Months Supply of Inventory June 2016

The trend we saw in April bears out in the statistics. Month’s supply of inventory in all but one price range declined which means there are more sales relative to the amount of inventory on the market. We’ve supplied a chart comparing month’s supply of inventory for single family homes in Lee County Florida in June compared to April 2016. While there is still a large amount of inventory priced $400,000 and up, numbers are looking better.

SW Florida Real Estate Sales Picking Up

Closed sales May 2016 SW Florida Real Estate Sales Picking Up
Closed Sales May 2016

We reported that sales were down about 20% earlier this year; however closed sales in May were just about even with last year’s numbers. While February and March sales were down from last year, May is showing some progress this year.

Brexit is in the news and the jury is still out on its effects on our national and local markets. One boon could be lower rates as we see a global flight to quality to US treasuries. When this happens it drives down mortgage rates which are largely based off the 10 yr note. Lower rates would add buying power to local buyers and create newly qualified buyers into the market. The downside could be a lack of consumer confidence and exports which could cost jobs, so we’ll have to wait and see how this all plays out.

Every circumstance presents a new opportunity, so we’ll be looking for creative ways to market to the opportunities as they present.

New listings are up 10.6% in May, so hopefully the pending sales keep coming and keep that supply of inventory down. Pending inventory fell 12% in May over last year while inventory increased 14.1% in May over last year, so we’ll have to keep our eye on that.

There are so many statistics we research each month that give us a guide to where the market may be headed. It’s worked well in the past and sellers appreciate reviewing all the data when they’re making selling decisions on their home.

This is one of the reasons we’ve decided to start up a Seller’s Club. The Ellis Team Seller’s Club is a group of people who have their home on the market or are considering selling their property and are thirsty for market data. We produce a video going over many charts and analyzing the data. We only have so much room in each of these articles so with the videos we’re able to present much more. All of the data is geared to sellers and what they need to know. If you’re listed with another broker this is not a solicitation to obtain your listing.

If you’re considering putting your home on the market then you definitely want to tune in. Just email me at Brett@topagent.com and ask to be placed in our Seller’s Club and we’ll add you. It’s that simple, and you’ll look at the same data we look at and receive expert analysis of what it all means and how it affects you.

If you’d like to search the MLS like a pro, head on over to www.LeeCountyOnline.com Our database is updated every 5 minutes, so you’ll find hot new properties before other buyers do. If you’d like to list your home now, give us a call. 239-489-4042 We’re easy to talk to and we’re here to help.

Good luck and Happy House Hunting!

July 4th Independence Day Specials

 

SW Florida Real Estate Featured Properties
Olde Hickory Golf Course Home

14381 Hickory Fairway Ct

4 Bedrooms, 3 Baths

 

 

 

 

SW Florida Real Estate Reflection Lakes
Reflection Lakes Pool Home on Lake

13925 Bald Cypress Cir

4 Bedroom, 3 Bath Pool Home on Lake

 

 

 

 

 

 

Whiskey Creek pool home SW Florida Real Estate Fort Myers
Whiskey Creek Pool Home

5668 Jerez Ct

3 Bedrooms, 3 Baths, Oversized Lot

 

 

 

SW Florida Real Estate Viridian Fort Myers
Viridian Pool Home on Lake

12407 Arbor View Dr

4 Bedrooms, 4 Baths, Pool Home Lakefront

 

 

 

SW Florida Real Estate Cape Coral Pool Home
Cape Coral Pool Home

2110 SW 13th St

3 Bedrooms, 3 Baths, 4 lot site

 

 

 

SW Florida Real Estate Bella Casa
Bella Casa Home With Garage

Bella Casa Home Fort Myers

3 Bedrooms, 3 Baths with Garage

 

 

 

SW Florida Real Estate Bella Casa Riviera
Bella Casa Riviera Floor Plan

Bella Casa Riviera Floor Plan

3 Bedrooms, 2 Baths, Community Pool

 

 

 

The Ellis Team Seller’s Club is brought to you by the Ellis Team – Keller Williams Fort Myers & The Islands

What Does $ 1 Million Buy in SW Florida Real Estate Market?

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Now it really gets fun. We’ve been doing a series of articles on what you can buy at various price points, and today we answer the question, what does $ 1 Million buy in SW Florida real estate market?

We concentrated our search on single family homes but there are some nice condos available in SW Florida in all these prices ranges.  None of the listings presented here today are our listings.  In fact, in all four articles so far, none have been.  We’ve been trying to educate readers on what you can buy, so we’ve hand selected some interesting properties.

What Does $ 1 Million Buy in SW Florida Real Estate Market?

1 Million Buy in SW Florida Real Estate Market
Fort Myers Million Dollar Home

In Fort Myers we found a home listed for just under $1 Million.  It is a large 2 story home with over 4,400 square feet of living area.  It is located between McGregor and the River and this pool just really caught our eye.  There are so many great homes located in this area it was hard to choose.  This is a fairly newer home built in 2007 so it was unique.

1 Million Buy in SW Florida Real Estate Market St James City
St James City Million Dollar Home

We found a home in St James City listed for just under $1 Million as well.  It has 3 bedrooms, 2 ½ baths and has gulf access with a boat dock right out your back door.  You can be fishing some of the world’s best fishing spots in minutes.  This home is bay front and has 2 boat lifts.

1 Million Buy in SW Florida Real Estate Market Sanibel Island
Sanibel Island Million Dollar Home

Next we head over to Sanibel Island, home to some of the world’s best shelling.  This home is a 4 bedroom, 2 bath home and has excellent rental income.  You can enjoy this home for yourself on gorgeous Sanibel Island or you can rent it out and receive close to $70,000 income until you’re ready to call it home.  Or you could do both, renting it out and vacationing here.  It is nicely decorated and is furnished.

1 Million Buy in SW Florida Real Estate Market Cape Coral
Cape Coral Million Dollar View

Lastly we found a home in Cape Coral priced just over $1 Million by a few thousand dollars.  Imagine heading out on your boat in this gulf access waterfront home and when you come back after a great day of fishing or boating you can jump right into your gorgeous pool.  That’s living the good life and what SW Florida is all about.  This home features 4 bedrooms plus a den and 3 full baths.  It is over 3,000 square feet of living area.  If you’d like to rent this home you can for $8,000- $10,000 per month.

They say SW Florida sells itself, and it does.  Once people vacation or visit SW Florida they’re hooked, but where do you go to find more information and snoop around all the homes for sale?

Simply go to www.LeeCountyOnline.com and you can search like a Realtor.  The database includes all homes for sale in the MLS and is updated every 5 minutes, so you’ll know about price changes or new listings hitting the market before other buyers.  The key to scoring a great deal is to work with an agent who is knowledgeable about the market and having access to the data.

We provide both for you.  If you have a property to sell, we can help with that too.  Many buyers must sell a property before they can purchase another.  If your property is located in another city, we can find you the best agent in that city.

You can always call us at 239-489-4042 if you’d like to speak with an experienced agent, or search away on our website until you find something that interests you.  Our team is here to help you wherever you are in the process, and on your terms.  Give us a call, you’ll be glad you did.

 

The Ellis Team at Keller Williams Fort Myers & The Islands is hiring agents– Read more and see if you have what it takes.