Gated Community Archives - Fort Myers Real Estate and Homes For Sale

The practice of real estate is going to change in a big way as there are major real estate changes coming August 1.

In the old days, and by old, I mean last week, buyers would work with an agent, and they didn’t have to worry about how the agent was going to be paid. The seller paid for it. Going forward, the seller still may pay it, but what happens upfront is going to change.

Major Real Estate Changes

Going forward the buyer has two choices. The first is to sit down with an agent and hire them to work with for an agreed-upon amount of money. Once there is agreement, the buyer and agent can negotiate to get the seller to pay for it. In the absence of that, buyer will pay the amount owed, or the balance of the amount owed if seller is paying for part of it. Or the buyer can say don’t show me properties unless the seller is going to pay for it.

The other option is to not hire an agent and contact listing brokers directly. Listing brokers are not required to sign a buyer to a buyer agreement on one of their own listed properties. Some buyers will absolutely choose this method as they won’t want to be tied down with anyone.

This second option could get old fast if the buyer is not successful scoring a property. It takes a lot of time to research and call listing agents, attend showings, or attend open houses. Many of these buyers will not have all the required mortgage and insurance approvals needed to move forward on a moment’s notice when they do find a home they like.

The buyers will not necessarily save any money with this second option either because the listing agent will be taking time and doing both ends of the deal or hiring agents to help out. What it will do is relieve buyers from signing a buyer agreement with an agent they don’t know well or trust.

Research Before Signing

Sellers have been signing agreements for years. Before a seller signs an agreement with an agent to sell their home, typically they might research who has a track record of selling homes and interview them to make sure they were a good fit.

Buyers on the other hand worked with the first agent they met and liked. This was probably always a mistake because the first likeable agent might not be the best agent to negotiate your home purchase with. Our advice would be to interview buyer agents the same way a seller would interview listing agents. Ask them key questions about their experience and track record, and what you can expect when you work with them regarding availability, communication, and negotiations. Does your agent have access to key resources like inspectors, lenders, accountants, engineers, CPA’s, lawyers, etc.?

Information is Key

Now more than ever information will be key. Certain fields will be removed from the MLS. Established procedures will be eliminated or redefined. Choosing an agent or a strategy will be paramount in home buying and home selling success. I feel like the new mandatory rules remove transparency and make it harder for consumers to make informed decisions. Removing the fields from MLS will slow things down, but the professionals will rise to help you. Inexperienced agents and less than 100% committed agents will have a tough time, and so will their clients. major real estate changes like this require you to hire the best when buying and selling.

If you’re looking for an experienced team that can help you in the coming days, Always Call the Ellis Team at Keller Williams Realty 239-489-4042 or visit www.LeeCountyOnline.com We’re here to help!

Ellis Team Weekend Open Houses

Traditional sales dominate SW Florida real estate market, but that doesn’t stop buyers asking how they can buy foreclosures and short sales. Every week we get calls from buyers looking for off-market properties and distressed sales.

This tells us a few things. First, they’ve looked at everything available on MLS and have not found anything that meets their criteria. Secondly, these buyers have an expectation that our market is distressed, and they want a deal.

With one glance at the chart, you will see that foreclosures are practically nonexistent in the Lee County single family housing market. Less than .6% of our home sales were distressed in May. We had zero short sales and only 8 foreclosure sales in MLS.

There will always be a few distressed sales in almost any market. The 8 foreclosure sales are negligible statistically. I remember about 70% distressed sales back in 2008-2009. Our market is nothing like that time, for many reasons.

Speculators

Back in the 2005 market we had speculators purchasing properties as fast as they could and flipping to another speculator. There was never an end-user in sight, but that didn’t stop the speculating. I don’t call these people investors because they didn’t follow any of the typical investing strategies. These speculators operated on the “what a bigger fool will pay” theory until the music stopped. It worked for several years, until it didn’t. All they did was finance the overproduction of homes with cheap capital.

Fast forward to today. During the runup from 2020-2022 we had end users in every home. That was true for owners and renters. You could hardly find a home to move into no matter your financial wherewithal.

What hurt this market was the combination of things. Hurricane Ian did not help. Rising interest rates hurt the ability of homebuyers to afford homes at the current prices. Add to that the rising cost of homeowners and flood insurance, and we had a recipe for a strain on affordability. Lastly, some employers have been calling their people back to work at the office. This has led some that moved here because of Covid to move back.

Affordability Strain

Housing inventory is up 82.8% versus last year, but median home prices are only down 6.7%. There is no doubt housing affordability has put a strain on the real estate market, and most is the result of rising interest rates. As the economy slows down, rates may begin to drop. The official forecasts are rates should hold steady in 2024 and perhaps begin to drift lower. In 2025 rates should begin to drift lower. Forecasts range from about ½% to 2%.

Buyers may not want to wait for rates to fall a full 2% for two reasons. One, it may not happen. Secondly, all the other buyers will be jumping back in, and they will be competing with each other. Right now, the seller is on the defensive and wondering when this market is going to turn around. Once rates start declining, the buyer may not have the advantage over sellers like they do today.

MLS Search

The best website to search for properties is www.LeeCountyOnline.com Bookmark this site. Things are changing in the real estate industry, and when the changes hit in August, popular portals like Zillow and Realtor.com may not offer as many tools and properties listed as LeeCountyOnline.com does.

Always Call the Ellis Team at Keller Williams Realty 239-489-4042 with your real estate questions. We are here to answer your questions on the upcoming changes in August as well.

Good luck, and Happy Home Shopping!

Ellis Team Weekend Open Houses

Open House Saturday 12-3 PM

2752 Geary St, Matlacha FL

As Seen on TV Fox 4 Out and About South West Florida

Open House Sunday 12-3 PM

14386 Reflection Lakes Dr, Fort Myers FL

Open House Sunday 12-3 PM

26236 Colony Rd, Bonita Springs FL

The Ellis Team has been hard at work producing some fun real estate marketing videos people would like to watch. Sure, when you’re interested in a specific property you’re going to watch a video on that home, and maybe similar homes.

Many people enjoy market update videos as well, and we’ve got those. One thing we find is that people also want to be entertained. I know I’ve been stuck down the video rabbit-hole watching suggested videos for what seems like hours. The intrigue is you never know what you’re going to see next.

Fun Real Estate Marketing Videos

Our goal is to step up our video marketing game, and we’ve produced some fun videos we think you’ll enjoy. The first video this past week was a suspicious activity report we received in one of Fort Myers neighborhoods. We sent out a reporter to investigate, and I think they found out what the commotion was about.

Another video shows a charming waterfront home in Matlacha just minutes to big water and championship fishing.

The next video shows two Ellis Team agents previewing a new listing for an upcoming open house and what happens next is unbelievable. We won’t spoil the ending, so let’s just say everyone is surprised, even our two agents. They’d never seen or experienced anything like it, and you’ll get to see it for yourself.

Of course, we have some bloopers, but you’ll have to wait for those. We think this past week’s videos will be entertaining enough, and we can’t wait to bring you some bloopers soon enough.

Where to View

How can you view these videos? We have several ways.

YouTube www.youtube.com/TopAgent

Facebook www.facebook.com/ellisteam

Instagram ellis_team-fl

We don’t always post the same videos on each service, but this week we plan to. I used to think the best teachers were the ones that made class interesting. We feel the same way about video. Our team strives to make fun real estate marketing videos because we like to have fun, and it shows. We also love to inform.

If you’ve got questions, chances are we’ve got a video that may help. Of course, the videos are no substitute for speaking with Sande, Brett, or a member of our team. We enjoy dealing with people, and we know sometimes people want answers without having to speak to someone.

Between our real estate video, our online property valuation tool, our MLS property search www.LeeCountyOnline.com, and our Blog Blog.TopAgent.com where we have thousands of articles, we think you can find the answers you’re looking for. And if you’d like to speak with us, we’d be even happier.

When the time comes to buy or sell real estate in SW Florida, or anywhere in the country, we hope you’ll think of us. Simple call us at 239-310-6500 When you just want to search on your own for homes or advice, we’ve got you covered there too.

Big Changes Coming

We’ve got some big changes coming in the real estate industry. Many people don’t know that they will have to hire a real estate agent and enter into an agreement with an agent before seeing homes. These changes are coming in the next month, and they will not be optional. There are a few exceptions, and we plan to produce some videos explaining the new rules, the new forms that will be required, and the few exceptions. August 17^th is the absolute deadline, but some MLS changes will occur on August 1^st.

Knowledge and Experience will matter now more than ever before. Don’t settle for a real estate agent. Hire a real estate professional who knows how to work in the new environment. Some buyers and sellers are going to be very happy, and some will be frustrated. The agent you hire will make all the difference.

Good Luck, and Happy House Hunting!

Ellis Team Weekend Open Houses

Open House Saturday 12-3 PM

10813 Dennington Rd Fort Myers, FL 33913

Open House Sunday 12-3 PM

5407 Parker Dr Fort Myers, FL 33919

Lee County single family home seller price reductions averaged 3.31% in the past 9 weeks. The last 7 days in Lee County saw 797 price reductions which was the highest number since April 23^rd.

Home Seller Price Reductions

Last week’s home seller price reductions averaged 2.97%. This means that sellers on average are reducing the price of their home by around 3% in hopes of finding the correct price for their home. The Southwest Florida real estate market has been rebalancing itself since June 7^th, 2022. That’s the official date single family home inventory crossed over the line and surpassed home demand. Since that date, we knew the upward price pressure was over.

The Ellis Team has a chart that tracks the difference between weekly housing supply and demand. The gap narrowed slightly this past week, but that is because there were some expired listings that hit the market June 1^st.

Current Market Index

The real number we look at that accurately predicts home prices, and the future direction of the housing market is the Ellis Team Current Market Index. That number increased slightly this past week and stands at Feb 20^th levels. We’ll be looking at this number closely in the coming weeks as this should tell us what kind of summer we’re likely to have.

12.26% of listed homes reduced their price last week. This number is back to the numbers we saw in April as homeowners tried to unload their homes before the end of season. To put it in perspective, the week before number was 8.85%. More home sellers reduced their price last week than the week before, but the average reduction fell to 2.97% from 3.09%

This tells us sellers are pulling the trigger faster trying to figure out where the buyers are for their home. Back in 2022 sellers believed the market was still improving when it wasn’t. Today most sellers realize the market we are in, and the ones who act accordingly and reposition their home sooner are winning the game. Those that react later end up taking less for their home later. Some price correctly the first time and never need a price reduction.

Home Selling Chart

We have a chart that shows the cost of overpricing a home in a shifting market, and the cost of reacting slowly to market changes. We show this chart on listing presentations so our sellers can make the best decisions for their home and can quickly analyze new data as it becomes available after listing. In this way, clients have an inside track on where the market is going and can make decisions that help maximize their home sale price.

Goals

What are your real estate goals? Some people get fixated on how much they are making or losing on one single transaction and forget about what’s important about the move they wish to make. At the Ellis Team, we are not here to make decisions for you. We do not push you or sell you to do anything. We may ask some clarifying questions so we can match our intensity with yours. Some sellers need to sell and want to maximize the amount they receive at closing. Others do not need to sell and are testing the market. If the market pays them a premium, they might consider selling.

It’s best to talk about your situation and be honest with your Realtor. A good Realtor can only help you when they know what is most important to you, and you work together as a team. If you’d like to talk with a team that cares and won’t try to sell you on what you should do, give Sande Ellis or Brett Ellis a call at 239-310-6500. We’re here to help. Or visit www.SWFLhomevalues.com to get a Free online estimate of your home’s value.

Good luck, and Happy Selling!

Ellis Team Weekend Open Houses

Open House Saturday 12-3 PM

Open House Sunday 12-3 PM

Sellers beware of our creative financing red flag alert. We have seen more creative financing offers in 2024 than any year I can remember, and we’re only 5 months into the year.

The scary thing is, many of these offers occur before the seller speaks with an attorney or their real estate agent, and they are taking some of these offers. These investor/wholesalers are not required to be licensed, so they can offer you anything they like. It is up to you to determine if it is legal and meets the terms of your existing mortgage.

An inexperienced real estate agent might fall for some of these scams. The calls I’ve received sound convincing, until you understand the mortgage clauses and how they work. The wholesaler will argue with us that we don’t know what we’re talking about and ask how have they been able to successfully do this in Florida many other times. Just because they’ve been done it before doesn’t mean it’s a good deal for a seller.

Creative Financing Red Flag Alert

Most mortgages contain a due on sale clause. This means that upon sale, the mortgage must be satisfied, or it will be called due and payable. The exceptions to this tend to be a divorce, separation, or inheritance. Selling to a third party would trigger this clause.

Subject To

The wholesaler wants to assume the loan without going through a pre-qualification process to assume it. In other words, they will not be on the hook for that loan if they do not pay. Most loans are not assumable anyway, but if one is, the wholesaler is not asking to assume it. They want to purchase it subject to. The buyer would agree to pay your mortgage company, and have the deed transferred into their name. So now you still have a debt against you in your name, and no property. As the seller you may not have the right to foreclose if they choose not to pay your loan in the future. Good deal for them, bad deal for you.

Crazy Offers

We’ve seen some crazy offers. Some are 50-70% of value. Others are 100% of list price, but you turn your property over to them and let them market or lease your home. Who knows who would pay the mortgage. Still other offers include an assignable contract with the right to market your home. In this case, you agree to an amount less than market value, and you agree to stop marketing or offering it for sale. They attempt to sell to somebody for a higher price and keep the difference.

As a seller, why wouldn’t you market the property and keep the difference?

Direct to Sellers

If they can reach a seller before they list with an agent, they know they have a much greater chance of convincing the seller this is all on the up & up. I called an attorney on one offer who said check with the current mortgage and see if they would allow a subject to. The answer came back, No! The loan company would call that loan due and payable, and the seller would be out a house and have a foreclosure on their record.

Creative Marketing

The wholesalers get creative with their marketing. They promise to buy your home with no commissions, and they’ll pay your closing costs. You can move out and have your home sold in 30 days without showing it. It sounds like a pretty good deal, until you realize it could ruin your life. In a best-case scenario, if they do perform, you could lose tens of thousands of dollars.

We’re not saying every offer is a scam. Each offer should be evaluated by an attorney and verified with your mortgage company. What we are saying is be careful. Sometimes the easy button makes your life complicated.

Thinking of Selling?

Always Call the Ellis Team at Keller Williams Realty 239-310-6500. Protect your asset and maximize your home sale. Our marketing is the key to selling for Top Dollar and Fast! Our integrity and honesty are the keys to making sure your sale is safe.

Good luck, and Happy Selling!

View Our Newest Listing

Bridgetown at the Plantation

10831 Denning Rd

We’ve all seen the TV ads, postcards, billboard signs, social media posts, etc. . Get a guaranteed offer on your home. You would think from all the advertisements this is a popular option.

iBuyer

The reality is nationwide only 1.3% of all home sales were purchased in this fashion. It is called iBuyer, which stands for instant buyer, and many companies and some agents have offered it. Why isn’t the iBuyer concept more popular?

Some agents use iBuyer as a listing lead source. They really do not want to purchase your home, but it gets sellers to make the call. Sellers are naturally curious what they can sell a home for with no hassles. It isn’t until they receive the instant price that they are turned off, but the agent is there and can offer them a better solution. The agent also has a full-value program whereby they list the home on the open market and fetch a much better price. If it doesn’t sell, the seller always has the fallback option of the lower instant offer.

Keep in mind, the agent may never wish to buy the home. They use this as a listing lead source to get in the door. And, if they ever do have to buy a home, for darned sure they want to make money off it. So, who loses? Typically, the seller. The seller may be so worn down after a lengthy listing process that they agree to take the lower instant offer. In fact, they might be convinced that the market was never as high as they believed and the instant offer is the fair market value, which may not be true.

Guaranteed Offer on Your Home is a Lead Generation Tactic

I know of an agent in another state that has offered this program. I asked him how many homes he has bought, and he said none. The program is a listing lead generation program.

True iBuyers wish to purchase your home at a discount and sell it for more money in hopes of making a profit. Generally, the home must meet certain parameters. iBuyers like homes that are in good condition and have established neighborhood data. They like homes to be in certain sellable price ranges, usually less that $500-$600k, and not require much remodeling or repairs. They are similar to flippers, except some flippers are willing to remodel and improve the home if they can buy it right.

A Better Faster Way

Many sellers do not know that there may be a better option for them. We became aware of a system that attracts top dollar for homes and sells the home in 8 days, so the amount of time showing is limited. One thing sellers do not like is having their home on the market for months and keeping their home show-ready all that time. Plus, the longer a home sits on the market the more buyers wonder what is wrong with it.

The Ellis Team invested time and money learning this new system, and so far the results have been amazing. We used the new system on 4 listings and 3 out of the 4 indeed sold within 8 days or so. Two sold at full price or better, and the third was close but had significant hurricane damage so the price was adjusted. The 4^th is close to selling as well but has gone over the 8 days. This is significant because in each case the seller has done better than the market. Listing inventory is growing in SW Florida and traditionally marketed homes aren’t receiving multiple offers like they were last year. Many of our listings using this new system are receiving multiple offers.

If you are thinking of selling, give Sande or Brett at call at 239-310-6500. We’d love to sit down with you and show you how you can maximize your home sale and do it quickly. We do have investors that are buying homes instantly. If an instant sale is your thing, we can look at that. The reality is, we can probably net you more money and have a fast sale. Call us and we’ll talk.

Good luck and happy selling!

Coming Soon Listing in Eagle Reserve

4732 Imperial Eagle Dr

4 Bed, 3 Bath Pool Home on the Lake-Gated Community

Inflation may help home buyers in the long run. Here is why. Currently home buyers can borrow right now at less than the cost of inflation.

Typically, the Fed wishes to raise interest rates higher than the cost of inflation to help lower inflation. Right now, a borrower can get a 30-year loan in the low 5% range. Inflation has been raging at over 9%. That’s almost a 4 percent spread between the cost of borrowing and inflation.

Inflation May Help Home Buyers

Secondly, we know that real estate appreciates long term at higher than the cost of inflation. See our article back in May titled “Housing Best Hedge Against Inflation in Uncertain Times”

If housing appreciates faster than inflation, and you can borrow currently at less than the cost of inflation, it makes sense to buy what you can today. This is a great long-term strategy. Unfortunately, most people worry about the short-term. Rising inflation hurts the economy and purchasing power, and this leads to pain in the short-term. The Fed’s mission is to quell demand, and that is true for all spending.

Housing can be hurt in the short-term and this can put negative pricing pressure on homes. Home prices could come down some, but keep in mind we have a shortage of homes being built, and that is getting worse because builders are slowing down building in the middle of a recession. Long-term it will be very hard to keep housing prices down because the demand will be there when interest rate pressure eases.

Risky Strategy

Some buyers will try to time the market for when home prices fall. The problem with this strategy is if home prices do fall some, interest rates could also rise, which will negate all benefits of waiting. Higher borrowing costs can outweigh any potential price savings. Because borrowing rates are far below inflation, now is a good time to jump on that rate.

We are still seeing many buyers moving to Florida. We are also seeing some buyers moving out of Florida as their employers call them back into work. Remote work has been good for Florida real estate, but that party is ending for some companies.

What will be fascinating to watch will be how many companies decide to relocate to Florida in the coming years. On a regular basis we hear of more and more companies making the move to Florida. While companies may call workers back to the office, more of those offices could be in Florida in the future.

Inflation is hard on everyone. To tamp it down, the Fed is forced to do some awful things. Sadly. Doing nothing is worse than cracking down on inflation, so something must be done. We believe lowering the M2 money supply would do far better than simply raising rates, but this is where we are.

The labor market is showing signs of weakness going forward. Once this occurs, the other obstacle will be the price of oil. Many believe oil could rebound to $150/barrel. This will not help inflation if this occurs.

Inflation adds to the cost of everything, so one day when construction does pick up again, presumably it will be at higher prices due to higher costs. Some commodities like lumber are decreasing, but petroleum goes into so many things like clothing, roofing, roads, etc. The next 30-90 days will be pivotal for oil prices, so keep an eye on that.

Smart Money on Real Estate

The bottom line is, with all the uncertainty out there, real estate may not be a bad bet. Sure, home prices could rise or fall. In the long-term, those that own real estate are far better off than those who don’t. Currently you can leverage today’s rates to increase long-term value.

People always talk about borrowing costs in relation to today’s purchasing power. It might be time to think about long-term purchasing power and how to accomplish that. This moment in time might be that window.

Search the MLS like a Realtor at www.LeeCountyOnline.com Check your home’s property value at www.SWFLhomevalues.com or call Brett or Sande at 239-310-6500

Good luck and Happy Selling!

Ellis Team Weekend Open Houses

Open House Saturday 12-3 PM

206 SE 1st Pl Cape Coral Florida

Open House Sunday 12-3 PM

12157 Lucca St Unit 201 Fort Myers Florida

Sunday Open House — 12157 Lucca St Unit 201

Currently we have two types of sellers in today’s real estate market. We will go in depth on both and explain how each outlook can impact both the buyers’ and sellers’ future.

Fearful of Market

These buyers respect the market and analyze facts. They tend to be motivated to get top dollar and do not want to miss this market. They realize the best may be behind us and they get that. Sellers in this category don’t want to be left holding the bag if the market drops further. They have watched inventory more than double since February and on its way to tripling by July at the current pace. These sellers know it is more fun to sell when there are fewer listings to compete with and they do not like that more competition is coming.

Interest rates have risen which has priced many buyers out of their current price range. Suddenly the homes in their new lower price range do not look as attractive as what they looked at before and they lose motivation. Many buyers have checked out and given up on the market at these prices. If they were on the fence with pricing, as many were, rising rates through them over the top.

Want the Price From 3 Months Ago

The second type of buyer wants the prices from 3 months ago, and some say throw in another $30,000 for good measure because those prices back then weren’t quite enough. These sellers lack motivation and want what they want without regard to market conditions. A few of these sellers still might get their price if their home is unique or offers something of value not readily available. Certain waterfront homes, or newer or updated homes might fetch top dollar plus simply because we still have a decent market, and no like kind inventory is competing with them. As time goes on this will become more difficult once the market catches on and headlines change.

Headlines still compare year over year pricing, but we believe that will change in the coming months. We study both the year over year and the month over month statistics. It is possible we will see the month over month sales start to level off with the rising rates, and later it will show up in the year over year sales.

Because prices went up so much year over year late in 2021 and early 2022, we may not see the trend until many months from now, but the trend can still be there. Therefore, we will be studying the month over month numbers to get a quick blink on what the market is doing in real-time.

We already see inventory rising, less offers per property, and less cash offers. The financial markets are in turmoil, and it has worked its way into the real estate market. Consumers are not confident in the economy, and it is impacting buying decisions.

Thinking of Selling?

If you are thinking of selling, ask yourself which type of seller are you. Do you want to sell sooner before other sellers enter the market, or do you believe the market is still on fire like back in March? Marketing becomes more important in a changing market. When we meet, we can discuss the latest Ellis Team Current Market Index and what that means going forward. Remember, we developed this index that accurately predicts the forward direction of the market before it shows up in the numbers.

We are happy to share this with each of our clients. Call Sande or Brett Ellis 239-310-6500 and we can discuss your options or visit www.SWFLhomevalues.com to get an instant value of your property with a confidence score. The higher the confidence score, the more accurate the valuation. If your property receives 85 or better, the system is confident in your number. You can watch your value change each month.

Good luck and Happy Home Selling! And please, vote for us as Best Real Estate Team in the Fort Myers and Cape Coral News Press polls.

Ellis Team Weekend Open Houses

Open House Sunday 12-3 PM

3951 Spotted Eagle Way

Open House Sunday 12-3 PM

2007 SW 30th Ter

Two Types of Sellers

Like Southwest Florida, the United States housing market has fared very well in 2020. A robust economy pre covid-19 and low interest rates are two factors that have fueled the real estate market locally and nationally.

We like to analyze data that may affect the market now or in the future. When looking at national unemployment numbers we see that unemployment is falling fast and steadily from its peak in April. The last time we saw double digit unemployment was 2009 and it took 4 years to fall just 2.5%.

We know that our current unemployment rates were forced by the Coronavirus outbreak and was precipitated by forced shutdowns. It is not surprising that we are rebounding so fast and steadily., and yet we know that anyone who lost their job probably lost their ability to pay for housing for any length of time. Thank goodness we had a good economy going into this thing. Imagine how tough this would have been financially back in 2009.

Secondly, we like to look at who was most affected by job loss, as that may leave clues as to what is ahead for the United States housing market. The hardest hit segment is the 24 and under segment with current unemployment at 14.1% They make up 3.0% of all home sales in the United States housing market.

The 25-34 age group has 9.7% unemployment and make up about 25% of all home sales in the United States. Lastly, we see the 35+ group with 6.8% unemployment. They make up 72% of all United States housing market home sales.

Home Sales are Strong

This might explain why home sales have been so strong. The majority of home buyers have been the least affected by unemployment. Low interest rates have helped offset any losses by affected home buyers. Still, 8.4% unemployment and rising home sales may not be sustainable forever. The good news is unemployment should not stay at 8.4% as those numbers are declining rapidly.

We plan to watch these numbers as they should leave clues about what is ahead for the United States housing market. One potential scenario is it could hold back move-up buyers. The 25-34 age group tends to be first time home buyers, and if a significant number hold off purchasing their first home it could impact down the road some move-up buyers who are ready to make their next move.

If the economy keeps improving and we get the service sector back to work, this should all work out. Question marks remain how the travel and tourism segments will fare and people’s willingness to travel until covid-19 is under control. Optimism in the vaccine and treatment fronts abound and this could help that segment recover sooner if therapeutics or prevention pans out.

Florida Looking Good for the Future

While the United States housing market may max out at some point until the economy recovers, Florida is looking rather good as many from out of state have found Florida desirable. Florida is a net migration state from other states, so we may buck the trend if the national United States housing market maxes out someday.

At last check Lee County single family home inventory is down to 2.36 months supply of homes on the market. Buyers must be quick and decisive to score a home in this market. Sellers must be wise and patient, making sure they select the best offer for them, not necessarily the first offer that tried to box them into a quick decision. This is where experienced agents come in.

Experienced buyer agents know how to make your offer as strong as possible. Looking at it from the seller’s eyes is extremely helpful now, and therefore experience matters.

Sellers need experience now more than ever, so be careful trusting your home sale to an agent with little to no listing experience. If you would like to speak to Brett or Sande Ellis about the process, we’re available. Simply call 239-489-4042 Ext 4, or visit www.SWFLhomevalues.com to get a Free estimate of your home’s value.

Good luck and Happy House Hunting!

See last week’s article “Florida Real Estate Demand Heats Up From High Tax State Residents”

Ellis Team Weekend Open Houses

Open House Saturday 12-3 PM

1453 Mandel Rd

6414 Royal Woods Dr

Open House Sunday 1-4 PM

7706 Bay Lake Dr

You’ve heard the movie quote “Build it and they will come” from Field of Dreams. The saying for the SW Florida real estate market is price at market value and buyers will come.

Pending sales were up 2.2% in June which should lead to some nice closing numbers going forward. However, if you look at the pricing trends for the past few years, you will notice prices have not moved much. Every year around May or June home prices are lower, primarily because the larger sales happen in season. 2020 was different because season was interrupted by covid-19 and we were under a stay-at-home order in April.

Price at Market Value and Buyers Will Come

What is selling today is pretty much anything that is priced correctly. We are selling low, middle, and high-end homes. The key is, buyers are looking for housing amongst low inventory, but they don’t want to overpay. A real estate property buyer never wants to overpay, and sometimes it seems like they must in low inventory markets. We do think there has been some upward price pressure, but we are not seeing it yet in the overall numbers. We may see it in the June or July closings when those numbers are released.

Sellers must weigh to counterbalancing ideas. One is you have got a hot commodity in a lower inventory market. The other is you don’t want to be greedy and miss this market. Inevitably some sellers miss a seller’s market because they get too greedy and think the hot market conditions are going to last forever. These sellers always say, “I wish we had that hot market back” when they own their home 4 years later but wished they had sold 4 years ago.

We can sell a home in a hot, warm, or cold market. The fact is some sellers succeed while others fail to sell even in the hottest of markets. It is always nice to sell in a hot market, and it stinks to miss it because you thought it was going to go even higher. It’s happened before, and it will happen again. The question is, is it going to happen to you?

Market Where the Buyers Are

The other key ingredient is knowing who your market is and knowing how to reach them. We’ve had great success with out of state buyers, so we’ve marketed out of state. You have to go where the buyers are, and the Ellis Team knows how to do that.

Our listing inventory has shrunk because we have sold most of it. Sure, we have new listings coming in all the time, but not as many as we are used to marketing. If you have a property to sell, you might want to give Brett or Sande Ellis a call. 239-489-4042 Ext 4. We have over 3 decades experience marketing in changing markets, and we’re definitely experts at reaching buyers where they are.

The Ellis Team has been voted Best in Real Estate for 5 straight years in the News Press Reader’s poll, and that does not happen by accident. We’d like to sit down and discuss your goals and see if we can make your goals a reality. It all starts with an idea. Some ideas are available right now, especially since rates are so low. Chances are you might qualify for more home for less monthly payment than you have right now. Other ideas might take some planning, but with expert help we can put your ideas into motion and make that next step a reality much sooner for you.

Curious About Selling?

If you are simply curious about your home’s value. Check out www.SWFLhomevalues.com You can check on your home’s value without having an agent out to your home. This preliminary step might help get the wheels turning for you. Of course, Brett and Sande are just a phone call away if you need us.

Good Luck, and Happy Selling! Call us if you need us 239-489-4042 Ext 4

See last week’s article “Advantage Southwest Florida Sellers as Sales Outpace New Listings”

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