Golf Course Property Archives - Fort Myers Real Estate and Homes For Sale

According to william pitt sotheby’s SW Florida home appreciation rate intensified beginning in September of 2020. The official average single family home price in SW Florida was $391,168 and by February 2021 it rose to $486,406. That is a 24.35% gain in just 5 months. It was slightly higher in January.

The median home sales price was $295,000 in September and rose to $329,950. That is a 11.85% price gain in just 5 months. For the year, average home price gains were 32.3% while the median was up 22.2%. The SW Florida home appreciation rate is very high.

As you can see, the average was up 32.3% but 24.35% of that all happened since September. Median prices were up 22.2% in the past 12 months, with 11.85% of that being in the last 5 months.

We have been talking a lot about falling inventory levels, and at last check inventory has fallen yet again to the lowest level we have seen in decades. Demand is strong which is causing prices to rise. As prices rise, affordability shrinks. Back in early March we were reporting how home affordability was near an all-time high nationally. That story is available on our blog https://blog.topagent.com In fact, all our articles are available on the blog dating back years. The blog is a great way to keep up with how our market is doing over time.

Today home affordability is shrinking for two reasons. Prices have continued to climb, and interest rates have risen. Rates earlier this year were around 2.75%. Today they are about a half percentage point higher. Rising rates are like a hidden tax borrowers must pay. It raises the cost of buying a home, and you do not really get anything for it. When you purchase an upgrade for a home you at least get something for it. Not so with rising rates.

Will rising rates be the headwind that stops the real estate market in its tracks? We don’t think so, at least not in Florida. It does take some fuel from the fire though. Affordability caps a market, so it can only appreciate so far unless you have a secondary home market where wages don’t enter into the equation as much.

Florida is blessed in that all kinds of people want to live here. We have primary workers, remote workers, secondary homes, retirement homes, investment homes, etc. Demand is strong from all segments, and people are flocking to the area and escaping other areas.

We see demand remaining strong in Florida, but rising prices and rising rates do put pressure on home buyers. Many buyers will be forced to settle for a home they do not love, but happy to be in a location they prefer over where they came from. This may be a case where a buyer buys what they can afford now and rides the wave, propelling them to their dream home later.

In an instant gratification world people like to get what they want now. Historically people bought what they can afford and work their way up the ladder to what they liked later. We may be returning to that model.

Many people are stunned to find out what their home is worth today. If you have been contemplating a sale, you should call Brett or Sande Ellis 239-310-6500. For those of you that have not thought about selling, let me ask you a question?

At what price would you sell your home? What number would make you move? When you come up with that number, call Sande or Brett. Perhaps we already have a buyer in our database looking for a home like yours. We might be able to make that Make Me Move number work for you. Call us 239-310-6500.

Good luck and Happy Easter and Happy Passover!

Check out 3 New Hot Listings This Week!

16613 Panther Paw Ct

Ellis Team Listing in the Forest Country Club — New Listing in the Forest

9854 Wildginger Dr

South Pointe South New Listing by the Ellis Team — New Listing in South Pointe South

15820 Portofino Springs Blvd Unit 101

Villa Medici Townhome Full of Upgrades — New listing in Villa Medici full of upgrades by the Ellis Team at Keller Williams Realty

The latest news release from Florida Realtors show Lee County Florida home sales down 6.8% in April but still up from 2016 and 2017 levels. We are seeing increasing inventory and time on the market, and home prices are flat. Total dollar volume of sales was down 12.3%, so we’re definitely experiencing a shifting market.

Lee County Florida April Home Sales Down 6.8% — Lee County Florida April 2019 Home Sales Down 6.8%

How you look at the market might just depend on your expectations. If you look at it over the last 4 years, this is the 2^nd highest rated market. You can also look at it as down versus last year, and the fundamentals propelling the market are down as well.

So where do we go from here? A lot of that will depend on the economy, interest rates, and consumer sentiment. Right now, consumer confidence is fairly strong. Interest rates have declined, and the economy is doing well. The wild cards right now are the trade wars and their effects on the overall economy moving forward.

Trade between Mexico and Canada has a chance at improving significantly depending on if congress passes the latest revision to NAFTA. Trade with China has the potential to increase drastically or go South in a hurry. Long term it’s in our best interests to hold tight, but there is pressure on farmers and retail to wrap it up sooner rather than later. There could be long-term winners and short-term losers in that deal.

We don’t control what happens in the future. What we know is many want to buy here, and many want to sell. As in any market, the trick is pricing homes at today’s market and then marketing the home so as many prospects as possible see it.

One of the best websites to search for properties is www.LeeCountyOnline.com It’s great because it’s updated in real-time and includes all the listings. Additionally, there are neighborhood market reports, so buyers and sellers can get an idea of what’s going on at the neighborhood level too.

Memorial Day weekend is a great weekend to enjoy the outdoors. It’s going to be hot. Perhaps you’re looking to purchase a home with a big back yard so you can entertain friends and family, play games, and enjoy some BBQ on the grill. Perhaps you’re looking for a pool home in this hot weather. Or you’re looking for a waterfront home or condo so you can go out on the boat right from your back yard. We’ve got it all on our website.

And if you’re looking to sell, we can give you a free online estimate of your home’s value. Simply go to www.SWFLhomevaues.com and it will show you instantly. Or call Brett or Sande Ellis 239-489-4042 Ext 4 Many buyers need to sell their home first, and that’s where we can help. We can time it, so we sell your home and find you a property to purchase as well. All this takes coordination with the lender, title company, and the next home you’re purchasing. We handle all the details for you so you can enjoy the process.

So, this weekend go out and enjoy the outdoors. When you’ve had enough sun and heat, check out our websites and search for the next home that will meet your needs better. We’ve even got boat clubs we can recommend, which might save you some money. Some buyers elect to go this route and not buy a waterfront home and still enjoy the fabulous boating we have here in SW Florida. Others want that boat right at their house. Either way, we can help.

Stay safe, enjoy the weekend, and Happy House Hunting!

Ellis Team Weekend Open Houses

Open House Saturday 1-4 PM

1742 Ardmore Rd

$273,240

Open House Sunday 12-3 PM

3681 Gloxinia Dr

$225,000

Open House Sunday 1-4 PM

914 El Dorado Pkwy E

$925,000

Open House Sunday 1-4 PM

14528 Aeries Way

$450,000

Most people know that you need decent credit to buy cars, homes, or things on credit cards. Not everybody knows good credit helps renters and buyers.

The first thing that happens when you purchase a home is the lender pulls up your credit report. If it meets certain criteria, you’re credit approved on the spot. FNMA and Freddie Mac have direct underwriting standards, and if you fall within those standards you’re basically approved. There is far less documentation needed by the underwriter in these cases.

Some people look for rentals because they haven’t saved the down payment for a home, or they don’t have the credit necessary because events have happened in their life. Other people just make bad choices with credit and have low scores to show for it.

Good Credit Helps Renters and Buyers

Regardless of the reason, good credit can help renters too. Most landlords do credit and criminal background checks before renting. Increasingly, condo and homeowner associations do the same before approving a tenant in an association. Even insurance companies are using credit reports to determine eligibility and rates for insurance. Like it or not, landlords, banks, and financial institutions have found that credit is an excellent way to judge risk and future behavior.

Whether renting or buying, good credit increases your chance of getting approved. Good credit also helps with the terms of the deal too. For instance, better credit means a better rate when borrowing. It can also mean savings on rent and deposits as well.

Utility companies sometimes waive deposits for people with good credit. This can add up, especially if you need water, sewer, electric, cable etc. If the landlord charges first month’s rent, last month’s rent, and a security deposit, and the utility companies charge deposits, it can get very expensive to move. Having good credit can help you negotiate all these things.

When shopping for a mortgage, it pays to shop around. Some of the bigger banks have what they call overlays. Basically, they are extra requirements they place on borrowers over and above basic standards. They do this because their institution is being extra cautious. Perhaps they’ve had to buy back faulty loans in the past, or they’re worried about their standing with the CFPB (Consumer Financial Protection Bureau). Whatever the reason, you don’t need extra hoops to jump through to get a loan.

We Can Recommend a Lender

We know lenders that do not have extra overlays. This will save you time and worry when applying for a mortgage. Our parent company just came out with a new program that offers a low rate, and some fantastic benefits. In addition to the low rate, borrower pays no origination fees, no underwriting fees, zero processing fees, and gets $1,000 closing credit. This is a significant savings to a buyer.

So, what’s the catch? To get all this, a buyer must either work with an agent from our company or buy one of our company’s listings. Essentially, they’re forgoing profit to help our sellers and our buyers. Whatever the reason behind it, I like it.

We’ve shared with you a great way to save some serious money. The other way to save is to improve your credit. If you’d like to talk to a loan officer and see where you stand, call us at 239-489-4042 and we’ll put you in touch with someone. Some buyers are surprised to find out they qualify now!

Other buyers have work to do. It’s frustrating to find a home only to discover you can’t buy now. We’d rather identify potential issues and begin working on them now, so we can find you a home you can purchase. Many credit fixes can be done in 6 months. Other fixes might take a year, so the earlier you identify and fix the better.

If you’d like to search the MLS like a pro, visit www.LeeCountyOnline.com To sell your home, call Brett or Sande at 239-489-4042 Ext 4

Happy St Patty’s Day. We look forward to saving you some of that green stuff!

Ellis Team Weekend Open Houses

Open House Saturday 1-4 PM

16804 Colony Lakes Blvd

Colony Lakes

Open House Saturday 1-4 PM

12011 Champions Green Way Unit 706

Gateway Golf & Country Club

Open House Saturday 1-4 PM

17752 Indian Island Ct

Island Park Village

Open House Saturday 1-4 PM

5691 Kensington Loop

Bell Tower Park Open House

Rising interest rates costs buyers money when purchasing a home. It either increases their payment, or it decreases the amount of purchase to maintain the same payment. Buyers have been warned for some time that rates would go up, and now they’re listening. Buyers flock to beat 2018 interest rate increases in 2018.

If you want to see where rates are headed, one indicator we look at is oil prices. As the economy improves, countries consume more oil. As oil consumption increases, it raises the cost of oil. Simple supply and demand. As oil prices increase, it raises the cost of inflation because so many things are tied to oil. Transportation costs increase, so not only does it cost you more to fill up your car with gas, it also costs companies more to move their product.

Lumber goes up because there is more demand for building plus it costs more to cut it and move it due to oil. Food prices go up because it costs more to plow the fields, and transport groceries to warehouses and eventually the stores. Postage goes up as Fed Ex, UPS, and the USPS pay more to deliver mail and packages. Oil influences a lot of things.

Buyers Flock to Beat 2018 Interest Rate Increases

As you can see from the graph, oil futures have been increasing since June of 2017. The 10 yr treasury yield has been increasing since September 2017. Oil price and interest rates are closely tied as they feed off each other. Oil signifies inflation may rise, and inflation rises, so typically does interest rates.

Mortgages are most closely associated with the 10 Yr treasury yield. Perhaps this is because not all mortgages remain for 15 years or 30 years. The average homeowner typically sells and purchases another home before their mortgage is paid off.

Buyers Flock to Beat 2018 Interest Rate Increases

If you’re on the fence about when to purchase, the recent rise in interest rates may make you move sooner rather than waiting. Even if you own a home, it may be a good time to sell and purchase that next home.

If you sell now, you have more available buyers for your home. As rates rise, you will lose buyers to the increased costs. And, you’ll save when you buy your next home too. Not only will you qualify for more home today than when rates rise, you’ll also pay less when rates are lower.

Presumably you’ll get a higher sale now with more qualified buyers than you might with less qualified buyers later, and you’ll save money on the next mortgage. It’s a double win-win for a seller contemplating a move. Sure, home prices may still go higher, so it’s not automatic you’ll get more for your home today. We’re just saying there will be less competition from other sellers now and more demand from buyers now than when rates rise. It’s always more fun to sell when you’re holding more of the cards.

Rates have already begun to rise, so sellers aren’t holding all the cards they were 6 months ago. We are seeing more inventory, which in a way is good thing because now sellers have more options when they decide to move. Many sellers wouldn’t sell because they had no idea on where they’d go. That’s opened up just a bit, which helps.

Always work with an experienced agent who knows the market. If you’d like to search the MLS for Free like a pro, go to www.LeeCountyOnline.com It has all the listings and is updated instantly. No more wasting your time on properties that sold months ago. And you’ll see all the new listings instantly too.

Or Call Sande or Brett at 239-489-4042 Ext 4 to sell your home. We have a team of experienced agent partners who can help you buy your next home too.

Always Call the Ellis Team at Keller Williams Realty! We’re here to help!

Ellis Team Weekend Open Houses

Open House Saturday 11 AM – 1 PM

9793 Deerfoot Dr

South Pointe South Lakefront Home — Lakefront Home in South Pointe South

Open House Saturday 1-3 PM

9825 Wildginger Dr

Ellis Team Weekend Open House South Pointe South — South Pointe South Maplewood Floor Plan

Open House Saturday 1-3 PM

14381 Hickory Fairway Ct

$410,000

9071 Old Hickory Cir

$375,000

Brookshire Condo

Open Saturday 1-3 PM

13235 Whitehaven Ln #1004

$131,000

Open House Sunday 1-4 PM

16804 Colony Lakes Blvd

4 Bed, 4 Bath, 3 Car Garage Pool Home in Colony Lakes

$390,000

Open Sunday 1-4 PM

Cypress Lake Country Club Villa

14401 Patty Berg Dr #101

As sure as the sun comes up each day in Southwest Florida, two things are certain this time of year. Sellers consider placing their home on the market in January and November begins the Southwest Florida real estate agents year end ritual. Real estate agents consider their career options. It is predictable and certain.

January 2016 saw an increase in listings of 20.34%. This past January we saw a rise of 12.1%, and it’s not uncommon to see more in February as well. Sellers must all decide “season” is the best time to put home on the market. The smart sellers place their home on the market before season as they have less competition from other sellers. There are lots of buyers out there right now and getting a jump-start on them can help sellers win the selling game before others come on market in a few months.

December is also the season when real estate agents decide if they’re going to stay in the business, join a team, or change brokerages. People are surprised to learn that the average real estate agent completes less than 1 deal per year, and thousands of agents don’t do any deals throughout the year.

Southwest Florida Real Estate Agents Year End Ritual

Board dues and MLS fees are due December 31 and total $725. That’s a lot of money if you’re selling less than 1 home per year. Everybody thinks real estate is easy and fun, so they jump in thinking they’re going to make a fortune and get to see a lot of nice homes. What they find is acquiring customers is costly and time consuming, and people are hard to work with when you don’t know the business.

Real estate customers need to be led. They come to an agent with experience in solving problems and advising on their best move. The fact is, they don’t come at all though unless you go out and prospect for them. Advertising is expensive, and most people just aren’t financially capable of shelling out the kind of money it requires.

Are All Agents the Same?

Customers think all agents are the same and they’re just sitting around waiting for the phone call. They’re quick to ask for commission reductions not knowing the agent they hired may not eat next week. Customers just don’t see all the costs associated with the real estate business, and neither do agents, until it’s too late.

Agents are much like consumers. They seek the lowest cost place to work thinking that if they control costs, more will fall to the bottom line. For Sale By Owners have a similar belief. The less you pay the more you’ll receive. This isn’t true for sellers and it’s not true for agents either.

Real estate agents shop brokers for highest commission split, lowest desk fees, etc. Sounds a lot like sellers shopping for a Realtor sell their home.

If you’re a seller, you should check out your agent’s sales for the year. Ask them if they’re considering moving brokerages, joining a team, or leaving the business altogether. This might influence whether you hire them, wouldn’t it?

Agents will want to reflect on 2017. Was it a good year? Are you at the best place for you? If you had only a handful of sales or less, what could you do differently in 2018?

Real estate is a tough business. There’s always room for great people. I wish people did more homework before getting licensed, jumping in and selecting a place to work. I wish buyers and sellers did more homework on selecting the right agent.

Experience Matters

Experience matters when you’re competing against other buyers and sellers. It certainly matters how your agent advertises. If you think it’s expensive to hire a professional, wait until you hire an amateur.

If you’re thinking of buying or selling, Always Call the Ellis Team at Keller Williams Realty 239-489-4042 Or search online for Free at www.LeeCountyOnline.com If you’re thinking of getting into the business, call Sande or Brett Ellis and we’ll talk about how you can succeed in real estate, and things to think about Before you make your decision.

Good luck and Happy Selling!

Ellis Team Weekend Open Houses

Estero Country Living Perfect for RV or Boat Owners

Open House Sat 1-3 PM

Open Saturday 1-3 PM

Olde Hickory Golf Course Open Houses

14381 Old Hickory Fairway Ct

$430,000

2,647 SQ Ft Living Area

Olde Hickory Golf & Country Club Open House Sat 1-3 PM

9071 Old Hickory Cir

$375,000

3 Bedrooms, 3 Baths

Can you believe it’s 2017 and we still receive phone calls from people who say “I want to buy a foreclosure in Southwest Florida?” It’s true. Short sales too.

Who wouldn’t want a bargain, especially when prices have risen so much from the bottom of the market back in the housing crisis? People also watch those TV shows and see how others flip houses for unbelievable profit with little to no work. Other TV shows illustrate how buyers can buy a property, put some sweat equity into it, and flip for amazing profits.

Southwest Florida isn’t that market. In September there were exactly 2 short sales and 13 foreclosure sales in Lee County. As we know Hurricane Irma slowed down sales, so we went back to August and found there were 8 short sales and 41 foreclosure sales. Short sales and foreclosures combined came to about 4% of the total sales in Lee County in August, and about 2% in September. There just are not many short sale and foreclosure listings out there.

Want to Buy a Foreclosure in Southwest Florida

We get it, everybody wants a deal. However, the thing people need to know is when a bank agrees to take less to allow a short sale, they still do an appraisal. They may consider taking less if the owner is a default risk and the property’s value is truly below market value. What they will not do is give the property away just so a new buyer can keep the equity. If a bank is going to take a loss, they want to minimize the loss.

When a bank sells a foreclosure, they typically want as much money as the market will allow for the property in its present condition. The banks often even spent money to fix up homes to increase their value.

There are good values in Lee County, you just need to know how to find them. Wasting time searching for 2% of the market will leave buyers frustrated. It all depends on your definition of a good value. Homes priced at or near fair market value are a good value. Homes priced well over are not and will probably not sell unless the seller makes changes.

There are two ways to find value. First is pick a website that has all the listings and is updated instantly. Our website www.LeeCountyOnline.com has all the listings and it’s updated every minute. So when a Realtor inputs a new listing, or makes a price change, our database will know about it and display the new information.

In a race to beat out other buyers to the best listings, speed wins. Having perfect knowledge of the market back in 2007 will not help you buy a house today. And having day old MLS data from yesterday will not help you either.

Secondly, you need an agent on your side that understands the market. Agents with experience know how hurricanes, interest rates, new schools, company headquarters, new roads, hospitals, etc. affect the market. Numbers are great, but having an expert helping you can make all the difference.

The Ellis Team has been around for 30+ years in Southwest Florida. We’ve done thousands of transactions, and some people think we’ve seen everything. We haven’t, as we see new things all the time that still amaze us. What hasn’t changed is people. People still want the same things for their family today. They still use the same negotiating tactics. They may have different tools, but the tactics are the same.

We can help you navigate the maze of real estate. From selecting the property, to negotiating, to inspections, and closing, we help coordinate it for you. You don’t have to worry as we handle the process. If not the Ellis Team, make sure you’re working with an experienced team who will be there for you. It’s all fun and games until somebody gets poked in the eye, then the name calling begins. We’ll help you avoid all that. Always Call the Ellis Team at Keller Williams Realty 239-489-4042.

Ellis Team Weekend Open Houses

Gulf Harbour

360 Virtual Tour Gulf Harbour Condo

Reflection Lakes

2 Condos in South Fort Myers

It’s a few weeks after hurricane Irma and already we see Lee County sellers enjoying inventory supply advantage the first week of October. Last week we told you that the hurricane could become a tremendous opportunity for SW Florida home sellers. Inventory was already low at 4,666 at end of August. We predicted a possible 10% decrease in inventory which would take us down to 4,200 listings. This week single family inventory stands at 4,248, so that assumption has come true.

In the last 24 hours 73 new listings have come on the market, while 76 went pending. This tells us that early in the week more people are buying than deciding to sell. If this continues, inventory will fall even further. Each year, many home sellers decide to sell in January. I guess they think somehow, it’s a better time to sell as more visitors are here beginning in January.

It is true, we will have more people here January through March. It’s also true that those visitors will have many more listings to choose from than they do now. So as a seller, is it better to sell in season, or now?

We believe it may be better to sell now. We have lots of buyers ready to purchase now. We have low inventory. Buyers just do not have the choices now that they will have in season. Sure, there are lots of buyers that do not have to buy now. They can wait for more choices. However, some do not have that luxury and need to buy now. Isn’t it always better to sell when people need to buy and there isn’t much to choose from?

Imagine the stores just before the hurricane. If you got there late and there were only a few cases of water, did you care what brand it was? Did you care if it was 50 cents more than the brand you usually buy? No, you needed water. You recognized scarcity and what it would mean if you didn’t buy it.

If you are thinking about selling, you are a store right now and the shelves are kind of empty. Maybe not completely empty, but definitely not full. In January, those shelves will have more on them.

If prices go up in the next 3 months, many of those potential buyers may become lookers. If you think there are lookers in this market now, wait until season. Just because the roads become clogged doesn’t mean everyone here wants to buy. Many look, and look for years. If they don’t see SW Florida as a bargain, they may not buy. If prices go up in the next 3 months, we may not look like a bargain. And who wins if that happens? The sellers who decided to sell when the shelves were bare and the buyers needed to purchase.

Nobody knows how the market will be next season. We do know the market today, and there are opportunities. The data agrees. Please call Brett or Sande at 239-489-4042 to see how much we can sell your home for and how much you would net at closing.

If you’re looking at buying, speed is key in this market. www.LeeCountyOnline.com is the fastest real estate search engine. It has all the listings and is updated every few minutes, which is key when you’re competing against other buyers to score that dream home. Always call and Ellis Team agent and we’ll help you locate and close on your dream home. Finding it is one thing. Actually buying it and closing it is another, and that’s where our agents shine.

We look forward to helping you buy or sell. Let us know how we can help you.

Ellis Team Weekend Open Houses

Heritage Cove Open Saturday 1-3 PM

Kelly Greens Golf & Country Club Open House Saturday 1-3 PM

View All Reflection Lakes Fort Myers Homes For Sale

See Spotlight on Reflection Lakes

Now may be a good time to sell your Southwest Florida Home. We have buyers who need housing after Hurricane Irma.

Did you know the average Realtor in Southwest Florida sells less than one home per year? When you combine that fact with the fact that some realtors sell 25, 50, or 100+ homes per year you begin to realize that a large percentage of Realtors sell no homes at all. When looking at recent data I discovered Southwest Florida Realtors outnumber home listings, by a lot.

I called the Royal Palm Coast Realtor Association which is the largest board. It services Fort Myers, Cape Coral, Estero, the Islands, etc. They told me they have about 7,000 current members. This doesn’t include all the members from Bonita/Estero or Sanibel/Captiva. It does include some of them because some of them are secondary members.

So, we know there are 7,000+ Realtors in just one Realtor Board in Southwest Florida. Currently there are 5,364 single family home listings in Southwest Florida as of May 2017. That breaks down to each Realtor having .76 listings. When you factor in that many top agents who sell a lot of property have 10-20 or more listings, you realize a lot of Realtors have no listings.

You might be saying, what about condos and townhomes? Good point. There were 3,417 of those on the market in May. You’re still looking at a lot of Realtors with no listings.

To sum it up, the average Realtor sells less than 1 home per year and many sell none. The average Realtor doesn’t have a listing, or 1 at best. So how is a Realtor supposed to gain experience?

A Realtor might consider joining an established team with a mentor, leads, and listings. You can only gain experience by working on deals. You will make mistakes, and those mistakes will cost your customer a closing, time, or money, and sometimes all three. By having a team that guides you through the process you can avoid making costly mistakes due to inexperience.

You also will want to join a company with a fantastic training program. It is mandatory for success. Lastly, you must have that drive, that indomitable spirit. When people tell you that you can’t, you know you can. You must be driven. You are a leader, either today or in the making. It is in you.

If you’re a seller, you want an established agent with lots of experience. Sellers want agents who have seen everything, or enough to see problems coming before they arise and know how to avoid them or dig their way out of the problem to a successful resolution. If you’re hiring a newer agent to sell your home you definitely want to know they have taken extensive training and have a mentor helping them always. Your agent must have leads for your home. They must have a database of buyers ready, willing, and able to buy soon. Your agent must have marketing to sell your home. If they have no marketing, how did they acquire all these ready, willing, and able leads? Marketing and qualified leads go together.

Top Dollar

Experience matters! If you want Top Dollar, you need a Realtor with leads, marketing, systems, drive, determination, honesty – to tell you the truth, and experience to put your deal together and keep it together.

If you’re thinking of selling, we’d love to talk to you. Always call the Ellis team at Keller Williams Realty 239-489-4042 The Ellis Team was Voted Best Real Estate Team by News Press Readers.

Search the MLS for Free You can also see what your home is worth and get neighborhood reports. Best thing is database is updated every 5 minutes, and has all the homes.

Good luck and Happy House Selling/Buying!

Ellis Team Weekend Open Houses

Open Saturday 1-3 PM

12871 Kelly Sands Way

$250,000

1,797 SQ Ft

Corner Lot

Open Sunday 1-3 PM

3284 Prince Edward Island Cir Unit 1

Affordable living with garage

From time to time we go on listing appointments whereby the seller doesn’t like their current market value, so they decide to wait until the market goes up to sell. Waiting for market increase could cost you money.

3 Reasons Sellers Overprice Homes

We know why sellers overprice their home. It’s always one of three reasons. Need, greed, or ego. We all know the market doesn’t care what a seller needs to sell for, nor does it care how much a seller would like to get for the home. This brings us to ego. Some sellers want to sell at a certain price because they don’t want to lose money. You might think this is greed, but it’s actually ego. It’s an ego thing to hold out for break-even or better. It feels good to tell people, or yourself, that you didn’t lose money. If anything, you made money.

Sometimes ego can get in the way of a sound financial decision. First, you’re not guaranteed to make money on every deal, and it’s not your fault. The market can change, the economy can change, and demographics can change. All are beyond your control. You win some, you lose some. And nobody else really cares how you did except yourself.

So if we’re into convincing ourselves what the best decision is, let’s look at the whole picture. I took a real-life scenario and broke it down. At the end, you can answer what the best decision is.

Waiting For Market Increase Could Cost You Money

Seller has a home that’s worth $400,000. He really wants to sell for $420,000. He knows it’s 5% above the market and home won’t appraise, so he figures he’s better off waiting until next year to get his money. Is he better off though?

The seller’s home is 12 years old. At some point it will need a new roof, air conditioner, water heater, pool pump, etc. This seller owes $350,000. The principal and interest payment is $1,670.95/mo. Additionally, they pay $4,000/yr in taxes, $2,000/yr in homeowners insurance, $500/yr flood insurance, and $3,600 yr in HOA fees.

The seller is waiting until the home goes up $20,000 in value. Let’s say it takes a year. In one year’s time this seller just incurred $30,151 in expenses. This does not include the yard, utilities, budgeted maintenance for things like a roof, AC, pool pump, paint, water heater, etc. If anything breaks down it’s in addition to the $30,151. If the seller waits a year, he actually loses $10,151 waiting for that extra $20,000. Sure, his mortgage balance might be slightly lower than next year, but his cost of sale will be higher too (doc stamps, title insurance, etc. )

And there is no guarantee this home will be worth more next year. In that case it would really cost the seller. There is one more cost to think about as well.

Unless the seller already owns their next home they have to replace the current one. If their home goes up 5%, it’s logical to assume their next home may go up about 5% too. So did they really save anything?

And even if they already own their next home, did paying taxes on two properties and all the costs save them? Definitely not. So next time you’re forced with a decision on price, ask yourself this question. Is my motivation based upon need, greed, or ego? If the answer is yes to any one of these, calculate the cost of keeping your home versus the expected gain and evaluate. Often the best answer will be to sell now, in which case you’ll have to decide what your bigger need is, a sound financial decision or a happy ego.

Talk to Your Ego

An ego doesn’t know any better. It’s based upon the information you give it. If you tell your ego you’ve come to a logical decision based upon facts, your ego will surprise you and reward you.

If you’d like to talk to us about your options, we’re here to help. 239-489-4042 If you’d like to surf for your next home, or get an idea of what nearby homes are selling for try www.LeeCountyOnline.com

Good luck and Happy House Hunting! Always call the Ellis Team!