Estero Condominium Market Update
June Activity:
Listings:
During the month of June 60 Estero condos were listed for sale. For the same month in 2007, 53 condos were listed for sale; this represents an increase of 5.7 percent. The decrease from 2006 was 17.8 percent from the 73 new listings. In May 2008 a total 40 condos were listed for sale. The increase in the number of new listings has a negative impact on the number of months of supply for available condos in the Estero area, along with the lower volume of closed sales and stable pending sales volume. A graphic presentation showing the number of months supply for condominiums in Estero will be posted shortly.
Closed Sales:
A total of 8 condos were sold during June 2008. Comparing the same month in 2007 there were a total of 10 condos sold, the reduction of 2 condos represents a decrease of Read more
Estero Home Market Update
June Activity:
Listings:
During the month of June 69 Estero homes were listed for sale. For the same month in 2007, 86 homes were listed for sale; this represents a decrease of 19.8 percent. The decrease from 2006 was 22.5 percent from the 89 new listings. In May 2008 there were a total of 48 homes listed for sale.
Closed Sales:
A total of 25 homes were sold during June 2008. Comparing the same month in 2007 there were a total of 26 homes sold, represents Read more
Bonita Springs Condominium Market Update
June Activity:
Listings:
During the month of June 115 Bonita Springs condos were listed for sale. For the same month in 2007, 145 condos were listed for sale; this represents a decrease of 20.7 percent. The decrease from 2006 was 32.8 percent from the 171 new listings. In May 2008 there were a total of 128 condos listed for sale. The lower number of new listings has an impact on the reduction of the number of months supply of available condos in the Bonita Springs, along with the activity of closed sales and pending sales. A graphic presentation of the number of months supply of condominiums in Bonita Springs will be posted shortly.
Closed Sales:
A total of 28 condos were sold during June 2008. Read more
Bonita Springs Home Market Update
June Activity:
Listings:
During the month of June 123 Bonita Springs homes were listed for sale. For the same month in 2007, 170 homes were listed for sale; this represents a decrease of 27.7 percent. The decrease from 2006 was 24.5 percent from the 165 new listings. In May 2008 there were a total of 135 homes listed for sale.
Closed Sales:
A total of 41 homes were sold during June 2008. Read more
Naples Condo Market Update
June Activity:
Listings:
During the month of June 490 Naples condos were listed for sale. For the same month in 2007, 654 condos were listed for sale; this represents a decrease of 25.1 percent. The decrease from 2006 was 38.4 percent from the 795 new listings. In May 2008 there were a total of 556 condos listed for sale. The lower number of new listings has an impact on the reduction of the number of month’s supply of available condos in the Naples, along with the activity of closed sales and pending sales.
Closed Sales:
A total of 173 condos were sold during June 2008. Comparing the same month in 2007 there were a total of 204 condos sold, the reduction Read more
Naples Home Market Update
June Analysis:
Listings:
During the month of June 696 Naples homes were listed for sale. For the same month in 2007, 779 homes were listed for sale; this represents a decrease of 10.6 percent. The decrease from 2006 was 15.7 percent from the 826 new listings. In May 2008 there were a total of 771 homes listed for sale. The lower number of new listings is reflected in the reduction of the number of month’s supply of available homes in the Naples.
Closed Sales:
A total of 236 homes were sold during June 2008. Comparing the same month in 2007 there were a total of 218 homes sold, the increase of Read more
Naples Condos Absorption Rate
The number of months of inventory for Naples condominiums for sale has been significantly reduced since February 2008. Using the four time frames of 12, 9, 6 and 3 month moving averages. The 12 month moving average in February was calculated to be 37 months of Naples condos for sale. As of the end of June the calculation was 32 months or a reduction of 5 months. The 9 month moving average shows a reduction of 14 months, while the 6 month moving average shows a reduction of 20 months. The 3 month average shows a reduction in the months of Naples condos for sale of 16 months. At the end of June, there was a slight up tick of one month from May.
Click to Enlarge
The downward progression for the four moving averages reflects the volume of Naples condos sold or pending sale increasing (reduction of condos for sale) as well as the reducing volume of new condo listings coming on the market.
An absorption rate is defined in the glossary for real estate terms and defintions.
Buyers should be aware of the number of months of condominiums for sale in the Naples area to determine how the market is under going subtle changes and the reduction of the more select residences on the market for sale.
Sellers likewise should be mindful of the absorption rate, as they might want to determine the specific absorption rate for homes or condominiums on the market within their price range to reduce the number of days on market for their properties.
Naples Real Estate News 07/18/08
MORTGAGE RATES
As investors’ fears that the Federal Reserve would soon tighten credit policy to stall inflation lessened, mortgage rates fell this week: 30-year mortgage rates averaged 6.26 percent, the lowest level in six weeks, according to Freddie Mac.
COUNTRYWIDE
A handful of states are suing Countrywide Financial Corp. for misleading borrowers, and Florida initiated its case on July 1. Yesterday, however, California added another charge to its roster, claiming Countrywide paid higher commissions to agents who put borrowers into loans they weren’t qualified to receive.
HOME BUYING
Builders in the Tampa Bay area and across Florida are turning to smaller homes to spur sales, figuring out how to cut down on construction costs and offer more affordable prices. They note that smaller homes are popular for first-time buyers, seasonal residents, those wanting to downsize and people who just don’t want to stretch their budgets too much.
Divosta’s Village Walk in Bonita Springs is also seeing cut backs on construction costs on their various models. The Divosta subsidiary or division of Pulte homes, is changing from its popular poured concrete with reinforcing rebar to concrete block construction.
FANNIE AND FREDDIE
Treasury officials and senior lawmakers huddled behind closed doors yesterday, searching for a way the Treasury Department might safely invest in mortgage finance giants Fannie Mae and Freddie Mac without exposing taxpayers to massive losses.
Naples Real Estate News 07/17/08
FANNIE AND FREDDIE
Federal Reserve Chairman Ben Bernanke told Congress Wednesday that troubled mortgage giants Fannie Mae and Freddie Mac are in “no danger of failing.” However, he says that “weakness of market confidence” is hurting the companies.
STATE FARM
State Farm, Florida’s largest private property insurer, asked the state for an average rate increase of 47.1 percent on homeowner policies, saying it needs the money to pay claims if major storms strike. The planned increase tests lawmakers’ efforts to curb property insurance prices that doubled or tripled in some cases after hurricanes hit in 2004 and 2005.
AMENDMENT 5
If Florida voters pass Amendment 5 in November, property taxes will drop by 25 to 40 percent, but the amendment must first face a court challenge. A Tallahassee judge will hear arguments on August 13.
Naples Real Estate News 07/16/08
MORTGAGES
Local banks in Naples, Bonita Springs, Estero, through-out Florida, and the nation are telling investors that they should relax - “We’re fine.” A general fear of bank failures has made consumers wary of all financial institutions, even though most banks have no liquidity problems and very little risk.
HOMEBUYERS
There’s a dilemma for the nation’s lawmakers and millions of Americans priced out of homeownership: any rescue policy to stem foreclosures could artificially prop up home prices and perpetuate affordability problems.
FANNIE MAE AND FREDDIE MAC
Key Republicans on Tuesday expressed skepticism about an emergency Treasury Department plan to bolster troubled mortgage giants Fannie Mae and Freddie Mac, raising doubts on Wall Street about quick enactment.
MORTGAGE INSURANCE
Mortgage insurers have been tightening their standards throughout the U.S., further squeezing potential home buyers. Borrowers with less than a 20 percent downpayment now find few ways to avoid private mortgage insurance.