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Hold on. Could it be? I found this article today and was interested in the fact that the author is saying the same thing I've been writing about and her data came from scrutinizing the indexes used by the media for their own reports.

Read it here: http://www.inman.com/buyers-sellers/columnists/berniceross/put-a-gag-chicken-little  and her follow-up article is equally enlightening. Apparently the Foreclosure statistics have been highly inflated in the way they're being reported by the national media. What the author has to say about those numbers is pretty surprising!

And remember: ALL Real Estate is Local. Our market here in Burnt Store Marina is seeing a level of activity we haven't had since December of '06.

More properties have gone under contract in the Marina in the last 4 weeks than in the previous 4 months combined. Two estate homes went pending in the same week and it's been almost a year since any had gone under contract prior to that.

Prices are attractive, and the amenities here are unique - a golf course AND the largest private Marina on the Gulf coast. Three restaurants. A fitness and tennis club. Incredible community spirit.

This might be your best chance to get a deal in the Marina, in Punta Gorda or Cape Coral. Let me know how I can help you.

Thanks for reading.

Sandi

Three significant things are starting to happen in the Southwest Florida market:

1. The newspapers are reporting that month to month sales are on the increase in both Charlotte and Lee counties (Collier does not provide this data). Read the recent April 23rd article here: http://www.gulfwaterfrontproperty.com/News-Press-Stats-April

2. Buyers are flocking to low-priced properties and actually entering into bidding wars. We haven't seen that since 2005. But that shows how the prices are at the point where the deal is too good to pass up.

3. Our inventory of resale homes in Charlotte County has declined for the 14th straight month in a row. Finally, as of today (May 1st) we're now below 5000 homes on the market. At our peak in March of '07 there were 6600 homes for sale. So we're steadily working through the inventory.  

Other areas of the country are still at the beginning of the Foreclosure curve, but we may be starting to come out of it here in this corner of the world. Most of the Builder's inventory of spec homes is sold at this point - except for a few planned communities that started too late in the peak in 2005 to sell out then. 

There are currently 175 foreclosures listed in the Charlotte county MLS. They're selling briskly because they're priced so aggressively. Here's a list for reference: Summary-of-Foreclosures-4-29-08.pdf

I've often said that we were the first to crash and we'll be the first to start the climb back up. Maybe we're starting that transition now.

Interestingly, today an article in Moneywatch.com (read an excerpt here) has finally stated that the reported statistics for home sales around the country are very skewed because the analysts are too intent on applying a universal trend to markets that are inherently local. As one expert admits, it's like trying to say the temperature outside is the same everywhere in the country.

At least in this market, there are some great buys disappearing daily. Stay tuned - or better yet - call me for the latest great deals.

Thanks for reading.

Sandi

How much more negative press can be written about the housing market at this point? Do you ever remember a time when we were bombarded with so much information about the real estate industry on a daily basis?

And why are so many journalists and industry pundits spending so much time analyzing, projecting, proselytizing and otherwise trying to influence the market? Is it because each wants to be considered the “expert” on the topic? Or maybe with so many media outlets available now, the competition is fierce to be the first to predict a movement in the market.

Perhaps we’ve become an information-overloaded culture afraid to make a decision because we want someone else to validate it. That’s important with stocks and bonds because they’re a commodity with risk that changes on a daily basis. But when did owning a home or investment property become a commodity? Is that what the days of easy financing (some might even argue illegal financing) has reduced our industry to? A commodity?

Time was, you purchased a home or vacation property because it met your needs from a location, price, size and logistical standpoint. You saved some money in anticipation and after doing some research, hopefully with the assistance of a real estate professional, you found a property that you could enjoy for years to come and you purchased it.

Now, I hear buyers repeatedly tell me they want to “time the market” and buy when they think the prices are at rock bottom. What does that term “time the market” sound like? Sounds more like a term from our friends in the investment field, where “market timing” fluctuates minute by minute.

For the average buyer of homes or vacation properties, housing should not be considered a purchase that’s “timed”. Sure there are periods when it makes more sense to hold rather than sell and wait rather than buy. But waiting based on when the glut of industry “experts” tells you it’s okay to 'go back in the water' will not only contribute to a market decline – and remember that means the value of your current home, too – but it will also prevent you from adding an important asset to your portfolio. An asset that you can actually live in and enjoy, not one that’s printed on a piece of paper.

When we remember the basics of real estate, perhaps homebuying will begin to return to normal. And here are a few to consider:

1. Location, location, location - you’ve heard that mantra. It still holds true. One criteria for evaluating location is whether it can be replaced or duplicated. New golf course communities will be built for years to come. But salt waterfront can’t be recreated. And the same home on waterfront here in Southwest Florida will always trump off-water properties.

2. Over the long term, real estate appreciates an average of 10% per year. Granted the current market has wiped out 3 years of appreciation in some regions. And even if the market dips a bit more after you buy, it will begin to appreciate again soon – especially if you follow point number 1. Real estate should almost always be considered a long-term investment - one that's held for at least 2 years. Why? Because it's more typically an illiquid investment, meaning that it can't be sold quickly unless at a loss.

3. Buy when they’re selling and sell when they’re buying. And with so many people selling, what better time to buy than now?

4. Buy the best value per square foot that you can at today’s prices. Stop comparing the prices of 2-3 years ago. And don’t expect every seller to let you “steal” their home with a lowball offer. Look only at current information (within the past 3-4 months) for relevance as you make your decision. Ask for current comps of similar sold properties. That’s where a real estate professional can help you.

5. Buy the best-maintained property you like within your price range. You’ll be able to enjoy it immediately without having the headache of doing your own upgrades or repairing existing problems. In a Buyer's market there's not as much incentive to purchase a "fixer-upper" when there are many other homes in excellent condition at a reasonable price.

6. Look for homes with features that match your lifestyle – perhaps a private pool, plenty of room for guests, a well-appointed kitchen if you host parties or like to cook at home, a home located close to a golf club or even on a golf course, on the water if you enjoy boating, or within a gated community if you’re only there a few months a year. Make a list of criteria that you know is important to you. That will help you sift through options and make your search a lot easier.

7. But above all, buy a property because you will truly love being there. Even if it's only for investment. You might find yourself using it more than you expected so it's a good idea to select a property you'll enjoy - using point number 6.

These basics should hold true during any market cycle. But what should not affect your decision is the daily microanalysis from journalists who at this point are actually presenting conflicting data. When the analysts overwhelmingly start to tell you the market is improving, what do you think other people who also looked at the same home will do? Why not beat them to it and buy your choice today?

Or here’s another thought to consider: If the “experts” are telling us a normal market will return sometime in 2009, what’s between then and today? Won’t prices start to rise – even if only slowly at first – to get back up to normal? That tells me we’re at the bottom now and you’ll regret it if you wait for someone else to get the home you really want.

Call me and I’ll help you find the home you’re looking for in Burnt Store Marina or anywhere in Punta Gorda. I look forward to congratulating you on your purchase – and your wisdom!

Thanks for reading.

Sandi