Market indicators are positive on Siesta Key

As seen in the Sarasota Herald Tribune:

When comparing a year over year 12 month trailing average since 2006, single-family home unit sales on Siesta Key have consistently risen (almost doubling since 2006) year over year in spite of overall market conditions.  Obviously, during 2007-10 average sales prices dropped dramatically, however they have rebounded by almost 30% off their low in 2009.  Even so, today’s average sales prices represent a 40%+ discount off the market high in 2006-7.

Siesta Key Single Family Homes
Year to Date Sales Comparisons on Siesta Key 2007 – 2012	04/01/06 to 03/30/07	04/01/07 to 03/30/08	04/01/08 to 03/30/09	04/01/09 to 03/30/10	04/01/10 to 03/30/11	04/01/11 to 03/30/12
Average Sales Price	$1,613,504	$1,301,837	$1,101,523	$754,927	$884,335	$968,513
Median Sales Price	$967,500	$909,500	$750,000	$555,000	$550,000	$632,500
Units Sold	75	91	113	139	148	147
Siesta Key Condominiums	04/01/06 to 03/30/07	04/01/07 to 03/30/08	04/01/08 to 03/30/09	04/01/09 to 03/30/10	04/01/10 to 03/30/11	04/01/11 to 03/30/12
Average Sales Price	$769,014	$859,486	$524,859	$520,730	$450,611	$449,450
Median Sales Price	$615,000	$655,000	$437,950	$380,000	$394,300	$350,000
Units Sold	115	190	194	227	234	292

 

Read more HERE

Sarasota rated top place in nation to retire

Sarasota came out on top of a list of best places to retire that was produced by a national website, with Venice not too far behind at No. 9. 

The list by TopRetirements.com — a website managed by John Brady, a retired executive vice president of a business information publisher — was cited in a recent national report by MarketWatch, part of Dow Jones & Co.

In Sarasota’s favor at the No. 1 position, Brady cited the city’s cultural distinctions, reasonable home prices (especially at this snapshot in time), its general living costs and its warm winters.

Read more HERE

 

Bidding wars catch buyers off guard

SEATTLE – May 1, 2012 – Homebuyers are unexpectedly finding more competition this spring in landing their dream home. Bidding wars are increasingly being reported in markets across the country, from California to Florida, The Wall Street Journal reports.

“It’s a little surprising because we thought bidding wars were done with,” Andy Aley, a home shopper in Seattle said. Aley says he was outbid on a home earlier this year, even though he offered to pay $23,000 above the listing price and also waive inspections and other closing conditions.

Homebuyers are frustrated and caught off-guard about the bidding wars re-emerging, real estate professionals report.

“We’re writing a record number of offers, but we’re not seeing a record number of closings and that’s because it’s so competitive,” Glenn Kelman, chief executive of Redfin Corp., told The Wall Street Journal.

Why are things getting so competitive? Many housing markets are seeing a drastic decrease in the number of homes listed for sale, leaving homebuyers with fewer options and more bidding on the same house. Housing analysts say the shortage in supply is from sellers unwilling to take much less for their home than what they originally paid for it and pulling homes off the market. Also, a surge in investors who snatch up homes in bulk in all-cash deals has made the market competitive.

“The bidding wars caused by tight inventory provide the latest evidence that housing demand is starting to pick up after a six-year-long slump,” The Wall Street Journal reports.

National Association of Realtors® latest pending sales report seems to confirm the trend. Pending sales in March reached their highest level in nearly two years and are up 12.8 percent from one year earlier.

Source: “Stunned Home Buyers Find the Bidding Wars Are Back,” The Wall Street Journal (April 27, 2012)

Boost home’s value with curb appeal

NEW YORK – April 30, 2012 – First impressions matter, especially when it comes to selling a home.

A home’s curb appeal – how its exterior looks to a buyer from the street – can either provide an inviting enticement for a prospective buyer or produce a negative impression.

Several websites offer a host of information for improving the curb appeal value of a residential property. Here are a few with good insights:

• Bankrate.com: Covers eight tricks to improve the curb appeal of a home.

• Good Housekeeping: Lists five ways to boost curb appeal.

• HandyAmerican.com: Serves up extensive list of home improvements to maximize a home’s curb appeal.

• Home Gain: Offers spending considerations and guidelines for remodeling a home.

• Kiplinger.com: Spotlights curb appeal beautification options for free, $100 and $500.

Copyright © 2012 McClatchy-Tribune News Service, Chuck Myers. Distributed by MCT Information Services.

Three housing trends emerging this spring

WASHINGTON – April 30, 2012 – What can homebuyers expect to face this selling season? An improving housing market has made it a different picture in many areas compared to recent years, housing experts say. Bankrate.com notes the following trends:

1. Fierce competition.
Housing affordability is at a record high due to falling home values and mortgage rates near record lows. More buyers are jumping off the sidelines. At the same time, investors are snapping up bargain prices, often in all-cash deals, and competing with traditional homebuyers.  Add in a sinking inventory of homes for sale, and the competition is getting fiercer.

“Rents are going up, and as long as there are properties at the level where investors can get positive cash flow, they will continue to invest,” says Jed Smith, managing director of quantitative research for the National Association of Realtors®. Smith adds that first-time homebuyers, in particular, may find increased competition from investors in trying to snag some of the best deals on the market.

2. More renters show desire to become homeowners.
Recent surveys show that buying a home now is more affordable than renting. As such, more renters are finding homeownership more enticing.

The signs are already starting to show: About 59.5 percent of tenants recently surveyed by Kingsley Associates say they intend to renew their leases this year, which is the lowest rate since early 2009.

3. Mortgages may be a little pricier.
Fannie Mae, Freddie Mac and the Federal Housing Administration recently raised their loan fees, which means homebuyers can expect to pay a little more for their mortgage this spring.

“Those who don’t have credit scores in the high 600s to low 700s may be forced to go the FHA route,” says Ed Conarchy, a mortgage planner at Cherry Creek Mortgage in Gurnee, Ill. “And they will be stuck with the higher fees.”

Buyers with smaller downpayments can expect to pay more for FHA mortgage insurance premiums, which have risen to 1.75 percent of the loan total. Bankrate.com cites an example illustrating the higher fees: A borrower who takes out a $200,000 FHA loan will likely have to pay about $3,500 for mortgage insurance upfront. Prior to the increase taking effect, borrowers would pay about $2,000 for that same loan amount.

Borrowers with higher mortgages can expect higher fees too. The FHA announced that in June it would increase its annual insurance for mortgages more than $625,500. “A borrower who lives in a high-cost area and takes out the maximum $729,750 (which is the FHA limit for high-cost areas) will pay $912 each month in mortgage insurance alone,” Bankrate.com reports.

Source: “5 Mortgage and Housing Trends in Spring 2012,” Bankrate.com (April 21, 2012)

Will housing prices soar by 2014?

NEW YORK – April 4, 2012 – Real estate economists and analysts are increasingly optimistic that the housing market will have a dramatic recovery in the next two years, according to results of a new semi-annual survey of 38 real estate economists and analysts conducted by the Urban Land Institute’s Center for Capital Markets and Real Estate.

The economists predict that the national average for home prices will stop falling by this year and a subsequent turnaround will occur. By next year, they project that home prices will begin to rise by 2 percent, and then get a larger boost of 3.5 percent by 2014. The economists also predict that housing starts will nearly double by next year.

They also foresee rental prices continuing to increase for all property types, ranging from 0.8 percent to 5 percent.

The economists’ predictions were made on assumptions that the economy would continue to strengthen, including a larger drop in unemployment.

“While geopolitical and global economic events could change the forecast going forward, what we see in this survey is confidence that the U.S. real estate economy has weathered the brunt of the recent financial storm and is poised for significant improvement over the next three years,” says Patrick L. Phillips, ULI chief executive officer. “These results hold much promise for the real estate industry.”

Source: “Real Estate Will Rock in 2014,” RISMedia (March 31, 2012)

CoreLogic: Fla. home prices rising

SANTA ANA, Calif. – April 4, 2012 – CoreLogic today released its February Home Price Index (HPI) report. Excluding distressed sales, month-over-month prices nationally increased 0.7 percent in February from January, but fell year-over-year by 0.8 percent if distressed sales are backed out of the equation and 2.0 percent if they’re included.

In Florida, however, prices rose in February 2012 compared to February 2011 whether distressed sales were included or not. The CoreLogic HCI found that Florida home prices rose 4.7 percent overall, and 1.6 percent without distressed sale numbers. Distressed sales include short sales and real estate owned (REO) transactions.

Even with the declines, however, the national housing market shows signs of improvement.

“House prices, based on data through February, continue to decline, but at a decreasing rate. The deceleration in the pace of decline is a first step toward ultimately growing again,” says Mark Fleming, chief economist for CoreLogic. “Excluding distressed sales, we already see modest price appreciation month over month in January and February.”

“Non-distressed home sale prices, which represent two-thirds of all sales, have appreciated by just over 1.0 percent since the beginning of the year,” adds Anand Nallathambi, president and CEO of CoreLogic.

HCI highlights February 2012

• Including distressed sales, the five states with the highest home price appreciation were: West Virginia (+8.6 percent), Michigan (+5.8 percent), Florida (+4.7 percent), Arizona (+4.5 percent) and South Dakota (+4.1 percent).

• Including distressed sales, the five states with the greatest depreciation were: Delaware (-11.2 percent), Connecticut (-7.9 percent), Rhode Island (-7.8 percent), Illinois (-7.1 percent) and Georgia (-6.6 percent).

• Excluding distressed sales, the five states with the highest appreciation were: South Dakota (+5.9 percent), West Virginia (+5.6 percent), Maine (+4.5 percent), Utah (+3.7 percent) and Montana (+3.6 percent).

• Excluding distressed sales, the five states with the greatest depreciation were: Delaware (-8.7 percent), Connecticut (-4.9 percent), Nevada (-4.6 percent), Vermont (-4.0 percent) and Minnesota (-3.3 percent).

• Including distressed transactions, the peak-to-current change in the national HPI (from April 2006 to February 2012) was -34.4 percent. Excluding distressed transactions, the peak-to-current change in the HPI for the same period was -24.6 percent.

• The five states with the largest peak-to-current declines including distressed transactions were Nevada (-60.2 percent), Arizona (-49.8 percent), Florida (-48.6 percent), Michigan (-44.0 percent) and California (-43.7 percent).

• Of the top 100 Core Based Statistical Areas (CBSAs) measured by population, 67 are showing year-over-year declines in February, nine fewer than in January.

© 2012 Florida Realtors®

Bidding wars break out over Tampa Bay area homes

Last month, Barry Barker put his home in New Tampa on the market. He expected it would take six months to land a buyer.

The house sold in six days.

Two dozen people toured the property, producing six offers. All of them matched or topped Barker’s asking price of $225,000.

“That’s what shocked me,” Barker said Monday. “I had no idea that many people were looking for houses.”

The sudden demand has sent real estate agents scrambling.

“People are desperate now for houses,” said Tony Delgado, an agent with Homeward Real Estate in South Tampa. “It’s a seller’s market.”

Read more HERE

Fla. a top market for international buyers

LAKELAND, Fla. – April 2, 2012 – Bargain prices in American real estate lure foreign buyers, and Florida continues to be the most popular destination, though other states are attracting more foreign interest as well.

More than half of international sales in 2011 – 58 percent – came from four states alone: Florida (31 percent), California (12 percent), Texas (9 percent), and Arizona (6 percent), according to National Association of Realtors® data.

Inman News recently identified the individual markets where foreign buyers make up the biggest share of homebuyers. Among the top markets to make the list:

• Lakeland-Winter Haven, Fla.
• Cape Coral-Fort Myers, Fla.
• Orlando-Kissimmee-Sanford, Fla.
• North Point-Bradenton-Sarasota, Fla.
• Miami-Fort Lauderdale-Pompano Beach, Fla.
• Phoenix-Mesa-Glendale, Ariz.
• New York County, N.Y. (Manhattan)
• Honolulu

See which other real estate markets topped the list, along with more information about the study, at Inman News.

Source: “10 Hot Spots for Global Homebuyers,” Inman News (March 2012)

© Copyright 2012 INFORMATION, INC. Bethesda, MD (301) 215-4688

Home improvement trends

CHESTER, Pa. – March 19, 2012 – Continuing uncertainty in the real estate market has homeowners asking a major question as the market warms this spring: Is it smarter to move or to improve?

Cost is the driving factor behind home improvement projects again this year, and many owners want to choose projects that provide the biggest return on investment. Power Home Remodeling Group, one of the nation’s largest home remodeling companies, empowers homeowners to get the biggest bang for their home-improvement buck this spring, whether updating a home to increase its resale value or infusing the place with some personality to create your dream home.

“Giving your home some added curb appeal with an exterior makeover will automatically boost the resale value of your property,” says Jeff Kaliner of Power Home Remodeling Group. “If you plan to stay put, focus on cost-effective renovations that make your home more comfortable, functional and low maintenance for your family.”

Cost-effective home improvements

• Energize the exterior. Exterior home improvements are still king when it comes to return on investment this year. Projects like updating siding, window replacement and refreshing entry doors have a dramatic effect on a home’s curb appeal for a relatively low cost. Seven of the top 10 home improvement projects for 2012 are exterior projects garnering anywhere from 69 to 78 percent return on investment – the highest of any other projects this year.

• Choose bold and bright finishes. Fiberglass entry and garage doors are a popular alternative to their pricey wooden counterparts in 2012. A fiberglass door is weather resistant, durable and, above all, maintenance free. The material allows owners to achieve the stylish look of an elegant craftsman or rustic design with decorative glass at a fraction of the price. Bright, bold exterior colors are also popular this year. Make curb appeal pop by choosing a shade of tangerine, yellow or deep purple for an entry door.

• Energy efficiency is still supreme. The top green home trend for 2012 is renovating to reduce a home’s heating and cooling costs. Making the most of empty attic space by adding a bedroom, or at least finishing it with insulation, is a way to keep conditioned air from escaping through the roof. Updating the attic is this year’s third most cost-effective home improvement, garnering a 72 percent return on investment.

© 2012 Florida Realtors®