Florida Real Estate Blog

Home sales numbers continue to rise.

March 23rd, 2009 1:31 PM

The National Association of Realtors reports a spike in home sales last month in excess of 5%. This is nothing new in SW Florida where sales are up some 800% from a year ago. Investors are buying foreclosure properties as soon as they hit the market. There are often multiple offers on every property. It's not hard to see the value in a home that sold three or four years ago for $240,000 which can now be had for $50,000 +/-.

Existing home sales spike 5%

Realtors group says sales of existing homes rose in February. Prices tumble more than 15%.

NEW YORK (CNNMoney.com) -- Sales of existing homes unexpectedly rose in February, recovering from a sharp drop in the previous month, according to an industry report released Monday.

The National Association of Realtors said that existing home sales rose last month to a seasonally adjusted annual rate of 4.72 million million units, up 5.1% from a rate of 4.49 million in January. February sales were down nearly 5% from year ago levels.

Economists surveyed by Briefing.com were expecting existing home sales to decline to 4.45 million.

The report said first-time buyers made up half of all purchases in February, and that sales of distressed properties accounted for about 45% of all transactions.

Sales were unexpectedly strong in the West, with activity increasing more than 30% over last year.

"February wasn't too shabby for the existing-home market," said Mike Larson, real estate analyst at Weiss Research. "The catch? The increase in sales activity is coming at the expense of pricing."

The national median existing-home price was $165,400 in February, down 15.5% from last year, when the median price was $195,800.

Prices were depressed by the large number of foreclosed properties on the market, said NAR chief economist Lawrence Yun in a statement.

"Our analysis shows that distressed homes typically are selling for 20% less than the normal market price, and this naturally is drawing down the overall median price."

0:00 /4:30Slowdown in 'rich man's market'

Meanwhile, the total number of existing homes on the market at the end of February rose 5.2% to 3.80 million units. At the current sales pace, it would take an estimated 9.7 months to sell down that inventory of properties.

The report also said the total number of homes for sale has steadily declined over the past six months from a record level last July.

Ian Shepherdson, chief U.S. economist at High Frequency Economics, said there's a "good chance" the collapse in home sales that has been going on since September is "now over."

Posted by Craig Hensley on March 23rd, 2009 1:31 PMPost a Comment (0)

Subscribe to this blog

Tips on being a Landlord

March 11th, 2009 3:03 PM

Hensley Real Estate Property Management offers full service property management taking the hassles out of the equation. If you think you might want to do your own property management here are some helpful tips you might use.

Tips for homeowners who turn into landlords

WASHINGTON – March 11, 2009 – Homeowners who decide to rent out their properties have to stop thinking of themselves as homeowners and instead consider themselves as running a small business, experts say.

Thinking like a businessperson means focusing on the monthly cost of maintenance, mortgage and taxes, as well as being aware of landlord-tenant regulations and avoiding liabilities.

Here are key issues to consider:

• Set a fair rent. Setting the right price will make it more likely that a landlord will be able to keep the place rented.

• Understand landlord-tenant rules. Running afoul of landlord-tenant regulations and rules regarding security deposits can be costly.

• Screen applicants. Eliminating potential tenants who can’t pay or who won’t take care of the property is very important.

• Lay out the rules in a lease. Widely available sample leases can help. If you have questions, ask an attorney.

• Consider a property manager. Despite the expense, turning the job over to experts can help a landlord come out ahead.

• Talk to the condo association. If the property is a condominium, be prepared to deal with a host of regulations.

Source: The Washington Post, Renae Merle (02/28/2009)

Posted by Craig Hensley on March 11th, 2009 3:03 PMPost a Comment (0)

Subscribe to this blog