Why The Large For Sale Inventory?!? (Tampa, Cape Coral: days on market, real estate, foreclosures)

[CRC2020]

I have been tracking Cape Coral houses for at least 3 months now with Realtor and a couple of MLS sites set up by my realtors. More and more houses are coming up for sale and less and less are going Pending or Contingent, thus staying on the websites longer.

My list started out with 10-15 houses and has now grown to over 50 houses of interest with only 4-5 of the originals sold.

So what's going on? Why the exodus or sales frenzy in Cape Coral?



Any local realtors out there have any insights?

[S82028]

Why on earth are you comparing Colorado to anything here in FL? All real estate is local. Cape is no different In the coming weeks you're going to see more mid-priced houses flooding the market for a variety of reasons, most will be impending foreclosures due to job loss, and frankly there are huge numbers of SF house owners that are more than 90 days behind in their mortgage payments so they will be coughing up their houses. Short sales be once again popping up in these neighborhoods.


No body wants to talk about this problem. No body wants to talk about the housing bubble either.


Real estate sales people around here are not economists. Most can't even explain business cycles and inflation esp on the local level, they are slow, or unwilling to acknowledge economic red flags.

[562026]

Originally Posted by S82028

Why on earth are you comparing Colorado to anything here in FL? All real estate is local. Cape is no different In the coming weeks you're going to see more mid-priced houses flooding the market for a variety of reasons, most will be impending foreclosures due to job loss, and frankly there are huge numbers of SF house owners that are more than 90 days behind in their mortgage payments so they will be coughing up their houses. Short sales be once again popping up in these neighborhoods.


No body wants to talk about this problem. No body wants to talk about the housing bubble either.


Real estate sales people around here are not economists. Most can't even explain business cycles and inflation esp on the local level, they are slow, or unwilling to acknowledge economic red flags.

Ah, CVPFord, insulted because SW Florida sales aren't as hot as in blue Colorado? LOL - I'd think you'd be happy, since that means maybe less people are interested in moving there now!

[CRC2020]

Originally Posted by S82028

Why on earth are you comparing Colorado to anything here in FL? All real estate is local. Cape is no different In the coming weeks you're going to see more mid-priced houses flooding the market for a variety of reasons, most will be impending foreclosures due to job loss, and frankly there are huge numbers of SF house owners that are more than 90 days behind in their mortgage payments so they will be coughing up their houses. Short sales be once again popping up in these neighborhoods.


No body wants to talk about this problem. No body wants to talk about the housing bubble either.


Real estate sales people around here are not economists. Most can't even explain business cycles and inflation esp on the local level, they are slow, or unwilling to acknowledge economic red flags.

Its simple. I am familiar with the Idaho and Colorado inventory and sales being a bit OCD in tracking existing and new home sales via various websites. Since the reduction in interest rates, things have gone wonky with inventory (in CO and ID) very low and homes off the market in very short times.

New construction that I hesitated on in Feb, because of COVID, have now gone up 10-15% pricewise in CO since, and build times have stretched out months.

So when I started looking in detail in Cape Coral and Fort Myers, after haunting the waterfront communities in Tampa Bay for a while, I noticed a definitely different trend in availability and days on the market.

As far as all real estate being local, that's not the case in Idaho (Boise area). Its similar to the 80's in CO. People from CA are coming in with boatloads of cash from selling their 1 BDRM, 1 BTH in San Fran or LA and getting 5 BDRM, 3 BTH estates for cash. Cash sales are the way to go in Idaho - even if they are from CA. (Cash talks and BS walks....)

Since traveling is still out of the question, I'll guess I'll wait and see what happens in the future. If it is economically based, that's one thing. If its an external factor, crime, geology, taxes, assessments, etc., that's something else entirely, and one to pay attention to before purchasing.

Thanks for the input....

[peta2013]

A lot of it has to do with the price point in the market. Homes over 1 million with features and or water are selling very quickly. Low to mid market homes may come up in waves. Those are always commodity houses anyway. There may be some correction but location location location.

[CVPFord]

Different trend in availability and days on market? of course it's DIFFERENT.


You can't apply the same metrics to Cape Coral...duh. There are far too many divergent variables in the first place.


Bad idea to compare.

[CRC2020]

Originally Posted by CVPFord

Different trend in availability and days on market? of course it's DIFFERENT.


You can't apply the same metrics to Cape Coral...duh. There are far too many divergent variables in the first place.


Bad idea to compare.

Comparing areas is always tricky. I am comparing trends and when I see an area that has long sale times and a lot of inventory, in this market, I ask the question, is it systemic/causal or just normal for the area?

As I stated in my original post, I have seen neighborhoods with a lot of for sale signs in other areas of the country and after researching have found systemic or causal reasons for the exodus - bad water wells, infrastructure overload with additional multi-family developments going in next door, crime, flood prone, septic issues, etc.

That's what I am looking for insight into in Cape Coral. Red tide, blue algae, swarms of rabid skunks, maurading bands of alligators - whatever. Or is this a normal set of circumstances in this area.

I understand issues with the current economy and a lot of the issues in Cape Coral - fresh water flooding, seawalls, flood zone elevations, septic tanks, no-see-ums, idle time to the gulf, new city ordnances on property use limitations, sewer and water assessments, 7 Islands development (for the N/W), older homes and seawalls in the S/W, the Chiquita Locks, the miserable mile, alligators in the mangroves - and the list goes on.

I was just curious if there is something else at play that would make houses in the area unlivable or not as livable as the pictures show. For example I only found out about the 7 Islands development, and the Chiquita lock issues, by watching past local TV channel news pieces on YouTube. But there could be something even more that I might have missed - so I ask the question.

[blueherons]

The Florida market is on fire right now. For sure it is a sellers market.

SFH with pools are flying off the market.

[peta2013]

Originally Posted by blueherons

The Florida market is on fire right now. For sure it is a sellers market.

SFH with pools are flying off the market.

Totally subjective but every house we looked and ultimately rejected was PENDING within 2 weeks of our scouting visit to SWFL. Every single one.

Having lived there before I recall the early 2000s boom but it feels even stronger now. Curious what the population growth/influx figures will be for 2020.

[Marc Middleton]

Originally Posted by blueherons

The Florida market is on fire right now. For sure it is a sellers market.

SFH with pools are flying off the market.

One of my agents just listed a $700k house that was more dated than the most recent comp but had a pool, went under contract in 24 hours.

East of 75 too, no golf or anything.

People want the pool homes - covid taught them not to be at the mercy of a community pool when the HOA can take it away when they want. (and also, a way to survive the hot summers!)