Glut of available housing/commercial spaces (Cape Coral, Fort Myers: for sale by owner, condominium, mortgages)

[Izmack]

Thanks, Frank. In the case of my previous post, there are 4 luxury homes being built within a 2 block radius (sorry, mistakenly said 4 block radius before) in my SE neighborhood. These are all being built specifically for actual named people - the signs in front state their names. To say there's no demand is completely untrue.

Originally Posted by faithfulFrank

Well, it seems to me that if new homes are being built, the question is....are they spec homes, built by a builder hoping to sell afterwards, or are they contracted homes for a specific person who wants a new home on that lot, etc.

While I personally feel the sq ft cost of building new must be higher then buying existing, if a person for whatever reason wants a new house built their way, it is their choice. Not everyone is destitute, despite what seems to be reflected on this forum.

If these new builds ARE spec homes, perhaps the builder knows something we do not, for he is putting out the money. He is either very foolish, or overly optimistic, or perhaps he has a good reason, or he knows potential buyers, etc. I guess we will see.

There are many posts here that are, let's just say, incomplete or somewhat one sided. There are always at least 2 sides to every story, and the wise reader knows that, questions motives, and values a more "balanced" read.

Frank

[hiknapster]

Originally Posted by stahltkd

News-Press reporting at its finest -

"Pellegrino said he put $5,000 in an escrow account as required by the city and is now having the motel cleaned up."

So is there 10k being paid (5k each person) or is Pellegrino paying the 5k? Don't know because of the half done reporting.

I know. The first night I was in Fort Myers I picked up the paper and found about five errors on the front page. I had never seen anything like it. And they seem to actually be worse. Their website is bizarre.

[nhkev]

To say their is no demand is absurd. 30,000 homes sold in the last two years is zero demand????? The sales are even higher than during the boom. I think what you mean is there has been an oversupply of homes . Right now there is not a shortage or a glut. Supply vs demand is just about equal. There is about a 4 to 6 months supply (depending on an individual months sales vs active listings ) of single family homes. This is considered a balanced market. It should continue this way for the foreseeable future.

[equalrightsforeveryone]

The new home sale for the country are down 8.1% for last month. Does not look like it is getting better to me.

[stahltkd]

Originally Posted by equalrightsforeveryone

The new home sale for the country are down 8.1% for last month. Does not look like it is getting better to me.

Down 8 percent compared to what? Last month? Last quarter? Compared to 50 years ago?

[equalrightsforeveryone]

Compared to the previous month I believe. You do have the option of find this out yourself all it takes is a little research online. You should never take anything anyone posts on a forum for fact always do your own research.
As a smart man once said.

"Trust but verify. Ronald Reagan President of the USA"

[stahltkd]

According to Zillow (take with a grain of salt):

53.3% of Cape Coral houses are sold with a profit.
21% of Cape Coral houses have a listing with a price cut (compared to 42% within a year ago)
10% of Cape Coral homes have sold (even at the peak only 16% were sold)
8% the median percentage of price drop vs 10% in the last year and down from 16% since 2008

[Izmack]

Not to mention this perspective on the Oasis condo sale last weekend. Sounds like the majority of goals were met that day. Cash-only buyers got a great deal, and hundreds of buyers who need to finance are now keenly aware of the area.

Gregg Fous: Five reasons why Oasis auction was no flop | news-press.com | The News-Press

A big difference from another post here earlier in the week!

Originally Posted by stahltkd

According to Zillow (take with a grain of salt):

53.3% of Cape Coral houses are sold with a profit.
21% of Cape Coral houses have a listing with a price cut (compared to 42% within a year ago)
10% of Cape Coral homes have sold (even at the peak only 16% were sold)
8% the median percentage of price drop vs 10% in the last year and down from 16% since 2008

[equalrightsforeveryone]

Zillow is not what I would call a reliable source. they have been way off in their estimates.
I would not rely on zillow to make any investment decisions.

[yoko]

To the ones whom like seeing glut of empty houses/commercial spaces:





" The auction was a “disaster,” said Steve X, a Fort Myers-based real estate broker who attended the auction.
3 bedroom units auctioned for as low as $147,500 plus a 10% auctioneer’s fee, while pre-auction prices started at $155,000 for a selection that included one-bedroom units ."

Nov/20/2010
Oasis condo auction in Fort Myers flops | news-press.com | The News-Press



"Vangelakos alone closed on his $440,000 unit and is locked in a legal struggle with developer over whether the company should give him back his deposit and let him out of the deal."

Nov/20/2010
Lone owner greets buyers | news-press.com | The News-Press





The auction was stopped because auctioners faced the reality of the market...no demand and/or an over-saturated market.
And this happened in a place like Fort Myers...the lifeline of Cape Coral !