Realtors... (Tampa, Palm Harbor: short sale, real estate, 2010)

[SLCPUNK]

What is your take on the current market?

How has business been for you?

[lavender]

The fact that there was an increase in home sales up to expiry of tax credit may be a one off if govt doesn't continue this process. However, I suspect most would have purchased anyway but have just rushed the process. This may mean that there will be a terrific drop off for the market till next yearat least.
The amount of shortsales and bank foreclosures is making things messy because they affect any kind of real pricing for real estate.

With commercial real estate about to start gaining a downward momentum, and with that more job losses and lack of income for some householders, we may see more foreclosures into 2010 in residential.

People are moving out of Florida - this from CNN money last month - “The Florida economy is based on growth and home construction,” said Lang. With building projects dying on the vine, unemployment soared to 7.6% for the state in 2008. It’s now up to 10.7%.

Those that can, are hunkering down and will wait it out. This is not good for the housing market at all.
I'm seeing evidence of lots of the construction industry workers scrambling around looking for any work at all. It is possible that the rental market will have to pick up before the housing market does, not until rental stock is hard to find, may people consider buying again as a next resort.

However, many of those with poor credit leftover from bankruptcy/foreclosure or short sale promissory notes unpaid will not be able to qualify for an affordable mortgage for some time to come.

If I only had a crystal ball........

I have noticed some speculative buyers emerging from the wings though.

[NYorker4now]

Originally Posted by lavender

I have noticed some speculative buyers emerging from the wings though.

I think we've learned that many speculators don't know what they're doing. Hopefully the bad ones aren't able to buy again any time soon.

I toured an unfinished subdivision in Palm Harbor that had several open lots on sale from investment companies at cut-rate prices. Ironically their speculation helped to drive the prices up in the first place and now they can't get rid of them.

[vaughnwilliams]

“The Florida economy is based on growth and home construction." Sprawl isn't a very good thing to base an economy on even in the best of times.Maybe the state can learn something from the recession and try to diverse their economic mindset.

[seain dublin]

Originally Posted by vaughnwilliams

“The Florida economy is based on growth and home construction." Sprawl isn't a very good thing to base an economy on even in the best of times.Maybe the state can learn something from the recession and try to diverse their economic mindset.

And that is why FL is not going to recover for several years. When you put all your eggs in one basket this is what happens.

[TampaKaren]

From ground zero here in C'Wood, the housing market has been doing better for the last 5 consecutive months. An uptick in sales prices (though no where near boom), less inventory, and less time on market. The economists and psychics are predicting much lower prices and increased inventory during 4th quarter. I think I'll just watch and do my job and report on what really happened after the fact. IMO, housing prices are at an affordability level for "want to" buyers, but the job market is just too unstable.

[TampaKaren]

I forgot to mention also that 40% of the previous quarter's sales were All Cash.

[SLCPUNK]

Originally Posted by TampaKaren

I forgot to mention also that 40% of the previous quarter's sales were All Cash.

Wow. Was there a specific price range that attracted cash buyers?

[TampaKaren]

Yes. 70% of the total cash sales were for condos & townhouses under $100K with an average sales price of $52K. To the adverse, there were a couple of million dollar cash sales in Avila, too. This is the most interesting job on the planet! Very challenging though...

[lavender]

Probably like us, folks who do have savings moving them into a low price market that may bring better returns long term than stocks and certainly current savings interest rates.

I am seeing less sale signs up, but still a lot of rental ones.