Cape Coral: Sell your houses and leave (Fort Myers, Naples: cheap home, unemployment)

[rikoshaprl]

First American CoreLogic is projecting the 12-month forecast for Cape Coral-Fort Myers home prices, including distressed sales, will be up 4.19 percent.
Forecast has Cape Coral-Fort Myers homes gaining value | fortmyers.floridaweekly.com | Fort Myers Newspaper | News, Business, Real Estate and Arts in Fort Myers FL | Florida

It is nearly impossible to call a market bottom. You may be able to purchase a home cheaper in a year or two, maybe not. But the best homes in the best locations are getting bought up now.

[nhkev]

considering last month had a 9% increase in sale prices, the data they were using is a little outdated. I predict a 14-20% year over year increase when April's numbers come out in a couple weeks. I just wish I could find more data that separates lehigh and north ft myers from Cape Coral mixing the numbers together are really skewing the prices. The bottom already happened.

As far as the Pmi study it is irrelevant to Cape Coral because it is based off likelihood of default. if 66% of all houses are being paid cash (compared to the rest of country at 27%) come next month Cape Coral will probably be one of the countries highest year over year price increases, and foreclosure rates down 61% from their peak , most of the buyers are out of staters that do not depend on local employment to pay their bills, I'm sure their are riskier markets out there.

[Compression]

Not disputing any of the "facts, figures, and data"..............

Just reminding that those published items have a certain amout of lag time associated with them, and they are subject to creative "spin".

However It doesnt take long for the climate to change in very adverse ways in these times. And even minor things that occur on the other side of the world can have a big impact here. Greece is in crisis, and others almost certain to follow...soon. Probability is that even the US will have a sovereign debt crisis sooner than later. Too much volitility out there in almost any and every market for me to get very bullish on,(other than bare necessities, that is) IMHO.

Just thought I'd throw my version of a little reality check in there for good measure, carry on.......

YC.......

[Samiamnh]

Can't imagine what would happen to real estate if the oil slick works it's way down to our islands and beaches........I believe the gulfstream is well offshore but not sure about other ocean currants....anyone know how they flow?

[yoko]

Originally Posted by yoko

" April 12, 2010

Spending cuts have already been steep. Another $12 million will have to come out of current spending to balance the budget in the face of another anticipated drop in property values and tax collections.

But this is what the new council, allied to Mayor John Sullivan, promised: Cut spending to the bone to live within the city's shrunken means."

Cape Coral council should stick to its guns on budget: Editorial | news-press.com | The News-Press

But for how long?

"Of the 10 markets studied, Cape Coral-Fort Myers, Fla. is projected to reach positive equity by 2020."

Recovering lost home equity will take years Realty Q&A - MarketWatch

" Cape Coral City Council committed Monday to pay $4.5 million for an underground power transmission line.

The council voted in April to pay for the underground work. The money will be borrowed and paid back with the help of the Community Redevelopment Agency, which includes the route in its district.
The interest rate could be between 6 - 6.5 % "


May/11/2010
http://www.news-press.com/article/20...ry-power-lines


The timing of this project is so wrong. It should have been done when city had money not now!!

[TSHREWS]

My Mom and dad have lived there for 6 years. They bought their house, it appraised for over 300,000 then. Now, in better shape than before....in ground pool added with enclosure and hot tub. The house appraises for 100,000 less!!!!! It doesn't matter what anyone says, this speaks for itself. SMART people will get out of the area before they loose all equity in their homes!

[rikoshaprl]

No, smart people will buy that house for $100,000 because it is a steal at that price. Sorry for your folks though.

[TSHREWS]

Originally Posted by BakinMama

Isn't that their job? Don't do something that is illegal and maybe you won't get pulled over!

They are pulling people over for such minor infractions, it is ridiculous. Proof again that the city is in terrible financial stress. Or, is it possible that the area is FULL of criminals???? I hope my parents can get out of there by next year.....they actually pay their mortgage unlike most are able to do. So sad, it is a beautiful place Im just glad I don't live there.

[TSHREWS]

Originally Posted by rikoshaprl

No, smart people will buy that house for $100,000 because it is a steal at that price. Sorry for your folks though.

I think they would rather see it burnt to the ground!!!!! No one will get that magnificent house for 100,000. It WAS well worth 400,000

[TSHREWS]

Originally Posted by rikoshaprl

I hope the people that feel that way do sell and get out of Cape Coral. The city is not anywhere near bankruptcy and revenues will be increasing. With the record numbers of sales come additional revenue, especially from non-investor sales. Folks fixing up their new homes brings revenue and jobs. Lower priced homes apparently have been increasing in value.

Seriously????? Check with your city again, people are tearing down houses not fixing them up.