01 Jun Bonita Bay News
Summer has arrived! I hope you and your loved ones have scheduled time to get away and enjoy the warm, sunny days whether here in Southwest Florida, at your northern retreat, or in some exotic locale.
Though not as hectic as the winter and spring seasons, summer remains busy here. Buyers are still shopping for homes and yet inventory remains critically low. Research is indicating that more homeowners are contemplating selling in the coming months. Not really a surprise considering how our area’s home values are rising.
But if you fall into this category, here’s something to think about. As I’ve said above and in previous newsletters, inventory of existing homes for sale is low. While new construction holds a certain appeal, there are buyers out there who are eager to purchase in an established neighborhood.
Traditionally, summer in Southwest Florida has indicated the end of the buying season, but that’s simply not the case today. Buyers are still out there because they see what’s happening … prices and mortgage rates are on the rise. Think if you were to wait till “season” to put your home on the market. Chances are good you won’t be the only one wanting to cash in on higher values. The problem is that you’ll have much more competition and buyers will have many more choices. If you are thinking about selling, now’s the time.
And consider it from this angle, too. When you sell, what will you buy? If you’re wanting to move up, you must realize that whatever percentage of value you gain on your house will also be gained on the home you want.
Let’s assume your current home is worth $500,000. Your house will be worth $520,000 next year if prices rise by 4% over that time (a number projected by the Home Price Expectation Survey). However, the $750,000 home you are hoping to move into will also appreciate by about that same 4%. That means next year it will be valued at $780,000. You wouldn’t make $20,000 by waiting. You would actually be losing $10,000 ($30,000 – $20,000).
Inventory remains low. As of April 25, 2014, in all of Bonita Bay, there were only 97 homes and condos for sale (according to the Multiple Listing Service). Today, as of June 14, 2014, that number is down to 78.
Bonita Bay’s single-family homes have 5.1 months worth of inventory as of June 14. And condos in Bonita Bay show exactly 3 months of supply.
Whether buying or selling, if you are looking for Realtor representation, think of me.
Your Bonita Bay Realtor,