01 Sep Shadow Wood at the Brooks Real Estate News | September 2019
As of September 1, 2019, there are 43 active listings in Shadow Wood; 11 less than last month. There are 28 single-family, listed homes ranging from $449,000 to $1,999,000. The average list price is $1,071,371 and the average days on the market is 180 days. Combined days on the market is 255. In the condo market, there are 15 active listings in Shadow Wood, ranging in price from $279,000 to $585,000. The average list price is $408,913 and the average days on the market is 176. Combined days on the market is 240.
Whether you are buying or selling, if you are looking for REALTOR® representation, think of me and allow me to share my 30 years of experience putting buyers and sellers together in SWFL
Your Shadow Wood REALTOR®,
Ed Gongola
SUMMARY OF SHADOW WOOD HOME SALES
SHADOW WOOD CONDOS
- Within the last 12 months, there were 30 sales; the average sales price was $341,830; and, these condos were on the market an average of 109 days; combined days on the market is 201.
- During the 12 months previous, there were 30 sales; the average sales price was $356,423; and, these homes were on the market an average of 110 days; combined days on the market is 194.
SINGLE-FAMILY SHADOW WOOD HOMES
- During the last 12 months, there were 64 sales; the average sales price was $840,407; and, these homes were on the market an average of 104 days; combined days on the market is 217.
- During the 12 months previous, there were 65 sales; the average sales price was $867,404 and, these homes were on the market an average of 101 days; combined days on the market is 196.
For a list of SHADOW WOOD homes sold during the past 12 months, click here.
For a list of SHADOW WOOD homes that are pending at the moment, click here.
Meet Ed Gongola and discover how he can help you with his concierge style of service when buying or selling your home.
Click here for membership information.
SEPTEMBER 2019 MARKET UPDATE
AUGUST WAS A GOOD MONTH FOR CLOSINGS
“August surprised me,” said Mike Hughes, Vice President of Downing-Frye Realty, Inc. “Our closed sales volume for August 2019 was $107 million compared to $85 million in August 2018. We had 241 closings in August 2019 compared to 169 for August 2018. “Pending sales during August were another story, down a little compared to recent years. I believe that last year’s red tide still has residual effects, even a year later with respect to summer visitors returning. Our listing inventory remains strong with Downing-Frye holding almost a thousand listings in the area.”
BONITA /ESTERO: HIGH INTEREST – LOW INVENTORY
Inventory levels in the Bonita Springs and Estero market have continued to decrease over the last three years. While shortages traditionally drive up home prices, that’s not the case in this market, with properties that have remained consistently priced at market value. Closed sales of condominiums in July 2019 steadily increased across all price points compared to July 2018. This trend is expected to continue. Some rental amounts are higher than mortgage payments, so with the low interest rates, this market is seeing an increase in mortgages especially with first time home buyers. “Long gone are the days of the winter sales season,” said Jerry Murphy, Downing-Frye’s Broker in Bonita Springs. “There is no ‘season’ anymore, we have continued interest here and sales activity all year round.”
FLORIDA: MEDIAN PRICES STILL RISING
Florida’s housing market reported higher median prices and rising inventory in 2Q 2019. Closed sales of single-family homes statewide totaled 85,017 in 2Q 2019, up 4.6 percent from the 2Q 2018 level. The statewide median sales price for single-family existing homes in 2Q 2019 was $265,000, up 3.3 percent from the same time a year ago, and for condo-townhouse properties during the quarter was $195,000, up 2.9 percent over the year-ago figure. Statewide closed sales totaled 34,128 during 2Q 2019, down 1.4 percent compared to 2Q 2018. Closed sales typically occur 30 to 90 days after sales contracts are written. In 2Q 2019, the median time to a contract was 41 days for single-family homes and 52 days for condo-townhouse properties. Inventory was at a 3.9-months’ supply in the second quarter for single-family homes and at a 5.7-months’ supply for condo/townhouse properties. According to Freddie Mac, the interest rate for a 30-year fixed-rate mortgage averaged 4.0 percent for 2Q 2019.
USA: JULY HOME SALES STRENGTHEN
Existing-home sales strengthened in July, a positive reversal after total sales were down slightly in the previous month. Total existing-home sales rose 2.5 percent from June to a seasonally adjusted annual rate of 5.42 million in July. Overall sales are up 0.6 percent from a year ago (5.39 million in July 2018). “Falling mortgage rates are improving housing affordability and nudging buyers into the market,” said Lawrence Yun, NAR’s chief economist. However, he added that the supply of affordable housing is severely low. “The shortage of lower-priced homes have markedly pushed up home prices.” The median existing-home price for all housing types in July was $280,800, up 4.3 percent from July 2018 ($269,300). July’s price increase marks the 89th straight month of year-over-year gains. Total housing inventory at the end of July decreased to 1.89 million, a 1.6 percent decrease from 1.92 million one year ago. Unsold inventory is at a 4.2-month supply at the current sales pace, down from the 4.4 month-supply recorded in June and down from the 4.3-month supply recorded in July 2018.
Sources: The Bonita Springs-Estero Assoc. of REALTORS®, Naples Area Board of REALTORS®, National Assoc. of REALTORS®, Florida REALTORS®.
Real Estate Q&A: You Need a Will to Ensure Your Wishes
A homeowner has his villa halfway paid off; a cousin is his next of kin. To leave the home to the cousin, a properly documented will stating that should be done.
FORT LAUDERDALE, Fla. – Question: My villa is about half paid off. My cousin is my next of kin and should get my home and bank account. What happens to my home when I die? ~ James ~
Answer: If you want your cousin to get your home when you die, you should draw up a will that leaves it to him. Your will should be properly drafted, signed, witnessed, and notarized so that you do not leave a problem for your cousin instead of your villa. If you are unsure how to do this, you should consult an experienced professional for your options.
After you die, your cousin will need to go through the probate process with the assistance of an attorney. Once complete, your cousin will be the new owner of the villa.
Most mortgages contain language requiring any new owner to pay off the loan immediately, including when the new owner gets the home because of the death of a relative.
In my experience, most lenders will not force this as long as the payments are made on time, along with all of the other requirements, such as insurance and tax payments being handled. However, your lender could “call” the loan at any time, so your cousin should look to refinance the property in a loan in his name, especially while interest rates are still favorable.
Your cousin can also decide to sell your villa. As the new owner, he has all of the choices available to any property owner. He would list the property with an agent and proceed like any other sale.
Planning for your eventual demise can be a disturbing task, but it makes things much easier for your loved ones when they are dealing with your loss.
About the writer: Gary M. Singer is a Florida attorney and board-certified as an expert in real estate law by the Florida Bar. He practices real estate, business litigation and contract law from his office in Sunrise, Fla. He is the chairman of the Real Estate Section of the Broward County Bar Association and is a co-host of the weekly radio show Legal News and Review. He frequently consults on general real estate matters and trends in Florida with various companies across the nation.
Copyright © 2019 Sun Sentinel (Fort Lauderdale, Fla.), Gary M. Singer. Distributed by Tribune Content Agency, LLC.
Copyright © 2019 Sun Sentinel (Fort Lauderdale, Fla.), Gary M. Singer. Distributed by Tribune Content Agency, LLC.
What International Buyers are Looking for in the Florida Market
A detailed look at where international clients originate and what they’re buying in the Sunshine State. Plus: A profile of the Florida international buyer.
ORLANDO, Fla. – Updated July 23, 2019 – Florida Realtors® has released its latest report on the state’s foreign buyer and seller transactions, the 2018 Profile of International Residential Real Estate Activity. The one year-report – from August 2017 through July 2018 – found a small slowdown in international activity within the state, due mainly to a tight home inventory and rising property values.
In many areas, foreign buyers compete with U.S. buyers for the same properties, and solid U.S. employment growth boosted the domestic competition. In addition, mortgage rates remain relatively low compared to historic values, and the large supply of buyers, both foreign and domestic, had to compete for a relatively small number of homes for sale.
A stronger U.S. dollar also made Florida homes more expensive for foreign buyers from selected countries, notably Venezuela and Brazil. When asked about challenges faced by their international clients, Realtors surveyed said top objections included “Cost of property,” “could not find property,” and “exchange rate.”
A stronger U.S. dollar also made Florida homes more expensive for foreign buyers from selected countries, notably Venezuela and Brazil. When asked about challenges faced by their international clients, Realtors surveyed said top objections included “Cost of property,” “could not find property,” and “exchange rate.”
South Florida remains the preferred location for international business. While foreign buyers purchased property across the state, most foreign buyers were concentrated in five metropolitan areas:
* Miami | Fort Lauderdale | West Palm Beach (54 percent)
* Orlando | Kissimmee-Sanford (9 percent)
* Tampa-St. Petersburg | Clearwater (9 percent)
* North Point | Sarasota | Bradenton (5 percent)
* Cape Coral | Fort Myers (5 percent)
* Miami | Fort Lauderdale | West Palm Beach (54 percent)
* Orlando | Kissimmee-Sanford (9 percent)
* Tampa-St. Petersburg | Clearwater (9 percent)
* North Point | Sarasota | Bradenton (5 percent)
* Cape Coral | Fort Myers (5 percent)
Here are highlights from the 2018 report:
Size of Foreign Buyer Residential Purchases
- Foreign buyers purchased $22.9 billion of Florida’s existing detached single-family, townhomes, and condominiums during the reference period of the 2018 survey, a five percent decline from the level during the previous 12-month period ($24.2 billion).
- The dollar volume of foreign buyer purchases accounted for 19 percent of Florida’s volume of sales in 2018 (21 percent in 2017). Florida’s foreign buyers account for a larger fraction of the dollar volume of existing home sales compared to the national share of eight percent.
- Measured in number of homes, foreign buyers purchased 52,000 existing homes (detached single-family, townhomes, and condominiums), a 15 percent decrease from the level reported during the previous 12-month period (61,300). This represents 13 percent of Florida’s residential market (15 percent in 2017). Florida’s foreign buyers account for a larger fraction of the number of homes sold compared to the national share of five percent.
- The 2018 median purchase price among foreign buyers increased to $286,500 ($259,400 in 2017), which is 20 percent more than the median price of Florida’s existing home sales, at $236,500.
Characteristics of Foreign Buyers
- The bulk of foreign buyers-68 percent- primarily reside in another country (Type A). The share of foreign buyers in Florida outweighs the 31 percent average from a national sample.
- Latin American and Caribbean buyers accounted for the largest fraction of Florida foreign buyers at 36 percent. The other major buyers of real estate properties were Canadians at 22 percent, Europeans at 19 percent, and Asians at 11 percent.
- While foreign buyers purchased property across the state, most foreign buyers were concentrated in five metropolitan areas: Miami-Fort Lauderdale-West Palm Beach (54 percent); Orlando-Kissimmee-Sanford (9 percent); Tampa-St. Petersburg-Clearwater (9 percent); North Point-Sarasota-Bradenton (5 percent); and Cape Coral-Fort Myers (5 percent).
- Most foreign buyers-67 percent-made an all-cash purchase (72 percent in 2017).
- Most foreign buyers-71 percent-purchased residential property for vacation, residential rental, or for both uses (68 percent in 2017). Nationally, 37 percent of all foreign buyers purchased for these purposes.
- Foreign buyers had a preference for townhouses or condominium-53 percent-while only 43 percent purchased a detached single-family home. Three percent purchased residential land and another three percent purchased other types of properties.
- Nearly half of foreign buyers purchased in a suburban or small town/rural area.
- Most foreign buyers-93 percent-visited Florida at least once before purchasing a property.
Interactional Client Transactions
- A lower fraction of Florida REALTORS®’ respondents-41 percent-worked with an international client in 2018 (44 percent in 2017). Nationally, 23 percent of REALTORS® worked with a foreign client.
- A lower fraction of respondents-23 percent- reported an increase in their business that is international in the past year (26 percent in 2017).
- A lower fraction of respondents-30 percent- reported an increase in their business that is international in the past five years (33 percent in 2017).
- A lower fraction of respondents-34 percent- expect an increase in their international transactions in the next 12 months (37 percent in 2017).
- The fraction of respondents who reported that their client found Florida’s home prices to be less expensive than the prices in their home country decreased to 35 percent (41 percent in 2017).
- “Cost of property”, “could not find property”, and “exchange rate” were the major reasons why international clients decided not to purchase.
- Sixty-eight percent of foreign clients were personal or business contacts or former clients.
- Most respondents-60 percent-reported no significant issues when working with international clients.
- Seventy-five percent of respondents were born in the United States, and 34 percent were fluent in a language other than English.
© 2019 Florida Realtors®
Spike in July Home Sales, a Sign of Heightened Buyer Interest
