The price per square foot has continued to trend downward as the homes with larger square footage have sold at an adjusted value.  The overall inventory has remained constant, because the absorption of Tampa homes for sale in 33606 has been at an even level with new listings entering the market.  The average days on the market has continued a downward trend to its current overall average of 100 days.  As this zip code includes some very high end luxury homes, it possesses an inventory in a number of price ranges.  This inventory is more than adequate to fit all buyers needs in the months ahead.

Bookmark It

Hide Sites

Although this is only one facet of the market as it relates to gauging trends, it does show that the inventory level of homes for sale has stabilized.  In addition, adjusted pricing has taken hold and property owners selling homes are now able to adjust pricing strategies with more confidence.  All of these factors can help in the process of developing sales.

The inventory of homes for sale in St Pete, although it had increased in first quarter, is now stabilizing and starting a slow steady decline.  The St. Petersburg market through the balance of 2010 will continue to experience further correction.  Ideally, this year the balance between inventory and price will compliment the number of buyers in the market, which will make a more even approach for both parties.

With the median price hitting a number significantly lower than Tampa, St. Petersburg may find that inventory will continue to decrease as many buyers become educated on the opportunities available within the market.  This is especially true considering many are now aware of how to meet their purchasing goals with continued availability of low interest rates.

Bookmark It

Hide Sites

The average days on the market for homes has fallen by at least 30 days from its high of 210.  Now at approximately 170, this pace is reflective of a consistent drop in availability in the inventory of Tampa homes for sale.

The market flourished in the first quarter, with sales supported by incentives for first-time home buyers and a large inventory of short sale homes.  As these properties are purged from the inventory of homes in Tampa, and a more consistent and seasonal trend takes hold, buyers and sellers will find a more even balance though the rest of the year.

The inventory of Tampa luxury homes has been affected by the improvement of sales above $1,000,000, which has risen by 15% over 2009.  We are pleased to see that the strengthening of the market is providing the opportunity for sound decisions for Tampa homes for sale.

Bookmark It

Hide Sites

All of Florida’s beaches remain open. At this time, there are no beach closures and Florida’s state waters remain open to recreational fishing. Florida’s 825 miles of beaches, 1,260 miles of coastline and 14 seaports (including cruise ships), remain open for business. Now just because things seem “fine” today on the Tampa Bay beaches, does not mean the area will not see any effects. Only time will tell, but as for today, “our beaches are beautiful, and the water is blue”, according to Sheila Cole of the Clearwater Beach Chamber of Commerce. The water current system seems to play in Tampa’s favor, with the current taking water flow from destination south/west. The good news for us in Florida is that the weather continues to cooperate. The winds continue out of the south/southeast and the current continues to push the oil slightly to the west. This should limit any onshore impact. Please use the NY Times Oil Spill Water Current Map to help track this disaster. Following this link will give you all the tools to offer assistance in this time of need.

Bookmark It

Hide Sites

Lennox Industries has introduced a solar powered central heating and cooling system called SunSource.  The main platform of the system consists of a solar ready air conditioning system, heat pump, and roof-installed solar modules.  The best news regarding SunSoure is that the system can be phased into an existing home gradually.  Anywhere from 1 to 15 solar modules can be installed, and both the panels and A/C or heat systems can be added separately.  This will allow St Petersburg home owners to convert to the system at their own pace and, more importantly, according to their own budget.

In addition to powering heating and cooling, SunSource also has the potential to provide electricity to power appliances and the lights in your St Petersburg home.  The more panels added, the more power available.   Another great feature of the product is the communication panel, which allows a home owner to view the performance of the system and its various elements.  A curious home owner can easily track home much energy their solar panels are producing with 24/7 access, and also see carbon offsets.

Interesting in learning more about SunSource for your St Petersburg home?  See a sample home setup and view an informational video from Lennox here.

Bookmark It

Hide Sites

The National Association of Realtors recently launched a new consumer website called Houselogic.  The free and very easy to navigate site was created to both educate and assist consumers in regards to all aspects of owning a home.  The site is a great resource for both current and potential owners of Tampa real estate, with a wide array of informational articles and news from home finance to home improvement.  Houselogic also features a great project planner, where property owners can organize, plan, and schedule improvements to their home. Buying guides are also available, allowing for owners  of Tampa real estate to make the best decisions when purchasing appliances and more.

Get the most out of your real estate investment, and check out this great free resource!

Bookmark It

Hide Sites

Foreclosures Need A Lot Of Work

Foreclosures Are BARGIN CHEAP. Foreclosures are generally cheaper than standard sales, but they are not quite the savings that most Tampa real estate discount hunters are looking for. Typically bank owned properties require appraisals.  Also, banks will have Realtors give a an opinion of value equivalent to a quick sale in the market. The price may be significantly cheaper than what the original owner paid, but not too drastic from what the current market is. Be realistic with the prices; they may be at maximum 15-25% off the market price, not 50%.

Foreclosures Are RISKY. Buying a foreclosure at an auction on the court house steps can be very risky. The chance that the home carries liens and other loans do exist. Though, typically buyers are looking for bank-owned foreclosures which are treated more like regular home sales.  Plus, the owner is the bank which means it will most likely result in a cleaner transaction.

Foreclosures Do Not Allow Inspections. Again, when you purchase a foreclosure from the court then there is a very small chance for an inspection of the home. When you purchase from the bank, they will allow inspections which enables you to determine prior to closing any major issues the property may have.  Though in almost all cases the home will be sold “as-is”, meaning the bank will not complete and/or pay for repairs prior to closing, the inspection process allows you to add repair costs into the price of the home to get a clearer picture of actual cost.

Make Low-Ball Offers. The banks are NOT that desperate to give the homes away. In fact, more often than not, the homes sell for more than the list price. A foreclosure listing is handled just like regular a Tampa real estate sale, meaning the bank will consider lowering the price after a few weeks if they feel that the price is too high for the market.

You Have To Buy Foreclosures With CASH. This would most likely be the case with a property being sold at a courthouse auction, but not with a bank owned foreclosure. The property is treated like a regular sale, and conventional loans can be obtained. Only if the foreclosure is in really bad physical shape is it possible that it may only be purchased with cash.  The reason for such a situation would be that the property does not meet the standards for loan.

It’s Easier To Buy The Foreclosure With The Bank That Owns It. If you have difficulty getting a loan from other banks because of poor credit and you think working with the existing bank is a viable option, that’s just not the case. The bank just had a bad loan and had to foreclose, and they are hardly likely to provide a low credit buyer with another risky loan. The bank would be happy to provide a new loan to a buyer, but only if they qualified like any other person would.

Bookmark It

Hide Sites

Today’s buyers are well educated about the market.  The state of real estate is constantly in the news, and it’s impossible to avoid.  Buyers out in the market are justifiably nervous, very cost-conscious, and do much more research on a potential purchase than they would have a few years ago.  High prices are often a signal for unrealistic or unmotivated sellers, and buyers in today’s market don’t want to waste their time on such a situation.  There is no longer the urgency to buy Tampa real estate that there was a few years ago, which means that potential home owners will not overpay.

“The savvy buyer has done research is very aware and cautious when they see a property on the market for an extended period of time,” says Dave Traynor of Smith & Associates Real Estate.  “They will also know that the extended time on the market is a result of the home being over priced.”

If you’re going to be listing your home for sale, make the most of the market from the beginning.  Price competitively.  The old strategy of padding the list price of a home to leave room for negotiating no longer works.  The home should look its best, and be priced competitively in order to catch a buyer’s eye and entice them enough to make an offer. “Many agents have a list of buyers anxiously waiting for new homes to hit the market,” says Traynor.  “When they are priced right initially, those homes have been seen to go under contract within the first week.”  So, take the best advantage of the Tampa real estate market possible, and get your home priced right from the start.

Want a professional analysis of what the right price is for your home?  We would be happy to provide a free market analysis for you.  Please request one here.

Bookmark It

Hide Sites

The other 60% of the current market are regular real estate sales. So how do they manage to sell their home?   They can sell quickly at today’s market price, and move on to the next property at a great value.  In most cases the properties do not have giant loans or the owners have had the property for many years (over 5).  They can afford to sell their Tampa real estate and are flexible enough to get it done.

If you fall into a situation where you need to move, but can’t sell (either because you’re not willing to take a loss or do not want to harm your credit), then leasing your home to a renter is a very viable option.

In an article provided by MSN, June Walbert of USAA explains some things homeowners should be aware of when renting a property.  This is great advice for any owner considering renting out their Tampa real estate.  “First replace your homeowners insurance policy with rental-home insurance. It covers the building and provides liability protection but doesn’t cover possessions, so it tends to cost about 20% less than a regular homeowners policy.” She also recommends including “a section in the lease requiring your tenants to buy renters insurance, which will cover their liability and belongings.”  In addition, she recommends that homeowners be aware of how reting will affect them at tax time.  “When you file your tax return, you’ll generally report rental income and expenses on Schedule E. You’ll be able to deduct your mortgage interest on the rental property, as well as insurance premiums, real estate taxes, advertising costs to rent the house, rental management fees, utilities you pay, travel to and from the property and legal and accounting costs.”

Smith & Associates Real Estate can assist with listing your Tampa real estate for rent and finding a tenant. We specialize in quickly locating qualified rental clients. Our experts will provide you with rental services that will allow for maximum exposure of your property. The steps would include having a property orientation, preparing the property offering, meeting and evaluating prospective tenants, preparing lease agreements prepared by a Florida eviction attorney ($50.00 fee), advertising, and processing of applications and credit checks. Please inquire with us about our fees. Smith & Associates Real Estate complies with all fair housing laws with applicants.

Bookmark It

Hide Sites

Good news for the Tampa Bay area comes from two important metrics.  First, more homes sold in the Tampa/St. Petersburg/Clearwater area than any of the other major MSA’s in the state.  Also important was that our area was among those with the lowest percentage of decrease in the median sales price.  We experienced a 1% decrease while areas such as Orlando, Ocala, Daytona Beach, among others are experiencing losses in the median price of over 10%.

Things continue to look up for owners of Tampa homes for sale!  For more in depth information, please refer to the complete press release found here.

Bookmark It

Hide Sites