August 2007

In his weekly radio address, economist Hank Fishkind stated that popular perceptions about the housing market are wrong. Fishkind believes that the Florida real estate market reached bottom a few months ago. He looks for trends in statistical releases, and says that things may not be great but there is not data indicating that things are getting worse.

“The variance between the real economic data and people’s perceptions was enormous,” Fishkind said. “While home starts have dropped 36 percent from their peak, starts have stabilized over the last six months with no further erosion. Friday’s report on new home sales confirms that the market has bottomed out. Sales actually increased 2.7 percent to an annual pace … and the inventory of new but unsold homes…

Here is a chart showing inventory levels as well as sales for Siesta Key homes from May 2006 to July 2007. The number of homes for sale as of today is 248. That is a nice decline from the 303 high figure established in March of 2007. There have been 59 homes sold on Siesta Key so far this year. That comes to about a 34 month supply. 

This chart represents the trends in Siesta Key condos for sale as well as solds from May 2006 to July 2007. As of today, there are 513 condos for sale on Siesta Key. Since the beginning of the year there have been 154 condos that have sold on the island. We have roughly a 19 month supply of Siesta Key condos on the market.

Here is a chart of Lakewood Ranch home inventory levels from May 2006 to July 2007. I just checked the Sarasota MLS as of today and the inventories have dropped to 568 homes. That is a pretty nice decline in homes for sale. Perhaps sellers and real estate agents are deciding it is best not to list their home with an unrealistic sales price. Since the beginning of the year there have been 226 homes sell in Lakewood Ranch. That calculates to about a 20 month supply of homes.

Here are inventory and sales figures for homes on Lido Key from May 2006 to July 2007. The Sarasota MLS shows that there have been 18 homes that sold on Lido Key since the beginning of the year. That gives us about a 31 month supply of homes for sale.

Here are the inventory and sales for Lido Key condos. The number of condos for sale dropped off at the end of July to 118 and to 106 today.  There have been 40 condo sales so far this year. That comes to a 21 month supply of condos for sale. That is a positive sign. I think more and more sellers and agents are coming to the realization that it is better to keep your property off the market if you don't plan to price it properly.

Here is a chart of Casey Key home inventory from May 2006 to July 2007. The red line at the bottom indicates the number of sales each month. There have been 11 Casey Key homes that have sold this year. Currently, there are 44 homes for sale on the island. If current demand continues with no increase in supplies (won't happen, changes constantly) there is about a 32 month supply of homes for sale.

This home in Harbor Acres just sold recently. I have seen this home and really liked it. It was not a waterfront home. If it had been on the water it would have sold for quite a bit more. This home has been completely remodeled with attention to every detail. There are 2 wood burning fireplaces, limestone floors and a gourmet kitchen. It sold for $950,000.

Harbor Acres is one of the most desirable neighborhoods in Sarasota. Located west of Orange Avenue just south of downtown. It is conveniently located to the beaches, shopping, dining, downtown, arts, culture and everything else Sarasota has to offer. This home sits among some of the most amazing waterfront homes in Sarasota.

Here are the latest inventory figures for the Sarasota, Fl real estate market. As you can see the numbers have dropped a little bit. This data is for single family homes and condominiums. In June we had 7,970 units for sale and the July ending inventory numbers were 7,860 so there was a decrease of 80 units. Notice how the inventory peaked in April with 8,430 units for sale which is 570 units above the most recent levels. That is about a 6% drop in supplies.

Here is a chart for the same time period ending July 2006. This was obviously a much different time in the market. The red line at the bottom indicates the numbers of closings each month. Notice how the number of sales typically declines in the summer months for both years.

It is rare to turn on CNBC or watch the nightly news and not hear something about the subprime mortgage meltdown. Is this for real or has it been overhyped? This would not be the first time the media sensationalizes something to generate more ad revenue. The constant chatter sells more papers and makes more people tune in to the nightly news.

According an article from Fox News there are 44 million mortgages in the United States. Less than 14% of those mortgage are subprime. Only 13% of the subprime mortgages are late on the payments, with the majority of late payers working through their problems with the banks.

If you work through all of the knitty gritty details only about 0.6% of U.S. mortgages are in foreclosures. That’s up slightly from roughly…

I showed this Tuscan home yesterday to a client. It is listed with SKY Sotheby's International Realty. This is really a gorgeous home.

Tuscana is a gated community located just east of I-75 off Proctor road. It provides quick access to area golf courses, Siesta Key beach, downtown Sarasota and the interstate.

This Lee Wetherington home is located on a prime preserve & lakefront lot. This "Violetta" model has 4 bedrooms/ 3 1/2 baths plus an upstairs bonus room. The chef's kitchen includes wood cabinetry, gas cook top, dual convection ovens, under counter lighting, center island and granite tops. The maple flooring is especially nice. My client really liked the flooring. The heated pool & spa with screened lanai offers privacy while enjoying the…