Tuesday, January 20, 2015

Real Estate News for Winter 2015

2015 Shows Stable, Improving Market Locally 

The residential real estate market in the Greater Daytona Beach Area continues to improve and the "new normal" market is here.  In 2014 home sold prices showed an increase of 2.2% from the previous year, which is approaching a more normal market that usually achieves a 3-3.5% value increase from year-to-year. The average residential sold price in 2014 was $177,300.

We are a long way from the "bubble prices" of  2005-2006. But we are also no longer seeing price drops that led to a 40% decrease in values after the "bubble."  Prices are going up - good news for sellers.  But for buyers, if you wait to buy you will likely pay more later.

What's the Foreclosure Market Look Like Locally  
In the Greater Daytona Beach Area there are about 3,100 residential properties available, and only 9% are foreclosures.  It wasn't long ago that over 40% of the market was foreclosures. Cash buyers, most often investors, snapped up the low and moderately priced foreclosures over the past two years.  And banks are releasing new foreclosures slowly in order to keep prices up. Fannie Mae and Freddie Mac are the big players currently in the foreclosure market.  Go to http://www.homepath.com/  or http://www.homesteps.com/featuresearch.html for the latest information on what's available.

Tips on Selling in Today's Market 
The real estate market is hot - properties are selling fast and at fair prices. "Right-priced" properties get multiple offers quickly.  It's fine to set the asking price a bit on the high side, but over-priced properties tend to "sit there" until the inevitable price drops come.  In the meantime, the seller has lost valuable time in closing a sale that frees up funds to buy that next "dream house."
Curb appeal is critical. Don't let potential buyers who want to buy NOW drive past your house because it doesn't have that "buy me appeal." Invest some sweat equity and a few bucks into sprucing up the yard and your front door. Maybe some paint!  And - keep the interior clean, neat, odor free, and remove pets for showings. Remember, you are competing for that buyer, one who may already have two or three homes on a short list!

For Daily "Good Buys" and Investor Alerts
Follow me on Twitter @brokergarry.  And search all available properties in the Greater Daytona Beach Area on my websites:  www.buydaytonabeachhomes.com and www.buyormondbeachhomes.com.

Condo Sales Strong 
In December 2014, there were 147 condos sales in the area - one of our best months in a while. Prices ranged from $29,000 to $625,000. Currently, inventory is the problem - not enough condos on the market.

Interest Rates Continue at Historic Lows

The average 30-yr conventional mortgage rate in early January 2015 is 3.66%.  Last January 2014 it was 4.43% For some history - 30 years ago 1985 it was 13.08%. The current 15-yr rate is 2.98%  (Freddie Mac). 
Opinions expressed are those of G. Vance, REALTOR, and not necessarily those of Exit Beach Realty