this came from a daily news 'blip'..
REAL TAX CUTS FOR REAL PEOPLE: VOTE ‘YES’ ON 1In this new video, you’ll meet the Bonilla family of Hollywood. They’re voting “Yes” on Amendment 1 on January 29 because it will save them more than $1,400 a year in taxes. Find out how the property tax break will help them and families like them across the state. Share this link with friends, clients and colleagues. Check out the “Yes on 1” video: http://yeson1florida.com/video_gallery.php
I have heard the feedback from folks on reducing our firemen, policemen and so forth, but I am skeptical. when I went through the CONA leadership course, I met with many of the city leaders and it sure seemed like we added a lot of chiefs instead of indians as the tax revenue base increased. I still see 4-5 guys changing light bulbs for the city.
Our schools are still terrible based on the tests, but yet the tax dollars aren't going to make parents get more involved with their kids lives and education. I am not one to throw money at a problem.
My only thing is that folks really look at the amendment details and make an educated decision, not an emotional.
www.realtorshane.com or email me at swhitlatch@eralambrecht.com
Wednesday, January 16, 2008
Monday, January 07, 2008
Some good news about housing?
This article is courtesy of the Tampa Bay Business Journal, January 7, 2008.
"Although not ready to call it a trend just yet, preliminary home sales numbers for December show some of the best results in the past two years, despite December typically being the slowest month of the year for real estate sales.
Sales for Hillsborough, Pinellas and Pasco counties were up 14.5 percent while new listings dropped more than 21 percent from November, according to Multiple Listing Service numbers compiled by Tampa-based Home Encounter LLC.
There were 1,824 home sales in the three counties in December, up 14.5 percent from November's 1,559 sales. At the same time, the average price per square foot rose 4.2 percent to $145 despite actual sales prices below listing dropping another 16.4 percent to 6.1 percent from November.
"What we're seeing in December could indicate a slowing of the decline, but our analysis suggests that the bottom of the market is still a long way off," said Peter Murphy, chief executive officer of Home Encounter, in a release. "You can't correct the kind of problems we have overnight. Factors like 18 months over-supply will take their toll on the strength of the Bay area real estate marketplace for many months to come."
But the market seems to be picking up, according to the report. Hillsborough's projected rebound date has moved two months up to May 2010. Pinellas' projected rebound date improved four months to February 2009 while Pasco County could actually see a rebound beginning in November, an improvement by two months of the projected date determined in November.
New listings in the three counties fell 21 percent from 6,080 in November to 5,025 in December. At the same time, listing prices rose 11.1 percent to an average of $170 per square foot over November. Total listings declined 6.5 percent to 37,207 over November.
"The fact that these improvements occurred in December, that they were significant and that they were so widespread should give us cause for cautious optimism," Murphy said.
Existing home sales numbers for December is expected to be released by the Florida Association of Realtors later this month."
As I have reported to my clients in my bi-weekly marketing roundup, activity has definitely picked up. this doesn't mean it is time to raise prices and have a party for your Home Equity Line of Credit! Actually, I see it as a time when many sellers now have a realistic view of the market and have priced their homes accordingly. there are a lot of buyers who have been on the sidelines for some time and it has worked out for many of them. Unfortunately, just like with the stock market, by the time we all read about the market 'turning' it will be too late. I still think we have quite a long time for that 'turn' that everyone loves to predict. I hope we are settling into a period of time for reasonable pricing, reasonable activity, and reduced burden from taxes and insurance.
www.realtorshane.com or email me at swhitlatch@eralambrecht.com
"Although not ready to call it a trend just yet, preliminary home sales numbers for December show some of the best results in the past two years, despite December typically being the slowest month of the year for real estate sales.
Sales for Hillsborough, Pinellas and Pasco counties were up 14.5 percent while new listings dropped more than 21 percent from November, according to Multiple Listing Service numbers compiled by Tampa-based Home Encounter LLC.
There were 1,824 home sales in the three counties in December, up 14.5 percent from November's 1,559 sales. At the same time, the average price per square foot rose 4.2 percent to $145 despite actual sales prices below listing dropping another 16.4 percent to 6.1 percent from November.
"What we're seeing in December could indicate a slowing of the decline, but our analysis suggests that the bottom of the market is still a long way off," said Peter Murphy, chief executive officer of Home Encounter, in a release. "You can't correct the kind of problems we have overnight. Factors like 18 months over-supply will take their toll on the strength of the Bay area real estate marketplace for many months to come."
But the market seems to be picking up, according to the report. Hillsborough's projected rebound date has moved two months up to May 2010. Pinellas' projected rebound date improved four months to February 2009 while Pasco County could actually see a rebound beginning in November, an improvement by two months of the projected date determined in November.
New listings in the three counties fell 21 percent from 6,080 in November to 5,025 in December. At the same time, listing prices rose 11.1 percent to an average of $170 per square foot over November. Total listings declined 6.5 percent to 37,207 over November.
"The fact that these improvements occurred in December, that they were significant and that they were so widespread should give us cause for cautious optimism," Murphy said.
Existing home sales numbers for December is expected to be released by the Florida Association of Realtors later this month."
As I have reported to my clients in my bi-weekly marketing roundup, activity has definitely picked up. this doesn't mean it is time to raise prices and have a party for your Home Equity Line of Credit! Actually, I see it as a time when many sellers now have a realistic view of the market and have priced their homes accordingly. there are a lot of buyers who have been on the sidelines for some time and it has worked out for many of them. Unfortunately, just like with the stock market, by the time we all read about the market 'turning' it will be too late. I still think we have quite a long time for that 'turn' that everyone loves to predict. I hope we are settling into a period of time for reasonable pricing, reasonable activity, and reduced burden from taxes and insurance.
www.realtorshane.com or email me at swhitlatch@eralambrecht.com
Tuesday, December 25, 2007
Merry Christmas from St Petersburg Florida
For those of you who know me you already know my bias towards St Petersburg. After travelling to all but 4 states in the United States, I still find it hard to top St Petersburg regardless of the yardstick you use in measurement. Sure, it doesn't snow on Christmas here but my kids went and played in the 'snow' last week in their shorts, and ate Beef Tenderloin by the pool Christmas eve, went to mass without a jacket, played soccer, rode bikes, and topped it off by jumping in the pool on Christmas. That, my friends, was our dose of cold weather for Christmas. Last year we had some rain, but this year the weather was normal and absolutely beautiful and another reminder that yes we do live in a wonderful place.
Merry Christmas from my family to yours.
Saturday, December 22, 2007
A soldier buys his first home today and gives me a lesson in life and business.
I had a closing on one of my listings yesterday that held a lot of meaning for the season, the current real estate market, and for my business model. It didn't really hit me until this morning, the day after the closing, when I sat down and was reading an article in the WSJ regarding the housing market.
This listing was one of the least expensive listings that I have had this year, but it probably holds the most meaning. Isn't that usually the case in everything. The 80/20 principle, I guess.
This listing was a nice 3/2 single family home in the low $200K's. The buyer is active military and is being shipped to Gitmo in a week or so, and has a fiancee and 2 small children and this is their first Home that they can call their own. So, from a real estate standpoint, this was the case where a buyer was thrilled with his purchase. He is buying a home at well-below the appraised value of the home, it is a lot of the home for the money and is in a nice neighborhood. At the closing table, he said something like "I just bought a 1/4 acre piece of American soil". How exciting! After a hurried weekend of moving in, he can enjoy a happy Christmas with his family in his own home. One of his goals was to find a home that he could be comfortable that his family would be safe and comfortable in while he was overseas. I was happy to be a small part of that.
From a business standpoint, this was important for a couple of reasons. First of all, this listing was with a seller who originally listed with an agent in our office and was unhappy with his agent. This can happen to any of us for a variety of reasons, but is never the goal at the beginning of the listing, I can assure you. Our broker had agreed to end the agreement but asked that he speak to me about what my team may be able to offer. I met him, found him to be a pleasant and most importantly (to me, at least) a straight-shooter. Because of the price point of this home, I would use our team approach to give it a bit more local exposure and that is what we agreed to do. The previous agent has since quit real estate, by the way. Lots of that going on, thankfully. It took a lot of time, conversations, strategy, and trust in each other but the house is now sold and all parties are pleased with the outcome. Service always wins out regardless of the business.
The most important part of this transaction to me, however, was that this buyer was an active soldier who is part of the force defending our principles and freedom. Say what you want about the current administration or your party affiliations, but this young man is one of thousands who are defending our lifestyle with their lives. Imagine being so excited about buying your first home, but knowing that you are leaving in 7 days for an entire year. My wife and I have been watching the series "the war" that was on PBS a month or so ago and it was eye-opening. I studied history as a kid, of course, but watching this series showed how much we have to be thankful for and how much of a sacrifice our young men and woman offer for our freedoms. It angers me to see the way that many of the war protesters target the actual troops. Again, part of the greatness of this Country is being able to disagree with the administration (or anything really), but to target the soldiers who are doing what they are told to do bothers me. The series also makes me appreciate the lifestyle we have daily. If you watch that, you will see what everyday citizens lived through during that war. Almost every citizen was impacted by the war daily. We can't say that today. God bless our troops, each and every one of them.
This listing was one of the least expensive listings that I have had this year, but it probably holds the most meaning. Isn't that usually the case in everything. The 80/20 principle, I guess.
This listing was a nice 3/2 single family home in the low $200K's. The buyer is active military and is being shipped to Gitmo in a week or so, and has a fiancee and 2 small children and this is their first Home that they can call their own. So, from a real estate standpoint, this was the case where a buyer was thrilled with his purchase. He is buying a home at well-below the appraised value of the home, it is a lot of the home for the money and is in a nice neighborhood. At the closing table, he said something like "I just bought a 1/4 acre piece of American soil". How exciting! After a hurried weekend of moving in, he can enjoy a happy Christmas with his family in his own home. One of his goals was to find a home that he could be comfortable that his family would be safe and comfortable in while he was overseas. I was happy to be a small part of that.
From a business standpoint, this was important for a couple of reasons. First of all, this listing was with a seller who originally listed with an agent in our office and was unhappy with his agent. This can happen to any of us for a variety of reasons, but is never the goal at the beginning of the listing, I can assure you. Our broker had agreed to end the agreement but asked that he speak to me about what my team may be able to offer. I met him, found him to be a pleasant and most importantly (to me, at least) a straight-shooter. Because of the price point of this home, I would use our team approach to give it a bit more local exposure and that is what we agreed to do. The previous agent has since quit real estate, by the way. Lots of that going on, thankfully. It took a lot of time, conversations, strategy, and trust in each other but the house is now sold and all parties are pleased with the outcome. Service always wins out regardless of the business.
The most important part of this transaction to me, however, was that this buyer was an active soldier who is part of the force defending our principles and freedom. Say what you want about the current administration or your party affiliations, but this young man is one of thousands who are defending our lifestyle with their lives. Imagine being so excited about buying your first home, but knowing that you are leaving in 7 days for an entire year. My wife and I have been watching the series "the war" that was on PBS a month or so ago and it was eye-opening. I studied history as a kid, of course, but watching this series showed how much we have to be thankful for and how much of a sacrifice our young men and woman offer for our freedoms. It angers me to see the way that many of the war protesters target the actual troops. Again, part of the greatness of this Country is being able to disagree with the administration (or anything really), but to target the soldiers who are doing what they are told to do bothers me. The series also makes me appreciate the lifestyle we have daily. If you watch that, you will see what everyday citizens lived through during that war. Almost every citizen was impacted by the war daily. We can't say that today. God bless our troops, each and every one of them.
Sunday, December 16, 2007
Why we live in St Petersburg part 74
This photo is of the 25th Annual boley center's Jingle Bell Run that took place on Wednesday in downtown St Petersburg. I took this photo from an online gallery by a user names "tampabay" on TBT.com. If you look really closely, you can see my wife and I and a few friends just getting started on the race. It was a beautiful night for the 5K that pits racers of all types - serious runners, skateboarders, walkers, runners with 4 legs, and strollers that run/walk/other along the beautiful downtown waterfront of what I think is the most beautiful liveable downtown in the US. The weather was perfect, probably mid-70's, and clear skies. along the course, supporters wave and sing Christmas carols. Just a wonderful event that makes St Petesburg great.
My only regret is that my friends started sprinting at the start so I had to chase after them the entire 5K, finished around 28 minutes or so including about 1/2 mile of lateral running to get ahead of the pack in the beginning. Rumor was that there were bands along the way, but my goal was to stay with my friends to avoid embarassment so staying vertical and breathing was my primary focus:)
It really was a beautiful evening and event.
Median or Average - which is a better gauge?
There was an article in the paper this week about the drastic price drop in home prices in the Tampa Bay area. Big headline, prominent placement - imagine that. In any event, the numbers reflect the market accurately. Or so it would seem. I pore over market numbers every month when they come out and try to see what it will mean for my clients. I am a numbers guy, so I love this stuff. I have seen this same article appear every few months it seems and it is only when the headline can say something like "biggest drop since..." or similar catchy headline. If you read the entire article, which I think most do not, it does refer to the median price drop but it also referred to the average prices only dropping 5% or so since 2006 in that month. That doesn't garner the bold headline. The truth is evident - the averages are down from last year and I think that will continue for some time. This silver lining is that for certain homes, this is a pretty darn good time to sell a home. If you look at what the median represents and then look closer at the numbers the story that I can pull out is that the largest price block in terms of sales is in the $200K range. It is actually fairly healthy relative to other price points. Not robust, but healthier. If you apply some price reduction to the price segments across the board and couple that with a growth or strong segment of homes selling in the high $100's and low $200K's, the median must go lower. If you have a house to sell in that price range the numbers could actually be good news.
Now back to the reality. I have said this for over a year to my clients. The homes that are selling are those that are in the best condition that they can be in. They are clean, show well, in good condition, and most importantly priced as well as they can be. No secret, no crazy incentives. Just a good product at a good price.
Does that guarantee a sale? I wish it could, but it is a must if you want to sell your home in this challenging market.
Now back to the reality. I have said this for over a year to my clients. The homes that are selling are those that are in the best condition that they can be in. They are clean, show well, in good condition, and most importantly priced as well as they can be. No secret, no crazy incentives. Just a good product at a good price.
Does that guarantee a sale? I wish it could, but it is a must if you want to sell your home in this challenging market.
Wednesday, December 12, 2007
List Price = Overprice ?
Based on everything you read in the media today, if you are buying a property you should offer (put in your number here)% below list price because in this market, of course, everything is overpriced.
Well, I have a problem with that but it is one that is hard to pin down. The assumption that is made is that every property is overpriced by (cut a number from your favorite media outlet)%. That is true only when you look at averages, not absolutes. The problem is how to pinpoint just exactly what the selling price 'is'. well, that part is actually easy - it is what a buyer will pay and a seller will sell it to that buyer for. Simple. Getting to that agreement is not, however, simple.
What my partner and I have been saying all year to every client is to price it within range of our suggested 'sales range'. This range is a guess, perhaps an educated one but that isn't for this debate. If you overprice and miss that range, you might miss the real buyer and even worse, you will compete with homes that you shouldn't (and in the buyers' mind) don't compete with and will end up helping another one sell.
Traditionally, we Realtors could recommend a purchase appraisal be done on the home. in this market, ironically, I have had buyers say 'yes, but that is just an opinion.' Well, sure it is, but it is one that the bank is going to use to let you have some bucks to buy the home and you bet that they are on the conservative side.
The point is that in our market, there are homes that are overpriced, absolutely, but there are also many homes that are priced well and even some (fewer) that are priced below market price. At the end of the day it takes a buyer to pay for a "market price" to be attached, so let the rodeo begin.
Well, I have a problem with that but it is one that is hard to pin down. The assumption that is made is that every property is overpriced by (cut a number from your favorite media outlet)%. That is true only when you look at averages, not absolutes. The problem is how to pinpoint just exactly what the selling price 'is'. well, that part is actually easy - it is what a buyer will pay and a seller will sell it to that buyer for. Simple. Getting to that agreement is not, however, simple.
What my partner and I have been saying all year to every client is to price it within range of our suggested 'sales range'. This range is a guess, perhaps an educated one but that isn't for this debate. If you overprice and miss that range, you might miss the real buyer and even worse, you will compete with homes that you shouldn't (and in the buyers' mind) don't compete with and will end up helping another one sell.
Traditionally, we Realtors could recommend a purchase appraisal be done on the home. in this market, ironically, I have had buyers say 'yes, but that is just an opinion.' Well, sure it is, but it is one that the bank is going to use to let you have some bucks to buy the home and you bet that they are on the conservative side.
The point is that in our market, there are homes that are overpriced, absolutely, but there are also many homes that are priced well and even some (fewer) that are priced below market price. At the end of the day it takes a buyer to pay for a "market price" to be attached, so let the rodeo begin.
Friday, October 26, 2007
Home Prices - what it means
If you are under a rock, you probably missed the headlines this week about the median price dropping this month. For the rest of you, let's review this a bit and see what I think it means. (for what it is worth).
These numbers represent all of Tampa Bay so this includes Pasco and Hillsborough counties in addition to Pinellas county. I will post the Pinellas numbers a bit later, I hope. I don't like to include or really review Hillsborough and Pasco counties because those areas include new subdivisions where hundreds and hundreds of similar homes are slapped together side by side. In Pinellas county, we don't have the space for that and there is a bit more of a destination or resort market influence in Pinellas. Out of state or out of Country buyers don't seek out track homes in Meadowview Grove Pines that is surrounded by Target, Publix, and an interstate. Of course, someone can find an exception. South Tampa and the Pasco coastline may be the exception in those areas.
enough said. Looking at the numbers as a whole is still an indicator of the regional market and they aren't good for many home sellers who have the paper money thoughts like the dot.com option days (I have been there, my friends). Median home prices are going to fall below $200,000 for the first time in 2.5 years, based on the article. The median in September was $200,700 - a 10% decline from the previous MONTH, and a 9.6% decline from 2006. Sales of existing homes, a better indicator, is down 39.7% from September 2006. Remember, this was down significantly from 2005 as well.
So, what does that mean? Well, for sellers it means you better make sure that your home is in great condition, shows very well, and is priced spot on - and then you have a chance of selling. I have been telling my clients all year that this is still a good market (and I have over 20 happy clients who have sold their home this year who can tell you the particulars), if - and it is a huge IF - the property is in the best possible position in the marketplace.
what exactly does that mean I hear you asking. Well, in my humble opinion, it means that if it has any functional 'issues' - it may not sell. At any price. Wow, that sounds strong, but we are seeing it play out daily. if the house is in a poor location - major issue. If the house is dated - major. If the house was remodeled cheaply - major issue. I hear Sellers tell me every day that the Buyers can overlook all of that and see the potential. Well, with over 18000 properties on the market in Pinellas county alone, they don't need to have vision unfortunately. They need patience to see all of the appropriate homes and they will buy the best one and try to get it at the lowest possible price. Very simple economics, really.
I had a potential client tell me the other day that my price recommendation was low so that it would be easy for me to sell it quickly. That may be true for some agents out there, probably too many, but if you look at what I have sold this year and for what prices you will see them among the highest price per sq foot etc... I just closed one that was sold for $290/sq foot. it is literally a few houses down from one that is listed at $178/sq foot and isn't selling.
I had to calm myself down, count to ten, and then review the market and her competition and after thinking about it more, Lee Ann and I decided to withdraw our proposal and decline the business. Let someone else list it for too much, watch it sit there for months and months and months, and then it may (MAY) sell next year for less than our target price. I wish I could bet someone money on some of these. See, in this type of market and in our society, we need someone to blame.
when prices were soaring - it was the Realtors' fault. Greedy, commission, all the rest. Well, now the prices have tanked. guess whose fault it is? you bet, ours. those darn licensed agents who are working hard to promote the home inthe best way possible, suggest a strong sales price, and have the sellers say "but I won't make my magic number after it sells". If we took out our commission - well then we are talking. That is the secret, the Realtor commission is what is wrong with the market. If you would simply deduct the $15K from that $275,000 house it would sell!!!! Sure, for $195,000.
These numbers represent all of Tampa Bay so this includes Pasco and Hillsborough counties in addition to Pinellas county. I will post the Pinellas numbers a bit later, I hope. I don't like to include or really review Hillsborough and Pasco counties because those areas include new subdivisions where hundreds and hundreds of similar homes are slapped together side by side. In Pinellas county, we don't have the space for that and there is a bit more of a destination or resort market influence in Pinellas. Out of state or out of Country buyers don't seek out track homes in Meadowview Grove Pines that is surrounded by Target, Publix, and an interstate. Of course, someone can find an exception. South Tampa and the Pasco coastline may be the exception in those areas.
enough said. Looking at the numbers as a whole is still an indicator of the regional market and they aren't good for many home sellers who have the paper money thoughts like the dot.com option days (I have been there, my friends). Median home prices are going to fall below $200,000 for the first time in 2.5 years, based on the article. The median in September was $200,700 - a 10% decline from the previous MONTH, and a 9.6% decline from 2006. Sales of existing homes, a better indicator, is down 39.7% from September 2006. Remember, this was down significantly from 2005 as well.
So, what does that mean? Well, for sellers it means you better make sure that your home is in great condition, shows very well, and is priced spot on - and then you have a chance of selling. I have been telling my clients all year that this is still a good market (and I have over 20 happy clients who have sold their home this year who can tell you the particulars), if - and it is a huge IF - the property is in the best possible position in the marketplace.
what exactly does that mean I hear you asking. Well, in my humble opinion, it means that if it has any functional 'issues' - it may not sell. At any price. Wow, that sounds strong, but we are seeing it play out daily. if the house is in a poor location - major issue. If the house is dated - major. If the house was remodeled cheaply - major issue. I hear Sellers tell me every day that the Buyers can overlook all of that and see the potential. Well, with over 18000 properties on the market in Pinellas county alone, they don't need to have vision unfortunately. They need patience to see all of the appropriate homes and they will buy the best one and try to get it at the lowest possible price. Very simple economics, really.
I had a potential client tell me the other day that my price recommendation was low so that it would be easy for me to sell it quickly. That may be true for some agents out there, probably too many, but if you look at what I have sold this year and for what prices you will see them among the highest price per sq foot etc... I just closed one that was sold for $290/sq foot. it is literally a few houses down from one that is listed at $178/sq foot and isn't selling.
I had to calm myself down, count to ten, and then review the market and her competition and after thinking about it more, Lee Ann and I decided to withdraw our proposal and decline the business. Let someone else list it for too much, watch it sit there for months and months and months, and then it may (MAY) sell next year for less than our target price. I wish I could bet someone money on some of these. See, in this type of market and in our society, we need someone to blame.
when prices were soaring - it was the Realtors' fault. Greedy, commission, all the rest. Well, now the prices have tanked. guess whose fault it is? you bet, ours. those darn licensed agents who are working hard to promote the home inthe best way possible, suggest a strong sales price, and have the sellers say "but I won't make my magic number after it sells". If we took out our commission - well then we are talking. That is the secret, the Realtor commission is what is wrong with the market. If you would simply deduct the $15K from that $275,000 house it would sell!!!! Sure, for $195,000.
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