Real Estate Supply

TFT, guessing the percentage of each of your categories would be difficult. There are several other reasons why some people are selling. From talking with many sellers, including FSBO (for sale by owners), I hear them saying that they do not have to sell. I think they are the majority by far. (one example is the vacant lot next to one I have listed. Basically, the lots are no different regarding type of lot, density, tree coverage, views, access, etc, yet the ForSaleByOwner (FSBO) is priced almost three times the price of the one I have actively listed. That FSBO seller has called me several times to check my price, but has never changed his price. He says that he doesn't have to sell.)

As for the "must sellers," the answer isn't so easy. Many of the must-sellers have more than one property listed, and when they sell one of the properties, they will likely pull the others off the market. This is what I hear from many of them. Some of these people may have between 2-5 properties currently available.

Then, there are other wishful, but over-priced, sellers who have pulled their listings off the market until it picks back up. So, when the market does begin to show a substantial increase in activity, look for these to be back on the market. Again, many of these are currently very overpriced based on the current market. They do not classify as have to sell and are wishful fishing.

I don't hear many sellers saying they fit into category number 2, though I am sure there are a few. In fact, I have been working with buyers who are buying for the opposite reason, though we are talking more "mid-term" rather than short term. (3-5 years) -- I know some people consider this long term, but I am more conservative.

There are a few who fall into your cat. 3, those who are tired of dealing with rental property, but those are very, very few.

THANK YOU SJ (and Josh too, ). All of this makes sense. I really didn't need percentages; I was just looking for insight. Knowing the motivations of some of these sellers leads me to believe that in the mid-term (which I also consider 3-5 years) things look pretty good. It also is my opinion that if the Legislature can hammer out something intelligent related to insurance this week, more buyers will step forward. Maybe not a flood, but more buyers nonetheless. Now somebody pass the

We are only 17 days into the 2007 and I have already written two contracts for homes, closed on one of the two, and expect to write an offer on another one this afternoon. I have several other people who are ready to buy homes in the next two months. These are people looking for primary residences. I am definitely seeing much more business and interest than in 2006. I think 2007 is going to be better than the lull people are expecting, and I think that the 3-5 year term will see substantial appreciation for people buying the better valued properties today.

We are only 17 days into the 2007 and I have already written two contracts for homes, closed on one of the two, and expect to write an offer on another one this afternoon. I have several other people who are ready to buy homes in the next two months. These are people looking for primary residences. I am definitely seeing much more business and interest than in 2006. I think 2007 is going to be better than the lull people are expecting, and I think that the 3-5 year term will see substantial appreciation for people buying the better valued properties today.

Thank you SJ, you are very generous taking the time to share what is actually happening "on the ground".

In what price range and locations are you seeing the most interest?

Thank you SJ, you are very generous taking the time to share what is actually happening "on the ground".

In what price range and locations are you seeing the most interest?

Pt Washington area has been the main focus, and price range in the $300K's.

Almost forgot, I have also closed on a lot in the Pt Washington area this year.

I also wrote an offer yesterday. People moving in from outside the area. A gentleman in my office has $11 million set to close this month. IMO we will see about a 15-20% increase over 2006. Every year thereafter should continue to grow. I don't expect any booms in the near future, but who needs them? This area will continue to be a good investment for the future. No bubble bursting, simply well needed readjustments.

We are only 17 days into the 2007 and I have already written two contracts for homes, closed on one of the two, and expect to write an offer on another one this afternoon. I have several other people who are ready to buy homes in the next two months. These are people looking for primary residences. I am definitely seeing much more business and interest than in 2006. I think 2007 is going to be better than the lull people are expecting, and I think that the 3-5 year term will see substantial appreciation for people buying the better valued properties today.

I have three physicians who have been waiting to just for the second quarter to buy. Another could not wait that long and purchased a home in Sandestin last month. Its not going to get better than right now, and want be surprised if you don't have a record year, no matter what the fear mongers do to scare people away. There just is no better place to be than SoWal

:clap_1: Go SJ Go!!!

Won?t the over supply of real estate inventory sharply increase as more sellers put their properties on the market in the Spring?


How far are we away from the 1980?s scenario when there were foreclosure auctions in front of condos and developments?

In the mid to late 80's, although able to see the opportunity, I was just a young pup without the means to take advantage at that time. I was able to get in during the 90's and now when there is panic in the streets and foreclosures everywhere, I for one will start looking seriously to buy.

In the mid to late 80's, although able to see the opportunity, I was just a young pup without the means to take advantage at that time. I was able to get in during the 90's and now when there is panic in the streets and foreclosures everywhere, I for one will start looking seriously to buy.

:clap_1: I, like you spinDrAtl, see the opportunity but, unlike you at this point, don't have the means to invest in more right now (I'm working on it, though :roll: ) but if I did, I would be seriously looking myself (and would be looking at it as a long term investment).

I think the key, too, is to not put all your eggs in one basket. It appears to me many people put all their bets into real estate over the last few years - drawing from their 401(K)s or using much or all their equity in their primary or secondary homes as down payments to purchase more real estate for example. Does anyone else think that is pure insanity??

In the mid to late 80's, although able to see the opportunity, I was just a young pup without the means to take advantage at that time. I was able to get in during the 90's and now when there is panic in the streets and foreclosures everywhere, I for one will start looking seriously to buy.

Yea, I remember that market! I spent 6 weekends that year looking for property, and never bought a thing. That was when you could by beach front lots for 100K! There was so much for sale, it was scary! You could drive down 30-A and you think it was an election year, and I thought Seaside would be chapter 7 in a matter of months with the price of their 40-50K lots! I don't think prices are not going to ever get as good as they are now!

:clap_1: I, like you spinDrAtl, see the opportunity but, unlike you at this point, don't have the means to invest in more right now (I'm working on it, though :roll: ) but if I did, I would be seriously looking myself (and would be looking at it as a long term investment).

I think the key, too, is to not put all your eggs in one basket. It appears to me many people put all their bets into real estate over the last few years - drawing from their 401(K)s or using much or all their equity in their primary or secondary homes as down payments to purchase more real estate for example. Does anyone else think that is pure insanity??

I agree and like you WISH I had some $$$ to invest....

I think the key, too, is to not put all your eggs in one basket. It appears to me many people put all their bets into real estate over the last few years - drawing from their 401(K)s or using much or all their equity in their primary or secondary homes as down payments to purchase more real estate for example. Does anyone else think that is pure insanity??

I think many people still think they can get too much for their home. Many of these people are coming to that realization and pulling off of the market. In detached single family homes from Destin throught Inlet Beach, the inventory has dropped for 5 straight months. The inventory in July of 2006 was 2,605. As of December that number had dropped to 2206.

How strange as the high season for rentals approaches. Perhaps they were never really market Sellers at all? Now don't want to put up with the flood of incoming?

A thread from about 1 year ago--

I have three physicians who have been waiting to just for the second quarter to buy. Another could not wait that long and purchased a home in Sandestin last month. Its not going to get better than right now, and want be surprised if you don't have a record year, no matter what the fear mongers do to scare people away. There just is no better place to be than SoWal

..or maybe now???

:roll: Jeez, these old flashback threads....

Happy 2 year Anniversary!

And what about my "Imminent Economic Meltdown"...Shelly, where is it?

Red,

It's here.


Shel.


.

Really?..Feels more like 1998 to me...Red

A thread that started when I was just a pup in 2006.

For those who remembered...the last post from 2008 alluded to my old avatar "WARNING: Economic Meltdown Imminent."

I really enjoyed sparring with my old pal, Redfisher.