Real Estate Supply

[BMBWalker]

This seems pretty obvious to me but if you are a boomer looking for a retirement area, you have to choose wisely, spend what you can afford, and know what type of lifestyle you desire.

If you have a primary residence you are selling and simply desire to roll the money into a home in another location, you may not spend any of your retirement money.

I would have a hard time believing that anyone who has been responsible enough to amass a substantial retirement account would then empty said retirement account to pay cash for a retirement home and then attempt to exist on a meager fixed income.

I'm sure there are many people who can afford to buy themselves whatever type of retirement home they choose. There are probably equally as many who cannot. Since developers overbuilt based on speculation and media hype about boomer waves, then they can face whatever consequences come their way. Hopefully it won't trickle down to harm the rest of us too much.

spinDrAtl...I'm assuming "Atl" is Atlanta; down here you hear many realtors stating that the boomers will bail out the market and it's just around the corner. I think that was what Shelly was referring to and I agree with Shelly; I personally consider it to be wishful thinking by many realtors here.

If you are in Atlanta, are you experiencing the overbuilding and boomer hype up there?

 

[redfisher]

I haven't agreed w/Shelly in the past and don't think she's right now

 

[BMBWalker]

I haven't agreed w/Shelly in the past and don't think she's right now

redfisher...you must be one of those "in the know" folks she mentioned!

 

[Lisa Ruby]

go to any major metropolitan area in the country, then return to sowal....
no need for further discussion,
everyone will eventually find their way.....

 

[SHELLY]

Since we're coming up on a new year, would you give us your assessment of the current market and a prediction on the next year(s)? I promise not to comment on it next year if you should stump your toe on this one!!

Many believe the Spring selling season will bring boomers flooding to the area ready to bid up the prices once again--I'm not one of them. NAR said that 2006 is the THIRD BEST YEAR ON RECORD for real estate...but still, a very large population of realtors/brokers are singing the blues; that tells me that many are not going to like what's coming down the pipe for 2007. If housing sales records were set in 2004-2006, when the prices were spiking, those trying to unload quickly may find they'll have to bring a check to closing (if they're lucky enough to close.)

I don't see anything on the horizon that would jumpstart the RE feeding frenzy anew. I think RE investments will continue to unwind and remain flat or decline for at least another year or two. (That's if there are no hurricanes.)

Many of the boomers who do want to retire in Florida might be tempted to head up north with the promise of living out their golden years with Eric Estrada as their neighbor.

OR

Maybe the boomers will want to scrap their beach-front dreams to enjoy the "Urban Lifestyle":
--------------------------------
MILLION DOLLAR CONDOS WITH A SOUP KITCHEN BELOW “Urban hipsters have shown a knack for dropping up to $1 million for condos in the heart of the District. But will they spend that much to live over a church that feeds the homeless?”

“The development company envisions 140 condominiums at 10th and G streets NW. As part of the deal, the developer will build a new sanctuary for the church, with eight floors of apartments above, along with balconies, a swimming pool and a fitness center.”

“When the new building opens, the church will occupy the first two floors and continue serving breakfast and dinner daily to several hundred homeless people.”

“One-bedroom apartments would sell for between $400,000 and $500,000, while two bedrooms with a den would go for about $1 million, said David DeSantis, PN Hoffman’s vice president of sales and marketing.”

“DeSantis said the company is well aware that some home buyers may blanch at the prospect of living above a homeless service center. But he said the developer expects to attract buyers who ‘are fully aware of the urban lifestyle’ and will ‘appreciate the building and the neighborhood for what it is.’”
----------------------------

Let me take a toot on what these developers are smoking!! These guys are still partying like it's 2005!


.

 

[jpreus]

Many believe the Spring selling season will bring boomers flooding to the area ready to bid up the prices once again--I'm not one of them. NAR said that 2006 is the THIRD BEST YEAR ON RECORD for real estate...but still, a very large population of realtors/brokers are singing the blues; that tells me that many are not going to like what's coming down the pipe for 2007. If housing sales records were set in 2004-2006, when the prices were spiking, those trying to unload quickly may find they'll have to bring a check to closing (if they're lucky enough to close.)

I don't see anything on the horizon that would jumpstart the RE feeding frenzy anew. I think RE investments will continue to unwind and remain flat or decline for at least another year or two. (That's if there are no hurricanes.)

Many of the boomers who do want to retire in Florida will be drawn up north with the promise of living out their golden years with Eric Estrada as their neighbor.

.

I have been following these postings regarding the real estate market in South Walton for most of the year. (I am a native of the area and have family there.) Having been a homeowner in Southern California in the 70's, suburban Boston in the 80's, and Boston and Cape Cod in the 90's, I can tell you that Shelly's assessment of 2007 is probably closer to what the reality will be. If South Walton follows the norm in real estate corrections, (and that is what is happening in the beach area) it will more than likely be 2009 before you start to see any substantial turn around.

As to where "boomers" from the northeast are headed........We have been in New England for the last 22 years, watching the winter migration to Naples and Palm Beach. People who already had homes there continue to go there for the winter. "Boomers" from this area who are now looking for a warmer climate are migrating to North and South Carolina in droves.

Likewise, northerners who already have homes in the beach area of Walton County will continue to go there. I think that people from the north who are looking for a second home or a retirement home are more likely to have an attitude of "wait and see" when it comes to buying in the Florida Panhandle.

 

[Mango]

Back Jpreus. Missed that darling kitty face tar.
In regards to your post above, Northerners do not have a clue where Walton County is.

 

[Rudyjohn]

Back Jpreus. Missed that darling kitty face tar.
In regards to your post above, Northerners do not have a clue where Walton County is.

Unfortunately, some do.;-)

 

[BMBWalker]

Many believe the Spring selling season will bring boomers flooding to the area ready to bid up the prices once again--I'm not one of them. NAR said that 2006 is the THIRD BEST YEAR ON RECORD for real estate...but still, a very large population of realtors/brokers are singing the blues; that tells me that many are not going to like what's coming down the pipe for 2007. If housing sales records were set in 2004-2006, when the prices were spiking, those trying to unload quickly may find they'll have to bring a check to closing (if they're lucky enough to close.)

I don't see anything on the horizon that would jumpstart the RE feeding frenzy anew. I think RE investments will continue to unwind and remain flat or decline for at least another year or two. (That's if there are no hurricanes.)

Many of the boomers who do want to retire in Florida might be tempted to head up north with the promise of living out their golden years with Eric Estrada as their neighbor.

OR

Maybe the boomers will want to scrap their beach-front dreams to enjoy the "Urban Lifestyle":
--------------------------------
MILLION DOLLAR CONDOS WITH A SOUP KITCHEN BELOW ?Urban hipsters have shown a knack for dropping up to $1 million for condos in the heart of the District. But will they spend that much to live over a church that feeds the homeless??

?The development company envisions 140 condominiums at 10th and G streets NW. As part of the deal, the developer will build a new sanctuary for the church, with eight floors of apartments above, along with balconies, a swimming pool and a fitness center.?

?When the new building opens, the church will occupy the first two floors and continue serving breakfast and dinner daily to several hundred homeless people.?

?One-bedroom apartments would sell for between $400,000 and $500,000, while two bedrooms with a den would go for about $1 million, said David DeSantis, PN Hoffman?s vice president of sales and marketing.?

?DeSantis said the company is well aware that some home buyers may blanch at the prospect of living above a homeless service center. But he said the developer expects to attract buyers who ?are fully aware of the urban lifestyle? and will ?appreciate the building and the neighborhood for what it is.??
----------------------------

Let me take a toot on what these developers are smoking!! These guys are still partying like it's 2005!


.

Shelly...thanks for your thoughts; your candor is appreciated. I've noticed that a lot of RE professionals here, probably thinking it's best to be optimistic, will not tell you the facts about the RE market or about their closings for 2006; you will probably be proven correct once again in 2007.

 

[redfisher]

The same types of people whining about r/e are the very same that whined about stocks 5 yrs ago?...They were down, got out and never got back in...What was the message of the stock market again?...In every contraction, recession, depression, collapse...choose your adj., some people get crushed...It teaches the lesson of moderation and greed...Why is that such dramatic news?...If they made bad choices, its their problem to solve...If they have a case, go to court...But nobody forced them to the closing table and coerced them to sign 37 times...Of those who do the most whining, I'd be interested to see the holdings...You might find that they seem to know a lot about what they don't own...

Will it ever be back the way it was?...I don't have a clue...BTW, I love exotic mortgages...am getting ready to write another one...

I didn't agree w/"them" before and I don't agree now...