Gulf Coast Associates' Blog: All Categories

Lured by lower prices, buyers figured out the bottom is here and now is the time to buy again in Southwest Florida. For those still sitting on the fence, many of the best properties are quickly being snapped up and your options are rapidly becoming less wide ranging.

In April, Naples experienced its busiest month for sales this year and the Bonita Springs and Estero markets are experiencing the same good fortune. Overall, Naples property sales rose 6% in April and pending sales jumped 25%. Bonita Springs and Estero saw overall sales rise 33% and pending sales were also up by 30% for the month.

While lower prices appear to be the driving force behind these increases in sales, other factors are also playing an important role. International buyers are not…

The January thru March Naples real estate market statistics for both homes and condominium sales are listed below. Naples, known as the "Crown Jewel" of SW Florida's Gulf Coast, is a truly cosmopolitan, quaint, and cultural city that has transformed itself into a dynamic international and world renown destination.

Naples Sales Data

Naples Home Sales Jan-Mar 2008*:

• 385 Closed Sales
• Average Sales Price - $882,107
• Median Sales Price - $450,000
• Average Days on Market - 192
• Price/Sq. Foot - $305.01

Naples Condominium Sales Jan-Mar 2008*:

• 506 Closed Sales
• Average Sales Price - $562,358
• Median Sales Price - $304,995
• Average Days on Market - 195
• Price/Sq. Foot - $272.64

In comparison with 2007 sales…

Fannie Mae announced today it will be scrapping its extra 5% down payment requirement for properties identified as being located in a declining market. The change will affect conventional, conforming mortgages that the company will purchase or guarantee and is an additional part of the company's recent Keys to Recovery initiative.

The company had been under pressure from both Realtors® and industry insiders alike since it adopted the policy in December, 2007. Marianne Sullivan, one of Fannie Mae's senior vice presidents said "This new down payment policy reinforces our goal to support successful home-owning, not just home-buying, as we seek to bring liquidity to all communities and help the housing market recover."

The new policy will take effect June 1,…

Beginning July 14, 2008, FHA will implement a new flexible premium pricing structure that HUD believes will assist more homeowners struggling to keep up with their high-cost subprime adjustable rate mortgages. According to HUD Deputy Secretary Roy A. Bernardi, “fair pricing will allow FHA to reach more troubled homeowners without placing excessive risk on its insurance fund.”

Up to now, FHA had one premium structure that charged borrowers 1.50 percent of the loan balance upfront and .50 percent annually regardless of the borrower’s credit standing. Under the new pricing structure, FHA’s upfront mortgage insurance premium will range from 1.25 percent to 2.25 percent based on borrower credit risk.

The new pricing plan is set to coincide with modifications…

The first quarter 2008 Pelican Landing real estate market statistics for both homes and condominiums are listed below. Pelican Landing is an upscale gated golf community with excellent amenities and is considered one of Bonita Springs' premier communities. Pelican Landing distinguishes itself by being the only community in the area to own a private barrier island on the Gulf of Mexico. The island includes a 32 acre beach park that residents have daily access to via a community run boat shuttle service. Residents can also opt for membership in the Pelican's Nest Golf Club. Its two 18 hole Tom Fazio designed golf courses are considered by many as some of the best available here in Southwest Florida.

Pelican Landing Sales Data

Pelican Landing Home Sales…

Not a week goes by that we don't hear from a buyer for a property in Southwest Florida who says, Oh, I'll just go try to buy a property on the courthouse steps and get a really good deal." There are a few localities in our area that have the distinction of being some of the most active foreclosure markets in the country, so this can be expected. However, what an eye opening experience these buyers encounter when they try this approach.

Most think they can get a Naples or Bonita Springs property on a shoestring budget and that is just not the case. While the courthouse steps are a place where in the past you might find a property at a bargain price, those opportunities are mostly non-existent in today's environment and if you're not careful you could lose…

The January thru March Estero real estate sales statistics for both homes and condominiums are listed below. Estero is ideally located between Ft. Myers and Bonita Springs and is currently in the process of building and developing wherever you travel in the area. Developers are offering every type of community you can imagine, from large gated and planned communities, to smaller town centre type projects where the amenities are built around a self-contained lifestyle.

Estero Sales Data

Estero Home Sales Jan-Mar 2008*:

• 109 Closed Sales
• Average Sales Price - $390,994
• Median Sales Price - $330,000
• Average Days on Market - 138
• Price/Sq. Foot - $164.08

Estero Condominium Sales Jan-Mar 2008*:

• 73 Closed Sales
• Average…

For those of you who follow our blog, you know we try very hard to keep you up to date with all the changes that are occurring in the mortgage lending industry on an ongoing basis. Unfortunately, since around the beginning of March, we have had our hands full trying to keep up with the overwhelming increase in our real estate business due to the fact it was the height of our "season" here in Southwest Florida and business is booming again. Our belief is that what has occurred for us here in our real estate markets this winter will also show up and spread across the rest of the country as we move into summer. At least we hope so!

So, in order to keep you up to date, we have decided to do a synopsis of what has occurred over the last 45 days that should be…