Port St Lucie Florida Real Estate Blog from RLM Properties Broker Roger Moore

Roger Moore Real Estate Blog

Are We There Yet?

February 15th, 2009 8:37 AM

After reading over my blog on Feb 8th 2008 we are almost a year to the day and I had stated by Spring of 2009 we should know where we are at as far as prices and a bottom. I am not one to call a bottom yet but we are getting multiple offers now on properties that are priced correct. We are seeing buyers getting frustrated at loosing deals after 5, 10, even 16 offers on each property. If you are looking to buy, be patient the right deal will come your way. Some would ask if there is so much inventory why are buyers having such a hard time? The inventory consists of REO (Bank Owned property after the foreclosure of a home) and Short Sale (Prior to foreclosure, owner still owes full mortgage amount). We still have a large number of short sales on the market that have not gone thru the process of foreclosure so when a REO bank owned property comes on the market it is priced at a price the bank agrees to and as long you are the highest and best (not first) offer the bank will accept. Agents are putting short sale listings on the market at low prices but the bank has not approved that price yet, so you place an offer on a short sale, they send it to the bank with supporting sales and if the bank rejects you have wasted 30, 45, even 90 days. If you are looking to buy and you do not want to waste time look at REO (Bank Owned) listings and be patient as you may be putting in an offer against 3-5 other buyers, remember the bank may require the property to be on the market for 5-7 days to get exposure and in that time 3, 5 , 10 offers may come in and the bank will look at the highest and best, which means the best price but also the best terms ( cash vs. loan , amount in escrow, percentage down, close date). If you are an informed buyer you will not be as frustrated at the process. Now that you have an accepted offer be ready that these are foreclosed homes and that the closing date may not be the date on the contract so do not plan everything on these dates, be ready that an extension may be needed due to title issues as the closing companies closing these deals are extremely over worked and mistakes happen. So Are we there yet? I think we are still going to see a reduction in prices but if you are going to live in your homes for 5-7 years or more it is getting to a point where buying is making more sense than renting.

Posted by Roger Moore on February 15th, 2009 8:37 AMPost a Comment (2)

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Bottom Yet?

April 19th, 2008 9:11 PM

Since the peak in December of 2005 we have come to April 2008 with prices dropping over 50% on some homes, with a hugh inventory of Short Sales on the market (Short sale is where seller owes more than what the house is worth and needs approval from bank to take the loss). We are seeing the foreclosure market pick up again as banks a selling properties at more realistic prices that local workers can afford after an unrealistic run up in prices due to easy money, loose lending practices and investor speculation. Port St Lucie FL was one of the fastest growing cities, so we would expect to one of the biggest hit on prices and inventory. If you are looking to sell, you have to priced below market to get showings and offers. If you are looking to buy, there are some good deals on the market and they have multiple offers if it a great deal. If you would like more information on foreclosures look on the foreclosure tab for some of my listings or send me an email, or you can even call to talk to me directly.

Posted by Roger Moore on April 19th, 2008 9:11 PMPost a Comment (0)

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Market update

February 10th, 2008 3:21 PM

After the last 2 years we have seen a drop of over 41% of over all average sales price, We have seen inventories swell to over 6,000 single family homes in the Port St Lucie area from the average 2500 in the previous 5 years. If you read my last blog we were still far off from any perceived bottom and I suggested to dump property and rent for the next 1-2 years. I do think we are still going to see a decrease in prices here due mostly to inventory levels and the rampant investor speculation we had here in Port St Lucie. We would see a 10%-even 15% more drop but since I do know the future I would say by the end of this year or spring of 2009 we should know where we stand. I have seen more buyers come out to take advantage of the lower interest rates averaging 5.75 - 6.00 which is great if you can swing the taxes and insurance. The property tax portability that was passed will allow sellers to sell (at less than they hoped) and downsize and bring their tax assessment with them, this could help those that want to downsize but could not because the taxes would triple or more. A note on the tax problem, I have started Property Tax Reducers to aide property owners verify they are paying the correct tax from their tax assessment the county has assigned your property, for small one time fee we can evaluate your property and infom you if we can help lower your property tax. As far as the market, I would rent for 6 months and review unless you can grab a bank owned property or foreclosure at a discount. I valuate and sell bank owned property so please call if I can help in any way.

Posted by Roger Moore on February 10th, 2008 3:21 PMPost a Comment (0)

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Be honest, what is my house worth!

June 11th, 2007 8:31 AM

Here we are in June of 2007! I remember sitting at the kitchen table of sellers at the beginning of 2006. They asked me do I think home prices will go up or down? I told them we had atleast another 10%, most laughed or hurried me off. Read my post of March of this year and still looking at 5% - 10% I look back at those properties now and some of them have gone down an average of 15% - 20%.If you have to sell your home in this market, for the best chance of getting a contract you should price 5% -10% under what all the other comparable properties.

Lets look at the numbers:

Port St lucie FL

Residential Single Family homes (Monthly)

May 2004 May 2007

Inventory: 2892 6373

Sold: 488 150

Days on Market: 47 158

With more than double the inventory on the market and less than half of the homes sold, it does not take a rocket scientist to figure out we have a rough ride ahead for the real estate market. If you must sell find a good and honest real estate agent that will tell you what you NEED to hear not what you WANT to hear about the price of your home. If you price too high right now and have to lower over the next 6 months you may loose tens of thousands of dollars. So lower your price and even raise the commission for the buyers broker. You say that you have already lowered your price! then lower it again, do another CMA to see if your price is realistic. If it still does not sell, it may be the house next store, what about repairs that need to be done, or even the neighborhood. These other things that you can not change, so you must reduce the price to compensate for things you can not change. As in the past blogs we need to remember to not hold to the things of this world too tightly, when they are pulled from your hands it stings more. If you have a house that you got into and can not afford, take the loss and start over. Remember 10 out of 10 people will die and all these things will be gone, look to God thru His son Jesus Christ that died for your sins so you can have a relationship with God. Call me or email if you have any questions about real estate or more importantly a relationship with GOD!

Posted by Roger Moore on June 11th, 2007 8:31 AMPost a Comment (0)

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Tell me the real numbers and what is really important here!

March 27th, 2007 9:01 PM

We hear it in the news from CNN to CNBC, what is going to happen with the real estate market and what are going to be the effects on the market due to the Sub-prime market and the increase in the foreclosures?We hear from the bubble masters and the doom and gloomers that the end is at hand, and on the other end of the spectrum things are turning around! I can say that both sides have good points and I would personally take a middle position. With the numbers I look at everyday in Port St lucie Fl, we have 1 yr to 18 months until the bottom and we may see 5 - 10% reduction in price if we have NO hurricanes! As my mentor says, if you hear it in the news it is over about the Sub-prime problem.I look at the numbers on the ground and see too much inventory with more coming on due to foreclosures and less buyers due to the tightening of the lenders.I do believe Port St Lucie is set for some great growth and enjoy living in Sunny Florida.We have issues with the taxes and insurance that have held people back from buying. Florida is in the almost impossible struggle to change things in the insurance industry and the property taxes.Altough I do not see how they can change anything, it may be enough to encourage people to buy and or downsize.In the end, this is all a distraction from the real important thing that is a relationship with God thru His Son Jesus Christ, so do not get too worried about all these temporary things!

Posted by Roger Moore on March 27th, 2007 9:01 PMPost a Comment (0)

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Get in late on the real estate market?

March 3rd, 2007 7:16 PM

The real estate market has been a real struggle for those who got in the game late 05 early 06.Are you are holding on to properties hopping for things to turn around this year? You may want to look at the amount of holding costs you will incure while holding the property over the next 2-5 years for prices to turn around. Unless there is a tax benefit it would be best to drop the price and sell the property nd take the loss this year. Check with your accountant about the tax benefit of selling now and spreading the loss over the following years.

Posted by Roger Moore on March 3rd, 2007 7:16 PMPost a Comment (0)

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