Tuesday, November 04, 2014

Strong Despite

October was surprisingly strong for property sales in Cocoa Beach and Cape Canaveral. The Cocoa Beach MLS shows a total of 59 condo and townhome units and 12 single family homes closed in the month. That's considerably more than I was expecting. Besides the high number of sales, the percentage of sales financed with a mortgage continued to increase with almost half, 38, buying with borrowed money. Just three years ago close to three quarters of all property purchases were with cash.

Short sales continue to dry up with only one short sale closing in October. Foreclosure sales increased slightly with 13 bank-owned units selling. Note that Fannie Mae ended the Homepath mortgage program in October so we won't be seeing any more of those low down payment, no appraisal loans on future foreclosure sales. Today's inventory of all property types is 9% short sales and foreclosures.

Inventory is still decreasing with 242 condo and townhome units and 59 single family homes for sale today in our two cities. The majority of direct ocean units sold in October closed for prices in the $200 to $240 per square foot range. There is considerable buyer interest in direct ocean units at the moment with little resistance at those price levels but their searches are butting up against the inventory shortage. Sellers who price in the range of recent sales are selling their properties in a few days. I see nothing on the horizon to change this trend. Successful buyers need to be smart, decisive and aggressive if hoping to get a good one. Good luck out there. Contact me if you need help putting together a strategy.

"And I do believe it’s true,
That there are roads left in both of our shoes."  __Death Cab for Cutie