Tampa Florida Real Estate Market Trends
Market Adjusts After Seasonal Gains
Existing-home sales declined slightly after two strong months of growth. The National Association of REALTORS (NAR) reported a 2.2 percent drop in existing home sales for the month of October. Analysts are predicting a seasonally adjusted sales volume of 4.43 million units, which include all closed transactions for existing single-family, townhomes, condominiums, and co-ops.
NAR economist Lawrence Yun believes the market is on its way to long term recovery. "Sales activity is clearly off the bottom and is attempting to settle into normal sustainable levels," he said. "Based on current and improving job market conditions, and from attractive affordability conditions, sales should steadily improve to healthier levels of above 5 million by spring of next year."
Distressed properties continue to factor into the overall sales landscape and accounted for 34 percent of sales in October. This is down slightly from 35 percent in September. NAR is calling for improvements in the appraisal and loan underwriting to facilitate the transaction process. "A review of recently originated loans suggests that they have overly stringent underwriting standards, with only the highest creditworthy borrowers able to tap into historically low mortgage interest rates. There could be an upside surprise to sales activity if credit availability is opened to more qualified home buyers who are willing to stay well within budget," Yun said.
Mortgage Rates Fall to Record Low
Mortgage rates fell to record lows in October with Freddie Mac reporting the average commitment rate on a 30-year fixed-rate mortgage at 4.23 percent, down significantly from 4.95 percent offered in October 2009. With rates so low, buyers are able to stretch their dollar and maximize their purchase power through lower house payments. Contact us for our preferred list of local mortgage planners and take advantage of today's low interest rates!
Are You Ready for Winter?
Winter is one of our favorite times of the year! It's often easy to overlook your home's needs with so much going on. Here is a simple checklist of items that can save you money through the winter:
- Check for leaks and drafts around the house. Replace weather stripping and re-caulk around doors and windows. Drafty doors and windows will cool off the house and cost you money in heating bills.
- Inspect your attic's insulation. Heat rises so adding good insulation can keep the heat from escaping.
- Check your heating system. Sometimes something as easy as replacing your filter or having simple maintenance done can save on heating costs.
- Consider changing from standard light bulbs to energy saving bulbs. Winter uses a lot of your electricity so even saving a little here and there will help.
Whether you live in a warm or cold climate, take this opportunity to inspect your home systems. You'll be money ahead in the long run!
