Some recent information out of Central Florida continues to show how much the market has shifted in the past year from a seller’s market to a buyer’s market. While there are still some communities and cities that have seen considerable gains in prices and value, the overall market has definitely changed. That means it is a great time to buy, and an even better time for international investors with the dollar being so low against foreign currencies.
Jeanette Cox of Watson Realty Florida notes that Osceola County, located southeast of Orlando and including Kissimmee, has seen a dramatic rise in inventories and days on the market. Monthly sales figures for March 2007 show that 259 homes were sold and they were on the market for an average of 99 days. There are currently a whopping 5,762 homes on the market! Compare that to the numbers for March 2004 at the height of the housing boom. There were 469 sales that month, the homes were on the market for 67 days and existing inventory was only 871 homes in the whole county.
Cox notes that “the Florida market is still flooded with excess inventory so now is a great time to Buy, Buy, Buy, as the buyer has the power to negotiate, knowing there is lots of inventory to pick from.”
In another indicator that it is really a buyer’s market, she says that “people who are extremely motivated to sell are giving away Realtor Bonuses, extremely high commission, HOA [Homeowners Association] fees paid for a year. Some builders are giving away swimming pools, upgraded kitchens, a cruise, cash back at closing. There are many deals to be had at this time.”
While the investment return isn’t going to be what it was for quick appreciation, over the long term the Florida market has always been strong and should continue to appreciate. There are still pockets in the state with good return on value, but a seller will have to be more patient. On the other hand, buyers have a wide open market and can pick their dream homes for great prices.
It is a great time to buy in South Florida, especially if you are an international real estate investor!
