Posted on Sunday, October 07, 2012
It’s supply and demand. Or at least a great deal of market forces relates to supply and demand we believe. When supplies fall prices tend to rise. When supplies increase prices start to drop. What are Naples Florida inventories doing? Falling. Down below seven months now. So when you read about foreclosure volumes threatening to increase supply and ruin markets first feel terrible for the families but look to the actual supply levels. After all, if the market can gobble up the foreclosures then supply will stay tight and prices will tend to be ok.
Florida Realtors and CoreLogic reported high foreclosure volumes, albeit decreasing volumes, in Florida. Second only to California, In their article (see
http://www.floridarealtors.org/NewsAndEvents/article.cfm?p=3&id=281959) the report “found 57,000 completed U.S. foreclosures, down from 75,000 in August 2011 and 58,000 one month earlier. Florida ranked second nationally in total number of completed foreclosures for the 12 months ending in August 2012 with 91,899 – 11.7 percent of the nation’s foreclosure housing stocks. Only California had more with 110,000. However, the percent of homes in Florida’s foreclosure inventory also dropped year-to-year, falling 1.1 percent since August 2011. “
Your real question should be what is supply doing? Is the market “gobbling” up these foreclosures or are supplies increasing? Well as of this morning in the Sunshine MLS for the All Naples Area inventories were lower again to 6.87 months – down and down we go. As of now the market is “gobbling up” supply. Good news for price support and sellers.
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All the best
No legal, investment, or tax advice is being given in this Blog. Consult with legal, financial and tax professionals before acting on any real estate transaction. Actual real estate price and sales results are subject to market forces and are not completely predictable. The writings of this Blog are intended for the sole use of our clients.
Some of the data relating to real estate for sale on the NaplesBestAddresses.com website comes in part from the Broker reciprocity program of M.L.S. of Naples, Inc. The properties displayed here may not be all the properties available through the MLS reciprocity Program. This information is deemed reliable but is not guaranteed. Buyers and sellers are responsible for verifying all information about their purchase prior to closing.
Mark Goebel, PA is a REALTOR with Coldwell Banker on 5th avenue in Naples, Florida with 35+ years of visiting and living in Naples. After 25 years at Accenture, Mark retired as a managing director and spends his time helping non profits and building a Naples real estate team with his wife Nan. Talk to Mark and Nan about life in Naples and why they chose this place to live full-time over all others and enjoy Naples real estate.
Mark Goebel, PA REALTOR Coldwell Banker 5th Avenue South Mobile: 239.595.3921 NaplesBestAddresses.com Facebook: NaplesBestAddresses Youtube http://www.youtube.com/user/naplesbestaddresses?feature=results_main