Archive for August, 2008

Tampa Home Prices-Where Are They Now?

August 27th, 2008 categories: Real Estate Market Reports, Tampa Home Buyer Tips

So the much anticipated Case-Shiller Home Price Indices were published yesterday for the month of June, 2007 (there is a 2 month lag). And with it came a very positive headline in the Tampa Tribune today: Tampa Home Prices Stabilize. While the drop in the May to June Tampa index was slightly more than the April to May drop, we’ve now had 2 consecutive months in which the drops in the index are no where near the drops we saw earlier this year and in late 2007 (the year-year drop was about 20%). More evidence that home prices in Tampa are beginning to stabilize, along with sales activity. Below is a graph of the Case-Shiller Tampa numbers for the previous 12 months:

See the Case Shiller numbers:

or

Case-Shiller June 2008 Summary

My take on this? We are not at the bottom certainly. I do think the biggest and fastest of price reductions/falling values are behind us. But there is just too much inventory, especially distressed inventory, to work through. There is also nothing on the horizon to create more demand, and in fact it is arguable that there is more reason to see less demand (interest rates, consumer confidence) going forward. And those who want to buy? Can they qualify? All of this points to more downward pressure on prices.

But the leveling of falling values and the leveling of sales declines is certainly welcome. Both trends should increase buyer confidence.

Posted by Lenny Gurvich | No Comments »

Tampa Flood Zones Updates-Flood Insurance?

August 27th, 2008 categories: Tampa Home Buyer Tips, Tips for Sellers, Westshore

Timely information because:

We’re in the middle of the hurricane season.

New flood maps go into effect tomorrow.

Hillsborough County and Tampa area municipalities have been updating area flood maps over the last few years, and as of February of 2008, FEMA issued a letter of verification finalizing those maps. For purposes of issuing flood insurance, these maps become effective tomorrow (August 28th, 2008). What’s this mean to a home buyer or home seller in Tampa? It means that a home that previously did not require flood insurance, may require it going forward.

To a home buyer that means additional costs of insuring a property. Flood insurance could easily add $100 dollars or more to the monthly cost of home ownership. To a home seller, that means additional costs to any prospective buyer, in effect reducing the number of buyers who may qualify to purchase the home, generally speaking.

Any home buyer using a federally backed mortgage, will have to carry the flood insurance if the property is in a high risk flood zone.

So how do you know if a specific property requires flood insurance? Best bet is to use the Hillsborough County Flood Maps and/or the FEMA Flood Maps. These maps will show what, if any, flood zone the subject property is in. Consulting a property insurance professional is also highly recommended.

FEMA: Flood Risk Profile

Photo courtesy of Hillsborough Public Library Cooperative-Burgert Brothers Collection Old Tampa Photos

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Some Good News in Tampa Real Estate Home Sales

August 25th, 2008 categories: Real Estate Market Reports, Tampa Condos, Tampa Home Buyer Tips

News out the Florida Association of Realtors (member) today is that on a statewide basis, home sales in July were about level with July of 2007. Is this more anecdotal evidence that we are indeed seeing a stabilization in the market? It would seem so. In fact there were slightly more (6) existing homes sold in Florida in July of 2008 as opposed to July of 2007.

But as we know residential real estate is extremely local, and Florida is a big state. So is Tampa experiencing the same? In fact we are. But the stability lies in the single family home sector. Condos are another story. For instance: In the City of Tampa, 448 single family homes were sold in July of 2007 while 443 of the same sold in July of 2008. But in focusing on condos we find that 188 condos in Tampa sold in 2007, while only 83 of the same sold in 2008. Not good news for the condo seller, generally speaking of course.

There were many condos built and many condos converted from apartments in recent years, to meet the demand of the condo buyers that were sucked in to the market as money became easy to obtain (related: Condo Clown). So it stands to reason that the condo market, generally speaking of course, will take somewhat longer to stabilize. Many new condos, especially the converted apartments, were purchased by speculative buyers. The demand from the end-user was never there. Tampa’s condo sales decline for July, year over year, was substantially higher than the state’s decline. The state had a 7% decline in condo sales in July compared to Tampa’s more than 50% decline in condo sales. Wow.

So this news, along with the declining reduction in the Tampa median home price, points to some level of a stabilizing market, at least for single family homes, generally speaking.

Data used is from the Mid-Florida Regional MLS, all brokers/agents included. Data does not include most private non-brokered Tampa home sales.

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Tampa Hillsborough County Top Schools Grade “A”

August 19th, 2008 categories: Tampa Home Buyer Tips, Tampa Neighborhoods, Tampa Real Estate

We’ve compiled a list of all Tampa area public schools (Hillsborough County) receiving a grade of “A” from the state of Florida for the most recent school year.

Here are the best public schools in Hillsborough County that received “A” grades from the state of Florida for the 2007-2008 school year.

Tampa’s Top Rated Schools

More Tampa area school information:

Hillsborough County Schools

What school district is that home in?

Hillsborough County school grades

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Selling A Home In Tampa? Make It Accessible!

August 14th, 2008 categories: Tampa Real Estate, Tips for Sellers

Never fails to amaze me at how inaccessible some sellers make their homes. FACT: This is a strong buyers market! The seller who fails to accommodate buyers wanting to see their home is at a serious disadvantage. Twice in the last week I’ve had problems showing homes in which I was setting up appointments days in advance, and both of these properties are listed as pre-foreclosure short sales!

Made an appointment to show one and received confirmations from the listing brokerage by e-mail and by voicemail. Good to go, right? No, not really. My clients and I show up on time and only a barking, snarling dog is their to greet us. Long story short—no one ever shows up to provide access. Called to make an appointment to see another a few days ago and this morning I finally get the message that the home will not be available to show because the seller is preparing to go on vacation (this is a short sale listing BTW). She’ll be gone by Monday (today is Thursday) and then it will be OK to show. You’ve got to be kidding me, right?

Actually for anyone in this business this is no big surprise, and is rather normal. But nonetheless these happenings always make me question a seller’s motivation to sell. And more importantly it makes the buyers question the same. Will they really want to reschedule a look at that one? Can’t blame them if they don’t.

So what a home seller can learn from this is the importance of making a home for sale easily accessible. You better be ready to accommodate any prospective buyers on their time, not yours.  A seller’s market it is not.

Also see:

Making Tampa Homes For Sale Accessible:

Posted by Lenny Gurvich | 2 Comments »

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