The Sign of The Times?
Yesterday I had a visual home inspection on a recently contracted condominium in Bonita Springs. I spoke with a few neighbors while we waited for the buyers to arrive and naturally, we talked about real estate. Everyone always has a question or opinion about the market.
Usually everyone asks the same question, but it's phrased in a variety of ways:
- Say, how busy are you?
- Don't you miss being busy?
- Things picking up yet?
- Is the sky really falling?
I was asked the same question in its own way and actually was able to say, "As a matter of fact, I just ran the sales numbers for the last three February's and can share with you that sales are up. Hey, the Earth isn't shaking, but sales are up."
Take a look at the recorded sales for February 06, February 07 and February 08. I broke it down into a few housing style groups to not lump it all together. The sales are for the Bonita Springs area and Estero, Florida combined:
I think the public is just blinded by excessive inventory right now and it only seems like nothing is selling because there is just so much on the market. Mix in the boo-hoo news that never has anything good to say and it only makes it easy to believe the real estate market in Bonita Springs isn't recovering. There is still a lot of inventory and it will take time to absorb it. I took the liberty of working the absorption rates for a variety of home styles.
City wide absorption rates are a bit of a broad stroke of the brush. Certainly, each neighborhood varies depending upon inventory and popularity. If you're interested in finding out the absorption rate for your neighborhood or the style of home in your area call your real estate agent. Simple statistics, a basic equation and 5 minutes of time and you'll have the answers regarding your hyper-local market and how long it will take to sell of the existing inventory.
If you're a seller and wonder why an absorption rate is important for you to know, read also: So, What Is The Absorption Rate For Your Bonita Springs Home?