THINKING OF SELLING YOUR ST CLOUD KISSIMMEE FLORIDA HOME AND WONDERING WHEN THE MARKET WILL IMPROVE?

THINKING OF SELLING YOUR ST CLOUD KISSIMMEE FLORIDA HOME AND WONDERING WHEN WILL THE MARKET IMPROVE?


When there is a an excessive amount of homes for sales (inventory) it is considered to be a buyers market. Conversely, when there is a shortage of available homes for sale: it is a seller's market.

Back in 2005 there was a buying frenzy due to the lack of existing homes particularly here in Kissimmee St. Cloud Florida.

Buyers fueled by a media frenzy on hot housing markets flooded here to purchase property hoping to cash in and make a big profit on a quick resale. Prices doubled and tripled in some cases due to the limited availability of homes-it was a Seller's Market. Lending practices were were lose and the invention of stated income loans, adjustable rates mortgages, and over valued properties made purchasing a home easy. That was until the Boom Busted.

With hyper inflated values homes sales suddenly dried up. If was as if someone turned the light switch off and real estate was officially closed. The bubble had indeed burst. What was predictable then by industry experts was the fact that what goes up will come down and home prices crashed hard. The anamoly inthe housing market resembled a cardiac infarction. What had been a stable housing market in Kissimmee St Cloud and everywhere else for decades averaging about 6% equity gains and appreciation since 1929 had suddenly had a 300% spike. Given the lose lending standards- it was inevitable many of these homes would fall into foreclosure as adjustable creative financing loan products matured. Homes purchased to flip-flopped badly.


Four years later, and after one of the worst housing market crashes in history: buyers are back. But it is a new breed of buyer entering the market. The are smarter, computer saavy, and know a bargain when see they see one.

They are looking at smaller starter homes and realize the operating costs on these homes are affordable. They are in many cases former renters.

As bank inventories bloated to unabsorbable levels, it pushed market prices backwards. In Central Florda we saw prices in some areas plummet as much as 58% of their previous over inflated value. These buyers are taking advantage of the market shift and they are buying homes. Mostly popular are three bedroom 2 bath homes. 1200 Sq feet or smaller which when purchased right and through various Federally finded loan programs are costing them about the same as rent with one big advantage...tax deductions.


What Do Kissimmee St. Cloud Florida home Sellers Need to Know? The Market is what it is..not what we'd like it to be. It will never be what it once was. Market condition and tighter lending practices will mean the suppressed market pricing will be here for a long time to come.

If the FED raises interest rates as is predicted: that too will have an impact on loan qualification (presently 25% of loan applicants are declined) expect that number to rise.

What it was worth five years ago is NOT what it is worth today.

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Financing standards have tightened substantially. If the home fails to appraise, you will not get to closing.

A Properly Priced Property will attract buyers. On average 12 viewing to an offer. You have a lot of competition out there.

Upgrades: Don't pack the punch they once did; too many foreclosures have granite counter tops and upgraded kitchen cabintry.

Home values will based on 4 basic things:
1) Size
2) Age
3) Location
4) Condition

Distressed Property sales DO affect your properties value. A foreclosured home on your block can reduce value by as much as 15%, five or more foreclosures in your neighborhood can reduce value 20-25%. Be realistic. chances are if you purchased your home 10 or more years ago you still have some equity left (if you have not cashed out previously)

If you are upsdie down you still have options. Talk to your lender. Ask them if you can qualify for a short sale and ask for a short sale application. Hardships which affect you financially, ie loss of a job, divorce, high medical bills or layoffs are all hardships. Begin to assemble your financial documentation. You will need the same things you did when you first applied for your loan. Tax returns, W-2's, paystubs and bank statements.