International Home Buyers Focus on Florida

International buyers are taking advantage of real estate bargains in the United States. Last year, international buyers reportedly $41 billion on purchasing homes in the U.S. Of those purchases, over $13 billion were in Florida, with Tampa Bay one of the top destinations!

The PURTEE Team is seeing this trend very active in their business. Currently, we are involved in transactions with clients from Prince Edward Island, Canada; Hergiswil, Switzerland; and Leigh-on-sea, UK. We understand the implications of a home purchased by foreign nationals and the United States makes home ownership relatively easy. With the real estate prices as low as they are, and the currency exchange rate definitely in the favor of the Euro or Canadian dollar, this is the perfect time to find the Florida home or condo here along the beaches of Tampa Bay.

With pristine white sandy beaches, nightly breathtaking sunsets, and a long list of outstanding things to do in the area... plus the international access to the Tampa airport, this is definitely an area to check out! The PURTEE Team is here to help... simply fill out this Questionnaire about what you would like in your dream home, and one of us will be in touch with you shortly!

Bargain Prices Reducing The Foreclosure Excess?

As the wave of foreclosures continues, prices are hitting record low numbers and reaching a level to generate huge interest among both consumers and investors. The Tampa area is definitely getting this attention.

According to the Associated Press, "For some buyers, the deals are now too good to pass up." As buyers snap up these foreclosed homes, the inventory of unsold foreclosures is shrinking... up to 13% over the past year!*

The PURTEE Team has recently formed a relationship with several of these bank owned property managers and have released over a dozen onto the marketplace. Our job is to help these managers price these properties correctly to get them off the books quickly! The reality is that the buyer frenzy taking place to get one of these 'super-deals' creates multiple offers and bidding wars to get them. When the bank calls for "Highest & Best Offer", this is the last chance for a buyer to be able to walk away with this property. 10% over asking price is not unheard of.

Many of these sales involve investors, private equity firms, foreign buyers taking advantage of the currency savings on top of the discounted prices, and out-of-state buyers looking for vacation homes. Cash is definitely king and March experienced 38% of all previously owned homes being purchased with all-cash.

As this activity heats up, these inventory is lessening which adds fuel to the frenzy. Although we can anticipated another wave of foreclosures (that have been hung up in the system) hitting the market, these devalued properties will eventually be gone. As that unfolds, prices will begin to stabilize. Home owners who had put off moving during the downturn become more confident of selling for a decent price... thereby generating more buying and selling.

*Associated Press, April 27, 2011

Tampa Market Heating Up FAST!

Click On Chart To Enlarge It has been very interesting to watch as we have previously discussed the pendulum here in the Tampa Bay real estate market. Prices have fallen to unprecedented lows making owning property much more affordable. That combined with a brutal winter has worked to boost the sales forward! While national existing home sales month to month comparison are DOWN 9.6%, Florida existing home sales month to month comparison are UP 13% according to the National Association of Realtors! As the pendulum begins its swing, we have counseled clients that once the media is on board that it is time to by... many of these tremendous opportunities will be gone. There are certain properties that buyers are now "stalking" to jump on as deals hit the market. The March statistics are in and have just been posted to our website. March Statistics. As always, we go straight to the Absorption Rate (the inventory turnover determined by dividing the total number of units sold by the number of active listings). The percentage increases are pretty impressive! Then when you look at the statistics and compare the number of listing by month and year to the sales... the trend is there... and the pendulum has definitely begun its swing!!! Even Fortune Magazine agrees: Real Estate: It's The Time To Buy.

The Full Moon Is AMAZING!!!

I did a little research to see why the full moon this month seemed gigantic! There is an article on http://www.weather.com/ that explains it.



They call it a "supermoon". Because the moon's orbit around the earth is not a perfect circle, there are times when it is at is closest and other times when it is at its farthest. The photo they used is pretty impressive to see the impact of how it looks to us. "One side of the moon's orbit is actually roughly 31,000 miles closer to earth than on the other side of the orbit. When the moon's orbit is the farthest away from earth, the moon is at its Apogee. When it makes its closest approach, the moon is at its Perigee."

This month's Perigee is actually 2% closer than the average Perigee, making it the closest positioning since 1992!!!

Pretty amazing to see here on the beach in Tampa Bay!

Is The Tampa Bay Beach Real Estate Market Finally Rebounding?

Click On Chart To Zoom

The PURTEE Team watches the market closely and reports when we see news that impacts where the market is heading. When the monthly Market Statistics come out, the first thing we do is go to the Absorption Rate Chart to see which direction we are moving.

The second half of 2007 is when the market began to slide... 2008 and 2009 were struggling in a big way. We thought we were on a roll in the first half of 2010 until the oil spill put everything into a tailspin!

Take a look at the chart above for February 2011! To refresh was it is, the Absorption Rate (inventory turnover) is determined by dividing the number of units sold during the month by the total number of listings in the MLS. In both single family homes AND condos, things are happening! BUYERS TAKE NOTE!!! There are so many of you sitting on the sidelines waiting for the right "signal". Inside the February Statistics report are 2 pages you really need to look at. We will post them here, but you can also see them on the website. Take a look at the trend in the amount of inventory, then the number of sales compared to recent years.

See how you read it, but to us the pendulum we continually speak about has turned. What do you think?

Now You Decide To Buy - What About Financing?

Cash buyers are prevailing in this market and sellers pay close attention to no-financing contingencies! Over 65% of transactions closed to date in 2011 were cash transactions. Lenders have tightened up their mortgage policies demanding higher down payments and stricter qualifying for even to most credit-worthy buyers.

As a matter of fact, through all of 2010, 3 of the major lenders provided over 1/2 of all US mortgages, according to the fourth quarter 2010 Mortgage Lender Ranking from MortgageDaily.com. Wells Fargo, Bank of America and Chase originated 56% of last year's business. The number of FHA-backed loans also rose from around 19.1% in 2009 to 19.8% in 2010. US lenders closed on about $1.530 trillion in 2010, down from $1.970 trillion in 2009. Well's Fargo remained #1 with $387 million.

If you are considering a purchase and require financing, be sure to check our resources. For Mortgage Info, click here. Or talk with us about lenders who understand this market and what it will take to get your financing accomplished.

What Do January Market Statistics Say? When Do I Buy???

The January Market Statistics for Pinellas County

are out and the full report is posted on our website. There are SO MANY people sitting on the sidelines reluctant to make a purchase. The media continues to be negative and buyers anxious to own property in Tampa Bay, whether as a second home or as a relocation, simply do not know whether to take the plunge.

With so many baby boomers nearing retirement... and the country experiencing one of the most brutal winter seasons this year... Florida has a lot of people anxious to not miss out on living the Florida lifestyle! Prices have reached unprecedented lows and over the last several months we have seen the results. We have targeted HOT DEALS for our clients and email them out within a day or so of them going on the market. It is amazing how many of these are under contract before the week is out! That is telling us something. The pent up demand is staggering. When you realize that in 2004 and 2005 over 1000 people were moving to Florida a day, once the pendulum does swing, it will be HUGE!

We keep a close eye on this chart and the Absorption Rate*... looking for trend lines. Look at the latter half of 2009 into 2010. There was a great deal of positive momentum! So what changed in June of 2010??? How about the understanding of how serious the BP oil spill in the gulf was? It took through the rest of the summer and beyond to cap the flow and throughout the world, people looked on in horror that beautiful Florida was now tarnished. It didn't matter that not one drop of oil reached our area. It was the PERCEPTION.

Our prediction is that it will unfold just like that. When the PERCEPTION changes (and the media says now is the time), there will be a feeding frenzy. There are a LOT of sellers out there not willing to sell at these current prices. Once this distressed inventory runs out, we will go to the owners willing to sacrifice what they have in their property. From there, we have those who won't. THESE DISTRESSED SALES RIGHT NOW ARE WHERE THE OPPORTUNITIES ARE!!!

Our recommendation... contact The PURTEE Team and get on the radar. What you are seeking may come on the market and be gone without you ever knowing about it.

*Absorption (Inventory Turnover) is determined by dividing the number of units sold during the month by the total number of listings in the MLS (Multiple Listing Service)