Has the Brevard County Real Estate Market hit Bottom?

Brevard County Mortgage and Real Estate Market Data For January 2010

     Welcome to the first market data report for Brevard County Real Estate of 2010. While 2009 turned out to be a good year for both the reduction in inventory, and sales of existing inventory, it also proved to be the year of lending changes, and bottoming out prices. With 2009 in the distant past, we now get our first glimpse into the new decade for 2010.

     Not too surprising, the vast majority of sales were under $200,000 with 76% of all residential transaction selling between $0 and $199,999. This trend has been consistent over the past year as the first time homebuyers are greatly incentivized to come in and purchase. However, we did see an increase in the average price sold of homes to $160,079 in January 2010 versus $148,474 in January 2009. This data could be telling us that we have hit bottom, and are going up.

     The biggest surprise for January is the sheer number of cash transactions that are taking place. This January 2010 we had 252 cash Transaction which accounted for 52% of the market. Again, Real Estate has historically been a decent investment, and with so few places to put your money right now, buyers are choosing to use their cash instead of financing. When the cash on the sidelines starts coming into the game at this pace, that is a sign that we have hit bottom.

     Whether or not the Brevard County market has hit its bottom or not, one thing is certain: it is an outstanding time to buy real estate. If you are a first time homebuyer, the government is still offering the $8000 tax credit, however, there is an end date, so you better act soon to find your home and claim your government incentive. Also, we know that the federal government will stop their Mortgage Backed Security purchase program which will almost instantly add to the increase of interest rates. So, if you are on the fence, or if you know someone who is thinking about buying, now is the time to act. If you have any questions, please contact me.