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Top Nine Predictions For The Cape Coral Real Estate Market

By
Real Estate Broker/Owner with Villa Realty Group, Inc.

What exactly does the future hold for those looking to buy or sell real estate in Cape Coral?

1. Time Heals All.  Right now, many who have the ability to buy a home and should are afraid to because of the horror stories they hear.  The further they get away from those feelings the more likely they will feel better about buying a home.
2. The market will turn when the money supply loosens.  Right now it is more challenging than in the past, (noticed I did not say impossible) to obtain money to buy a home.  Once the guidelines and qualifications loosen and more people can obtain money properly, we will see an increased demand for homes and the prices will follow.
3. Foreign Money will continue to flow in.  With a weak dollar, the word is out.  Foreigners have always loved S.W. Florida.  With the strong exchange rate and the lower property values foreigners recognize this is one of the best buying opportunities in years. (P.S. If it is good enough for them, isn't it good enough for you?)
4. It will snow again this winter up North.  Hardly a week goes by that I don't run in to someone from the north who tells me how they don't miss the snow.  Cold weather and snow is one of the best sales tools we have.  It happens every year like clockwork.  The buyers come in droves and can't wait to move here.
5. Baby boomers are coming too!  We can't stop them now. There are too many of them and they have more wealth than any generation before them.  They are going to have a major impact on the demand side for real estate in SW Florida.  Count on it!!!
6. More Businesses will Come to Florida.  Thanks to the current affordability of housing and labor coupled, with the great weather and lifestyle that Florida affords, businesses will again start looking to Florida for growth and expansion.  More jobs mean more housing needs, which again in turn drives demand and prices upward.
7. Housing Shortage causes possible price spike!  Right now, there is an excess of inventory in the market place, which needs to be absorbed.  The good news is that it is not being replaced with new housing starts at the same pace.  The situation that I predict will occur is once demand equals supply it might be too late.  Building your typical home in SW Florida takes between 6-12 months.  By the time builders recognize that demand is strong enough they will not be able to deliver inventory for at least six months.  This will cause a further strain on supply causing a possible spike in prices due to supply and demand issues
8. Timing the market is impossible.  Only six months after the bottom was hit will anyone realize it.  Once it is obvious, watch out because everyone will be rushing back in to buy.  It is the herd mentality, when the media tells us we are past the bottom, everyone will be in a buying frenzy.
9. BRC Properties will be short lived.  BRC -Below Replacement Cost Properties are those homes where you can buy the existing home for substantially less than it would cost to buy a home site and contract with a builder to build a new home.  This is a situation that rarely comes along but is quite prevalent in the Cape Coral market.  DO NOT expect it to last long.  Once the supply tightens these will be the first properties to go and very quickly.  How bad could you get hurt buying one of these homes today if the cost of recreating it is more than you paid for it?

Cape Coral's real estate market is full of foreclosure and short sale opportunities.  Knowing how to capitalize and successfully buy one of these properties can be challenging.  To help you better understand the market and the opportunities download our FREE REPORT: How to Successfully Buy Foreclosures & Short Sales" & "The Ten Biggest Mistakes Buyers Make."

Comments(11)

Patricia Fisher
Keller Williams Realty - Spartanburg, SC

Welcome to the Active Rain Community!  This is a great site to network, learn, and share ideas with others.  Have a great day!

Aug 22, 2008 09:51 AM
Bill Kennedy
Keller Williams Greenville Upstate - Greenville, SC
Homes For Sale Greenville SC

Welcome to active rain! This is a great place for learning and sharing.  Join some groups, check out some blogs, and enjoy!

Aug 22, 2008 03:30 PM
Yvette Gardner
Keller Williams Realty, Spartanburg, SC - Spartanburg, SC

Welcome to the Active Rain community. You have chosen a great site with tons of information you can learn from.  Have fun with it and hope to see more of your blogs soon!

Aug 22, 2008 11:09 PM
Ginger Ryals
Prudential C Dan Joyner and Young Realtors - Spartanburg, SC

Welcome to Active Rain!! This is a great site to network and share ideas!! Have fun with it!!

Aug 23, 2008 05:13 AM
Nate Blankenship - Spartanburg, SC Realtor
Keller Williams Realty - Spartanburg, SC

Welcome to Active Rain! This is a great site to network, learn and share ideas with others. Have a great day!

Nate

Aug 23, 2008 08:13 AM
Jean Terry
Keller Williams Realty Spartanburg, S.C. - Spartanburg, SC

Hi and welcome to Active Rain, a great site to learn, and share, and have fun.

Good Luck

Aug 23, 2008 12:48 PM
Nance Burdette
Keller Williams Realty Partners - Spartanburg, SC

Congratulations on becoming a new member of ActiveRain. Being a new member myself going on my second week and only posting a few blogs so far I truly see the awsome advantage that this is; and only the beginning of a healthy and wealthy relationship of abundant professionals. Everyone has been so very kind.   Best of Luck to all of us,  Nance

Aug 23, 2008 12:53 PM
P G
Charlottesville Solutions - Charlottesville, VA

I see that you are new to Active Rain and I just wanted to welcome you. I hope that you enjoy it as much as I do and that you find it a great resource.

Aug 24, 2008 12:32 AM
Steve Vennemann-Hennepin-Dakota-Anoka contract for deed property-Ramsey-MN
BoardWalk Premier Realty INC - White Bear Lake, MN

Welcome to active Rain it is a great site to network and share ideas. There is alot of great information on active Rain also great blogs be sure to check them out.

Aug 24, 2008 02:40 PM
Pam Jank
Coldwell Banker Schneidmiller Realty - Coeur d'Alene, ID
Your Coeur d'Alene & North Idaho Real Estate Pro

Chris, Welcome to AR!  I'm fairly new myself.  You will find that this is a great place to gain knowlege, tips and friendships.

I enjoyed this Blog Post.  It puts a positive spin on the market.

Also, Thanks for commenting on my Blog Post

Coeur d'Alene, Idaho - City by the LakePam Jank, Realtor, GRI, CRS, ABR, RRS, PPS
Your North Idaho Real Estate Pro
Web:  Coeur d'Alene Idaho Homes for Sale
email to:pamjank@hotmail.com
Phone:  208-661-2282
Fax:  208-772-628 Toll Free:  800-829-2555 EXT.1275
COLDWELL BANKER SCHNEIDMILLER REALTY
435 W. Hanley Avenue
Coeur d'Alene, ID  838315

Aug 28, 2008 05:08 PM
Erik Hitzelberger
RE/MAX Alliance - Louisville REALTOR-Luxury Homes - Louisville, KY
Louisville - Middletown Real Estate

Chris - This is good advice to buyers and sellers in your market.  Now is a great time to buy a home especially if you are willing to put a little work into it.  The values that you find today will eventually disappear and people will be kicking themselves for missing out.

Sep 10, 2008 04:48 PM