With inventory levels so low, if there was ever a time in which to sell your home, this would be it! As of July, the median is 49 days on the market, a trend that is 9 days less from last year, and I see it moving lower in the next few months. Looking at sales of homes over the last year, the market in our area is highly active. In July of 2019, there were 345 homes sold in our area where for July 2020 we had 488 sales. Recently Punta Gorda was in the top 3 cities for people who are relocating to Florida. A lot of interest in our housing market is coming from people relocating from the north looking to escape the harsh winter weather and high taxes, but with concerns from this pandemic are looking to move to areas with less congestion where they can work remotely and avoid mass transit. With the influx of those moving to the area competition is fierce which has resulted in the median price of homes rising to $237,450. So not only are our sales looking good, but the price of our homes are attractive as well. Homes valued in the $250,000-$350,000 range are the most popular among buyers right now.
With mortgage rates at record lows, some buyers who are self -employed are having a harder time qualifying due additional qualifying guidelines stemming from the impact of the pandemic. Others are challenged in trying to get pre-qualified fast enough in order to submit offers quickly on what has become a very limited supply of inventory. Buyers shopping for a home in our area should first get pre-approved so they know what they CAN buy. Second, you need that pre-approval or proof of funds letter as sellers don’t want to tie up their properties for those who can’t qualify. In short, get pre-qualified and if you see a house you better act on it. If you are someone who has a hard time making up your mind now is not the time to just be looking. Homes have hit the market and are immediately going under contract when priced well and buyers are trying to make their offers very attractive in order to outbid their competition.
An article I read recently, “More Buyers Nix Inspections as Bidding Wars Heat Up”, a Redfin agent study found that almost one in five offers (19.9%) waived the inspection contingency to make their offers more attractive. This study was done with agents in select major US markets. The previous year it was 13.2%. Although, I understand why some are doing this I do feel this is a major part of home buying not to skimp on.
We have a good education system, good government and we offer a vibrant waterfront town with many medical options nearby and our crime is low. It is just a great place to live and why we love to call it home!
Answer: While we do not charge this fee to our clients we are seeing this fee appear more frequently. Our position is a commission earned should be acceptable compensation for the service provided but there are agents who are charging this fee to either offset overhead for assistants, or to add to their compensation. There are a few ways this fee can be charged. In the Tampa area for example, this fee is most often charged to the buyer’s agent however, typically we are seeing the fee in other areas being charged to the buyer. These fees can range from $195.00 to $495.00. When multiplied by the number of transactions throughout the year, this is a fee that has the potential to more than offset additional overhead costs or add significantly to an agent’s income. However, some brokerages are charging their agents to collect this fee, most we have come across do not. As a Realtor myself, I can only ask another agent to drop the “administrative fee,” when it is being charged to me with no guarantees they will, but as a buyer you can inform your agent you are not going to incur this fee if you feel it is excessive.
I get asked fairly often about converting pools to Salt and what are the pro’s of a Saltwater pool. Pool Boy came by and spoke to our team recently and shared this informative piece, that I thought I would share you all: