Don’t believe all the doom and gloom about the stability of real estate as an investment. Where would you rather have your money? See graph:

We have all heard the term Shadow Inventory, homes either already foreclosed or on the verge of foreclosure, mentioned in real estate or financial conversations everywhere. Now it’s a near certainty that millions of foreclosures nationally are going to begin to be released onto the market early next year.  This will put strong downward pressure on home values. Many experts are predicting it could take 40-44 months before this foreclosure inventory is absorbed by the market.

With this new, never-ending supply of homes, prices are expected to plunge another 10 – 30 percent over the next few years depending on which experts you study.

Much of the same can be expected for our Pinellas County market. Below is the latest data available as of November 2010:

• Current Active Listings: 12,150
• Number of Bank Owned Current Listings: 843 or 6.9% of the market
• Number of Bank Owned Properties in Pinellas County: 3,100
• Therefore, number of bank owned properties not listed yet: 2,257
• Plus, number in Auction stage, not foreclosed yet: 4,083

This means there are 6,340 foreclosures possibly coming on the market.
It is anticipated that banks will begin to release these properties to the market in February of 2011

What This Means – NOW COULD BE BEST TIME TO SELL FOR THE NEXT 4 YEARS!!!!

SELLERS who wish to sell at today’s prices need to get their houses under contract NOW!!! This year or early 2011!!!

For Current Listings: Don’t wait! Be aggressive! Lower your asking price now and until sold.

For Homeowners planning on selling: Don’t wait! List now! Be aggressive!  Price it to sell!

The longer you wait in a declining market the less you get for your home!

If you buy a home now, at today’s low interest rates, you can gain $54,612!

$8,000 Home Buyer Tax Credit

• The tax credit is for first-time home buyers and buyers who have not owned a principal residence during the three-year period prior to the purchase.
• The tax credit does NOT have to be repaid.
• The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $8,000.
• The credit is available for homes purchased on or after January 1, 2009 and before December 1, 2009.
• Single taxpayers with incomes up to $75,000 and married couples with incomes up to $150,000 qualify for the full tax credit.

What an excellent opportunity to buy real estate and to legitimatelyget paid for doing it! For those that qualify, our Federal Government will actually reduce your tax liability or pay you up to $8000 to begin building your wealth through real estate.

Why wait?

The Gary & Nikki Team knows the answer to Getting Homes Sold in This Market! 

Oldsmar Home Sold – Aberdeen East Lake Woodlands
1219 Greybrooke Pl - Previously listed with another firm for 242 DAYS- NO SALE
LISTED & SOLD by The Gary & Nikki Team at $520,000 in just 81 DAYS!!!
 
Palm Harbor Home Sold – Bentley Park
2944 Shannon Cir - Previously listed with another firm for 180 DAYS- NO SALE
Listed by The Gary & Nikki Team at $325,000 and SOLD BY US in 140 DAYS!!!

Tarpon Springs Home Sold – River Watch
1988 Anclote Vista – Listed by The Gary & Nikki Team at $249,877 and SOLD BY US at $220,000 in 68 DAYS!!!

Clearwater Beach Condo Sold –Island Point Condo
644 Island Way - Previously listed with another firm for 224 DAYS- NO SALE
Listed by The Gary & Nikki Team at $174,877 and SOLD BY US at $170,000 in 59 DAYS!!!

Holiday Home Sold – Forest Hills East
2152 Sugarbush Dr - Listed by The Gary & Nikki Team at $114,877 and SOLD BY US at $113,000 in 22 DAYS!!!

Palm Harbor Home Contract Pending –Woodland Hills
3582 Ridge Blvd - Listed by The Gary & Nikki Team at $199,877 and CONTRACT PENDING ABOVE LIST PRICE in 7 DAYS!!!

Palm Harbor Home Contract Pending – Beacon Groves
2439 Grove Valley Dr - Listed by The Gary & Nikki Team at $149,877 and CONTRACT PENDING ABOVE LIST PRICE in 1 DAY!!!

Trinity Home Sold –Trinity Oaks
1753 Kinsmere Dr - ANOTHER HOME SOLD BY THE GARY & NIKKI TEAM at $208,400!!!

Palm Harbor Home Sold –Autumn Woods
1365 Willow Brook Dr - ANOTHER HOME SOLD BY THE GARY & NIKKI TEAM at $381,000!!!

Tarpon Springs Condo Sold –Gulf Front Lagoon
502 Florida Ave S #112- ANOTHER HOME SOLD BY THE GARY & NIKKI TEAM at $240,000!!!

Palm Harbor Home Sold – Honeymoon Ridge
1334 Normandy Cir - ANOTHER HOME SOLD BY THE GARY & NIKKI TEAM at $197,000

Dunedin Home Sold – Broadway Palms
321 Scotland St  - ANOTHER HOME SOLD BY THE GARY & NIKKI TEAM at $230,000!!!

Palm Harbor Home Sold – Sunshine Estates

163 Seaside Ct  - ANOTHER HOME SOLD BY THE GARY & NIKKI TEAM at $176,500!!!

A recent survey and a rate increase could mean more competition for homes

Recent indication is that first time home buyers are getting tired of sitting on the sidelines. According to a recent online poll taken by the National Apartment Association, 17 percent of renters plan to make the jump to home ownership in the next year; 41 percent of the 2,041 respondents planned to be home owners within two years. Only 31 percent planned to still be paying rent five years from now.

Another factor that could very soon contribute to an increase in home buying could be rising mortgage costs. Fixed-rate mortgage rates rose to 6.32 percent, the highest it has been since October. After months of aggressively dropping interest rates, many lenders are worried that the Fed will be forced to raise rates back up. As interest rates rise, so do mortgage rates. According to a press release on freddiemac.com, Frank Nothaft, Freddie Mac vice president and chief economist said that, “Mortgage rates jumped this week after a number of Federal Reserve officials, most notably Chairman [Ben] Bernanke and Vice Chair [Donald] Kohn, expressed concern over a threat of inflation.” We may very well be seeing the beginning of the end of the super-low mortgage and potential buyers may realize that with rising rates, now may be the time to jump in. Nothaft added, “Moreover, pending home sales for April unexpectedly rose by 6.3% and mortgage applications for home purchases … were also up last week.”

Gary and Nikki have offered a $500 “Teamwork” scholarship for 10 consecutive years to one student from local high schools:The requirements for the scholarship are to submit a 500 word essay on “What Teamwork Means to Me.” The essays are judged solely on content and clarity.  

The Gary and Nikki Team would like to congratulate this years winners:  

Countryside High School: Christina Ingrassia
Tarpon Springs High School: Amanda Williams

Click Here to learn how you or someone you know can apply.