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July 2015: Real Estate Sales Along Emerald Coast Holding Steady

Real estate sales along the Emerald Coast continue to hold steady with increases over the year before. In July, sales were up for single family homes, town homes, and condos across the Emerald Coast. Nationally,  HYPERLINK “http://realtormag.realtor.org/daily-news/2015/08/21/6-key-housing-stats-gauge-market”total existing home sales increased 10.3 percent over last year – similar to what we saw here in Northwest Florida.  All sales data is a year-over-year comparison between July 2015 and July 2014.

Single Family Home Sales

Emerald Coast

Closed sales increased 12%

Pending sales rose 8.2%

Median prices increased 11.6%

Inventory decreased 3.5%

Months supply decreased 21.2% to 6.7 months of inventory

Okaloosa County

Closed sales increased 15.3%

Pending sales increased 15.2%

Median prices increased 11.4%

Inventory decreased 2.2%

Months supply decreased 20.6% to 5.6 months of inventory

Walton County

Closed sales increased 4.8%

Pending sales increased 3.1%

Median prices increased 31.5%

Inventory decreased 4.6%

Months supply decreased 23.4% to 7.9 months of inventory

Townhouse and Condo Sales

Emerald Coast

Closed sales increased 4.9%

Pending sales decreased 9.5%

Median prices increased 35.2%

Inventory increased 0.7%

Months supply increased 1.2% to 9.9 months of inventory

Okaloosa County

Closed sales decreased 11.3%

Pending sales decreased 2.9%

Median prices increased 8.4%

Inventory increased 2.9%

Months supply increased 9.7% to 11.6 months of inventory

Walton County

Closed sales increased 8.8%

Pending sales stayed flat with a 0.0% increase/decrease

Median prices increased 10.5%

Inventory decreased 10.3%

Months supply decreased 18.7% to 8.1 months of inventory

A few things to remember…

A healthy real estate market (meaning neither buyer nor sellers have an “advantage”) is a six to eight month inventory. Below six months, it’s thought to be a seller’s market and above eight months is considered a buyer’s market. Single family home inventory in Okaloosa County continues to border on a seller’s market – with buyers having fewer options. When inventory decreases, multiple bids are more common and the best homes at the best prices tend to sell quickly.

Inventory can decrease while the months’ supply can increase – as well as the reverse. As inventory falls, buyers have less options. If the available inventory shrinks too much, sales can slow down which will increase the months’ supply of homes for purchase. This also contributes to quicker offers for well-priced and positioned homes, as well as multiple offers.

Median prices increased in all categories for the month of July. The median price is determined, in part, by the price ranges buyers are selecting and the inventory available in those price ranges.

Pending sales are only an indication of the month ahead. In months with an increase in pending sales, you can expect sales to increase for the following month. A decline in pending sales may be an indication of lower sales the next month. It is not an automatic as sales often take more than 30 days to close.

All sales data is from the  HYPERLINK “http://www.emeraldcoastrealtors.com/”Emerald Coast Association of Realtors® (ECAR) Multiple Listing Service (MLS) and is compiled by Florida Realtors®, the state association for Florida. The Emerald Coast statistics cover both Okaloosa and Walton counties as well as surrounding areas based on the listings entered into the MLS by ECAR MLS participants.

Costly Mistakes Made by New Homeowners

A new home is one of the biggest purchases homeowners will make in their lifetimes. Regrettably, sometimes costly mistakes are made by various parties of the transaction – builders, remodeling contractors, or even the new homeowners, themselves. Knowing a few of these common mistakes homeowners make can prevent future snafus from happening and save you lots of time, headaches and most importantly, money.

Storing Household Goods on Garage and Attic Trusses. Garage and attic trusses are designed to support the weight of the roof and ceiling and not the weight of anything else. Unfortunately, many homeowners view the space in the attic and above the garage ceiling as a great place for additional storage. Storing household goods in these areas can result in sagging and even a possible collapse of the roof structure. If a homeowner wishes to use this space for storage, a structural engineer should be consulted to determine if additional reinforcement is necessary.

Improperly attaching a Deck Trellis, Sunscreen, or Lanai Structure to the Home.Unfortunately, these “add on structures” are often just nailed or bolted directly to the outside wall of the home. Inevitably, rainwater finds its way into the penetrations and the dry rot process begins. It is critical that the deck ledger (the board that is placed up against the side of the home) be flashed with metal flashing in an industry-approved manner. If bolts are used to attach the ledger board to the home, the bolt holes should be filled with caulk. Local government agencies often require a building permit to construct a trellis or lanai attached to a home because they are considered a structure that could fall and cause injury. Check with the local building department before starting work.

Disconnecting or Not Using Bathroom and Laundry Vent Fans. Bathrooms and laundries are areas of high humidity. Bathroom and laundry fans should never be disconnected (even though the noise may bother the occupant). The fan should always be turned on during use of the room. Failure to use the vent fans can result in water vapor getting into the drywall, electrical outlets and even the framing members. Over time, mold, mildew and fungi may grow in these areas. Water vapor that condenses on walls and windows can eventually find its way into the walls of the home and weaken the structure through dry rot. Rooms where humidifiers are used should also be well ventilated.

Walking on the Roof. Walking on the roof is dangerous. Slips and falls can cause serious injuries. Untrained persons are likely to break or scuff the roof covering and cause roof leaks. Cleaning gutters should be done from a ladder and not by standing on the roof. If an object is thrown on the roof, such as a child’s toy, it should be retrieved using a ladder and a telescoping pole rather than by walking on the roof. Most residential warranties exclude damage resulting from unauthorized persons walking on roofs.

Overloading Upper Cabinets. While lower cabinets rest on the floor, upper cabinets are hung from a wall using screws or nails. By stacking heavy dishes and glassware in an upper cabinet, a homeowner can load the cabinet beyond its capacity. This can result in sagging shelves, or worse yet, detachment of the cabinet from the wall. Heavy china and cookware should always be placed in the lower cabinets. Do not overload cabinet drawers with heavy items and take care to not pull drawers out too far. This action results in the plastic guide being snapped off at the back of the cabinet drawer.

5 Ways to Make Moving Day Easier

Let’s face it. Moving is no picnic, and moving day is even worse. It doesn’t matter if you’ve done it a dozen times or this is your first official move, there are always ways to make it better.

Anytime you move, make sure you have a plan of action – how you’ll move, when you’ll move, and who will help you. To take a little of the stress out of the move, keep these five tips handy for the move-in day.

Take a picture of your electronics. Before you pack up all the game consoles, DVD/Blu-Ray players, TVs, computers, laptops, and anything else that plugs in, take a picture of each. One of the first things that many people will unpack is their entertainment. With a picture of the correct set-up, you’ll be up and running in no time.

Set-up your utilities in advance. Once you know what date you’re moving, you can call the electric, water, internet, cable, and other companies. Some may require paperwork to show proof of ownership, others may want a deposit. Setting everything up in advance means you’ll have hot water, air conditioner, and (hopefully) the internet and cable you need to unwind at the end of a long moving day.

Keep the cleaning supplies separate. This shouldn’t be too hard if you do a final cleaning once everything is on the moving truck. Empty trashcans or leftover boxes are perfect for this. Packing your cleaning supplies with your other belongings increases your chance of finding a sticky mess when you unpack.

Pack a box just for the first night. If you know there’s no way you’re going to begin unpacking once the moving truck is unloaded, pack up a special first night box. Include toiletries, something to keep you entertained, and important documents like birth certificates, deeds, and other paperwork that you don’t want to lose.

Label everything. This includes the boxes and the rooms of your new home. Make the move-in job easier for you and who ever helps unload the moving truck by labeling where you want your furniture to go. Tip: Make signs on blank paper and stick them to the walls with masking or painter’s tape (anything else could peel the paint). When you’re ready to unpack, the job will be easier if the right boxes are in the correct rooms and your furniture is, basically, where you want it.

Moving is a hassle, even when it’s to your dream home. With a few tips and tricks, you can take some of the stress out and keep you and your belongings organized.

June 2015: Emerald Coast Real Estate is Hot, Hot, Hot!

Image via Kozzi

It’s not just the weather that’s heating up this summer. Looking at the June 2015 real estate sales data, real estate along the Emerald Coast is just as hot. Sales and prices were up for single family homes and townhouses/condos, and inventory dropped. Some data even broke records. The national real estate statistics followed a similar path. All sales data is a year-over-year comparison between June 2015 and June 2014.

Single Family Home Sales

Emerald Coast

  • Closed sales increased 24.2%
  • Pending sales rose 4.8%
  • Median prices increased 7.7%
  • Inventory decreased 5.1%
  • Months supply decreased 22.6% to 6.6 months of inventory

Okaloosa County

  • Closed sales increased 25.7%
  • Pending sales increased 4.9%
  • Median prices increased 7.7%
  • Inventory decreased 4%
  • Months supply decreased 21.5% to 5.6 months of inventory

Walton County

  • Closed sales increased 28.3%
  • Pending sales decreased 0.4%
  • Median prices increased 3.7%
  • Inventory decreased 7.9%
  • Months supply decreased 27.5% to 7.7 months of inventory

Townhouse and Condo Sales

Emerald Coast

  • Closed sales increased 29.7%
  • Pending sales increased 0.6%
  • Median prices increased 17%
  • Inventory dropped 3.6%
  • Months supply decreased 0.2% to 9.8 months of inventory

Okaloosa County

  • Closed sales increased 21.7%
  • Pending sales decreased 22.8%
  • Median prices increased 2.8%
  • Inventory decreased 1.3%
  • Months supply increased 7.2% to 11 months of inventory

Walton County

  • Closed sales increased 48.5%
  • Pending sales increased 22.2%
  • Median prices increased 12.6%
  • Inventory decreased 11.9%
  • Months supply decreased 17.9% to 8.2 months of inventory

A few things to remember…

The current reporting system began in 2011 and the local market was hot enough to melt a few records:

Emerald Coast

  • 661 – Highest number of total single family home closings since 2011
  • $240,000 – Highest single family home median price since 2013
  • 6 months – Lowest single family home inventory months’ since 2011
  • $310,000 – Highest condo/townhouse median price since 2011

Okaloosa County

  • 401 – Highest number of total single family home closings since 2011

Walton County

  • 240 – Highest number of single family home closings since 2011
  • 7 months – Lowest single family inventory months’ supply since 2011

A healthy real estate market (meaning neither buyer nor sellers have an “advantage”) is a six to eight month inventory. Below six months, it’s thought to be a seller’s market and above eight months is considered a buyer’s market. Single family home inventory in Okaloosa County borders on a seller’s market – with buyers having fewer options. This is great for sellers who price their home well and stage it properly.

Inventory can decrease while the months’ supply can increase – as well as the reverse. As inventory falls, buyers have less options. If the available inventory shrinks too much, sales can slow down which will increase the months’ supply of homes for purchase. This also contributes to quicker offers for well-priced and positioned homes, as well as multiple offers.

Median prices increased in all categories for the month of June. The median price is determined, in part, by the price ranges buyers are selecting and the inventory available in those price ranges.

Pending sales are only an indication of the month ahead. In months with an increase in pending sales, you can expect sales to increase for the following month. A decline in pending sales may be an indication of lower sales the next month. It is not an automatic as sales often take more than 30 days to close.

All sales data is from the Emerald Coast Association of Realtors® (ECAR) Multiple Listing Service (MLS) and is compiled by Florida Realtors®, the state association for Florida. The Emerald Coast statistics cover both Okaloosa and Walton counties as well as surrounding areas based on the listings entered into the MLS by ECAR MLS participants.

Is Now the Time to Buy a Home?

Across the country, a similar messaging is being repeated over and over again. Rent prices are on the rise, and renting becoming unaffordable for many people.

Renters need to ask themselves a question. Is now the time to buy a new home?

Owning a home isn’t for everyone, but in many cases, the answer may be, “Yes!”

  • Rents on the Rise
    • Housing is becoming increasingly unaffordable for many renters. Recent data released by the Harvard Joint Center for Housing Studies shows that half of all renters (20.7 million) spent more than 30 percent of their income on housing in 2013 – and costs have only continued to rise since then.
    • Worse still, about 11 million renters spent more than half their income on rent and utilities. That’s a 37 increase from 2003.
    • In an ideal situation, housing should cost less than 30 percent of your income. But that’s just not the case.
    • The middle class seem to be getting hit the hardest. Families with incomes between $45,000 and $75,000 seem to being feeling the pinch more than ever. Between 2003 and 2013, 72 percent of families in this income bracket spent more than half their income on housing.
    • On the flipside, though, only about 25 percent of homeowners (19 million people) spent more than 30 percent on housing, which is the lowest amount in ten years.
  • The Case for Owning Your Home
    • There are plenty of misconceptions about buying a new home. Let’s clear a few of those up.
      • Myth 1: You need to save a 20 percent down payment.
        • Not true! Conventional loans are available for as little as 5 percent down and FHA loans are available for as little as 3.5 percent down.
      • Myth 2: You have to have perfect credit to get a mortgage.
        • While mortgages aren’t as easy to get as they were several years ago, perfect credit is not a requirement for every loan type. For FHA loans, your FICO credit score can be as low as 580 and still qualify for a low down payment mortgage.
      • Myth 3: There’s no value or long-term wealth in housing, especially since the recession and housing crash.
        • According to a Federal Reserve study in 2014, the average net worth for a renter is $5,400. The average net worth of a homeowner is $194,500.
    • For many renters, buying a home is more of a reality than you may realize. Former renters across the country are saving money each month as homeowners. Finding the right mortgage and the right home isn’t always easy, but for many renters, it may be worth the effort

Is Your Bank Account Ready for a Pet?

While research has shown that bringing a pet into your home can do wonders when it comes to lowering blood pressure, lessening anxiety and even boosting your immune system, anyone who has ever owned a pet can attest to the fact that it’s not a cheap undertaking. From food to toys to veterinary costs—and everything in between—owning a pet is an expensive proposition. And the money adds up quickly through the course of a year, let alone a lifetime.

Before you surprise your family with a new pet, it’s crucial that you understand the finances associated with owning—and caring for—your new family member.

The following chart, from the American Society for the Prevention of Cruelty to Animals (ASPCA), provides an accurate look at the annual costs associated with caring for a variety of species.

Small Dog $1,314
Medium Dog $1,580
Large Dog $1,843
Cat $1,035
Rabbit $1,055
Guinea Pig $705
Small Mammal $340
Small Bird $270
Fish $235