Cape Coral Florida's Real Estate Guide

The U.S. Treasury is constructing a plan to stimulate new and existing home sales by reducing the interest rate on home loans. The current rate will be reduced from the current 5.5% to 4.5% and this reduction would apply to new mortgages on new and existing homes. While a step in the right direction, there are many who are critical of the treasury's proposal.

Industry insiders say that the treasury's plan may hurt current mortgage investors. Others criticize the plan because the rate reduction would only apply to new mortgages and not to refinancing. Those critics say that there will be nothing to stop neighbor's from "trading homes" to get the 4.5% interest rate. Many realtors back this plan because it would mean a jump start for home sales and anything that can get homes sold will help in the current market conditions.

Although there is no date set for a decision on this plan, we can expect to hear more about this in the coming days and weeks. Check back often for more updates.

When the real estate bubble burst, Florida was one of the hardest hit states in the country.  Home values fell fast to never-before-seen lows and sales came to a grinding halt. Reports from the National Association of Realtors are bringing a ray of hope to the Florida real estate market. Overall home sales in Florida have jumped by 15% for the latest month when compared with that time last year. Sales in Fort Myers alone are up by 44% and this is a great sign for the local real estate market.

So why are sales up so sharply? Foreclosures and short sales make up most of the sales that have occurred. Home prices are much more affordable than they were a few years ago and qualified buyers are taking advantage of it. According to NAR, home prices in Florida are down by 24% from last year. In addition to the decrease in home prices, affordable mortgage money is more readily available. Rates are just above 6% for a 30yr fixed rate mortgage and are under 6% for 15yr fixed rate mortgages.

What does this mean for a home buyer or seller? Buyers are faced with many home options and can get great deals on immaculate properties. If you are in a position to buy a home, now is the time to do it. For sellers, this means that you may have a better chance of selling your home providing that you are being competitive with the pricing of your home in comparison to others in your neighborhood.

If you are looking to buy or sell real estate in Cape Coral, Ft. Myers, Bonita Springs, or Estero, contact me today so that I can assist you with your real estate transaction. My experience and knowledge of the area and its current market conditions will ensure that you have a successful purchase or sale. Check back here often for more local real estate market updates.

With so many great homes on the market at never-before-seen prices, people are jumping at the opportunity to buy. What some people don't realize is that the low price is a function of the property being a foreclosure. While buying a foreclosed property can be a great real estate investment, it is often more complicated than an average real estate purchase.  Here are 3 mistakes to avoid when buying a foreclosed property:

1. Trying to buy a foreclosure without the help of an experienced professional

As I stated before, purchasing a foreclosure can be far more complicated than purchasing your average home. Employing the services of a real estate agent that is experienced in the buying and selling of foreclosed properties is key to a successful foreclosure purchase. They can help you to find properties that fit your needs and budget as well as guide you through the additional laws and legalities surrounding a foreclosure purchase.

2. Thinking of a foreclosed property purchase as a short-term investment

Because home prices have not yet hit rock bottom, it is safe to say that a foreclosure purchase today will not yield you big profits in the near future. Foreclosed properties are not the properties to flip for fast cash. You must think of a foreclosure purchase as a long-term investment. Only people who can afford a fully amortized, fixed-rate home loan should consider investing in a foreclosure.

3. Not targeting a specific area for a foreclosure purchase

If you are going to invest in real estate, don't you want to get the best home in the best area for the best price? By not limiting your foreclosure search to a particular area, you become less effective in finding the perfect investment property. Choose a neighborhood with good schools and low crime, two features buyers almost always want, and then contact a real estate agent who specializes in that neighborhood. Tell the agent you want to know about any foreclosures that meet your additional criteria and then the agent will keep you updated as to new availabilities in that area. Be patient and you will most likely come across some great bargains!

(ARA) If youre one of the approximately 50 million Americans moving this year, you probably don't want to spend a fortune to get from point A to point B. With a little planning ahead, its possible to execute a do-it-yourself move without breaking the bank.

According to the U.S. Census Bureau, about 16 percent of all moves are work-related -- moving to find a new job or to be closer to a current job. Whatever your reason for moving, you dont have to pay a company to pack up your belongings and transport them to your new home. Here are some easy ways to move yourself and stay on budget:

If you need to rent a truck or trailer, especially if you only have a few large items that cant fit into your vehicle, check out your local big box retail hardware store. They often rent trucks and trailers by the hour at a fraction of the cost of renting from a moving company.

Collect free boxes from friends, family and from local grocery and liquor stores. Save old newspapers to wrap valuables in instead of purchasing expensive rolls of bubble wrap.

Plug in the refrigerator at your new place a day or two ahead of time. Pack frozen and perishable foods in a cooler with ice packs and unpack that food into your new fridge first. Having your food melt or go bad means an additional, and expensive, trip to the grocery store.

Pick up change of address forms, free of charge, from the post office. Request a free "welcome kit" from the local chamber of commerce in your new community. These kits contain valuable information and often include money saving coupons for local businesses.

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Low prices and increased affordability have buyers making real estate purchases. According to the National Association of Realtors (NAR), home sales in Florida are up by 5% from this time last year. Sales are significantly strengthening in Lee County, home to Cape Coral, Ft. Myers, Estero and Bonita Springs. Selling prices are down by 20% in Florida but the noteworthy increase in home sales tells us that the real estate market is moving forward even though the country is in an economic recession.

As an added bonus, existing home sales across the country are up. 3^rd Quarter numbers are in and there has been a 2.6% increase in sales from the 2^nd Quarter. While that may not seem like much, it is especially significant considering the state of the real estate market and the U.S. economy. The increase is due mostly to buyers picking up foreclosed properties for a bargain. There is an opportunity for people who have down payments and reasonable credit scores to get an affordable mortgages and buyers are taking advantage of it. As an added bonus, mortgage rates are down to 6.16% on a 30yr mortgage and 5.87% on a 15yr mortgage according to the Mortgage Bankers Association.

Now is the time to buy in Lee County! Properties in Cape Coral, Ft. Myers, Estero, and Bonita Springs can be had at a deep discount. If you have been considering a move, take a look at some of the properties using my property search or contact me, Vickie Townes, to find your Cape Coral dream home!