Daytona Beach Homes Sales Fall 11.6%

The preliminary numbers are in and sales have fallen again. In October 225 homes and condos in Daytona Beach were sold. In November, 198 home sales have been recorded to date. These are preliminary numbers because a few more sales will be added by Daytona Beach real estate agents over the next few days.

The fall is expected based on seasonal affects (209 homes sold in November of last year) and the lack of mortgage money and the lack of economic confidence.

The trend of homes under $200,000 is accelerating with 71.2% of sales recorded in that price range. Over 90% of Daytona Beach homes sold were sold under $300,000. Only 19 homes sold above $300,000. The top end of the market is nearly dead.

The top market should be boosted when FHA limits rise in January, but we’ll see. Right now it’s dismal for high end properties.

Properties under $200,000 remain stronger, but there was a 9% decline in those numbers in October. Where the market goes from here is based on mortgage money becoming available and buyer’s confidence. Until we have money available from lenders and buyers more willing to buy, we will be in the lower ranges of the market.

The prices we are seeing are based on short sale and foreclosure prices. Until those properties are worked out of the market, “normal” prices will not return. That is going to take a few years. It is a stronger and stronger buyer’s market and the deals are amazing for those who are willing to accept the risk.

In the long term the supply of distressed properties will decline and prices will rebound. People buying now might realize gains of 30-40% within 5-7 years. That’s a pretty good return.

The market is changing fast and if you’re interested in distressed properties we should talk. Nearly all of my sales are now associated with distressed homes and condos and I know the ins and outs of the process. Call me at 386-566-7503 or 888-519-9579 to learn more.

Technorati Tags Daytona Beach Condos, Daytona Beach Homes, Daytona Beach Real Estate, Short Sales

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