Still Searching for the Bottom

In the last post, I was thinking that we might see a bottom in the market in 2008. Well, 2008 is almost over and I am not sure if we are there yet. Prices have surely come down alot... and overall sales in SW Florida in October had their first positive 12 month comparison. In fact, unit home sales in October 2008 in Cape Coral/Ft Myers were up over 70% over October of last year. That is a step in the right direction and should lend a stabilizing force to the market. Basically, we have finally found a price where buyers show up but there is still a lot of inventory to chew through. If this pace continues, inventory will start heading in a positive direction this winter season What is interesting is that it appears that the weakest markets are now becoming the strongest and the strongest are finally caving in. The once unbreakable Manhattan is on its way down - and we down here in Florida, who have been in a depression for real estate for several years - are seeing some early signs of life. Indeed, it looks like the first in will be the first out of this global quagmire. From my perch, I see just as many baby boomers looking to buy here on North Captiva Island as in years past. It seems they are just waiting, though, for the right time to pounce. And for now, they have time on their side. At some point, their own ages will come into play. Do you want to wait until you are so old you cannot enjoy the beach house you always dreamed about retiring in? Thus, think the demographics in the future are stronger here by the beach than areas of the country that rely on employment to drive sales. I would not want to own property in car producing areas or areas ( like New York) that rely too heavily on high paying jobs in the financial industry.