Tampa Bay Residential Real Estate Firms

kwKeller Williams Realty has three of the top 10 residential real estate firms in Tampa Bay Market ranked by Gross Sales Volume Closed in 2016.  The Tampa Bay market comprises Hernando, Hillsborough, Manatee, Pasco, Pinellas, Polk, and Sarasota Counties.   This list was supplied by individual companies through questionnaires.  Two of the Keller Williams’ offices exceeded the average number of listings and closings.  In fact, one office was ranked first in both closings and listings.  However, Keller Williams Realty lagged the average sales price with these firms focusing on selling higher end condominiums and water front properties versus Keller Williams focus on middle class purchasers.  The following exhibit displays the results of this survey:

Tampa Bay Residential

KW1784102f20KW_thumb.jpgYou should consider using a realtor.  I could save you money especially with new home builders and it does not cost you anything.  So why not?  If you are interested in buying real estate (new home, existing home, or commercial property), please contact me (Alan Lane with Keller Williams Realty a.t 2119 W Brandon Blvd, Brandon, Florida  33511).  As a life long resident of Central Florida, I can help you find the right property for you whether it is in Lakeland or as far south as Sarasota.  The Keller Williams offices of  ”Suburban Tampa” include the offices in Brandon, Plant City, Fishhawk Ranch, and our newest office in Valrico.  My email address is alanlane66@gmail.com, or call me at 813.205.9280.  If you are just starting your search, you can search the MLS for real estate opportunities on my website at this link

Hillsborough County Residential Market May 2017

IMG_4126.jpgThere has been a lot of news about the health of most residential markets throughout the United States.  But in Hillsborough County (Tampa) Florida, the residential market remains strong and should continue to be strong into the immediate future.  So if you are relocating to this area, you should not be worried about buying a new home.  Per MLS statistics, there are some significant market indicators that show that the market continues to be a seller’s market.  The number of active listings have continue to decline.

Active Listings 5 10

We have also seen a steady historical sales price trend from its low in January 2011 with the current trend is not at the 2007 level when the bubble burst (i.e. there were 11,541 sales in April 2012 versus 8,027 sales in April 2017).  It’s this steady trend that should keep the market a seller’s market and healthy into the near future.

Historic sales price trend 5 10

The actual days on the market (ADOM) has been declining despite the increase in price.  As of April 2017, the ADOM is only 23 days with a median list price of $223,000 versus 42 days in February 2015 when the median list price was $185,900.

ADOM 5 10

We are also seeing a decline in the number of sales in most price ranges in the past three years.  This is especially true for homes under $100,000 when there were 6,630 sales in 2015 versus 3,957 sales in 2017.

Historic sales X Price range 5 10

KW1784102f20KW_thumb.jpgYou should consider using a realtor.  I could save you money especially with new home builders and it does not cost you anything.  So why not?  If you are interested in buying real estate (new home, existing home, or commercial property), please contact me (Alan Lane with Keller Williams Realty a.t 2119 W Brandon Blvd, Brandon, Florida  33511).  As a life long resident of Central Florida, I can help you find the right property for you whether it is in Lakeland or as far south as Sarasota.  The Keller Williams offices of  ”Suburban Tampa” include the offices in Brandon, Plant City, Fishhawk Ranch, and our newest office in Valrico.  My email address is alanlane66@gmail.com, or call me at 813.205.9280.  If you are just starting your search, you can search the MLS for real estate opportunities on my website at this link

Move-In Ready Homes Within Waterleaf Estates In Riverview, Florida

IMG_4129Waterleaf Estates are located on the south side of Big Bend Road, west of Balm Riverview Road in Riverview, Florida.  This location is location in just minutes from Tampa Bay.  Amenities include gated entry, a clubhouse with a resort style swimming pool, fitness center, basketball court, playgrounds, picnic area, and trails.  There is an annual CDD fee of $145.57 per month and HOA fees of $45 per month, which appear reasonable considering the community amenities  provided.  The community features a variety of single family homes with eight floor plans:

  • Pricing from $239,990s to $284,990s
  • Square footage from 1,738 to 2,594
  • Bedrooms from 3 to 4
  • Bathrooms from 2 to 4

Currently, the schools include the following:

  • Summerfield Elementary School
  • Eisenhower Middle School

Although the above schools are the currently assigned to the subject development, I would suggest that a potential buyer check the Hillsborough County website to verify the schools and more information (school grades, school calendar, etc.). If you are relocating to Hillsborough County, you can find your school ratings and reviews at click here as well as the school calendar at click here.

Shopping for a large production or custom home builder can be a daunting task.  Start by defining what architectural styles appeal to you and then seek out the builders in your area who offer those styles.  Due diligence is essential.  Unlike most builders, Lennar offer a home that has everything included.  What does that mean for the buyer?  In the case of upgrades, it is simply a matter of over pricing them above what you could get done from an individual subcontractor.  I’m not saying that Lennar does not offer upgrades, but most of the “typical” upgrades in the modern home as “granite” countertops are included.  Whereas, a lot of builder charge higher prices at their “design centers”.  This is just something to think about when deciding on purchasing a home.

Home prices are still very affordable in the Tampa Bay Market.  This is especially true for Spec” (speculation) homes, which are often the best places to get the best deals.  These homes are built by builders without an intended purchaser in mind (Hence the builder is speculating that they will find a builder to buy the home).

There is a move-in ready, 1,971 square foot, three-bedroom/study/two-bath, Bourne model offered at $243,290. Front elevation and floor plans are as follows:

There is a move-in ready, 1,909 square foot, four-bedroom/study/three-bath, Normandy model offered at $253,490. Front elevation and floor plans are as follows:

There is a move-in ready, 2,441 square foot, four-bedroom/three-bath, Monaco model offered at $286,790. Front elevation and floor plans are as follows:

Thinking of buying or selling real estate?

You should consider using a realtor.  If you are interested in buying real estate (new home, existing home, or commercial property), please contact me (Alan Lane with Keller Williams Realty at 2119 W Brandon Blvd, Brandon, Florida  33511).  As a life long resident of Central Florida, I can help you find the right property for you whether it is in Lakeland or as far south as Sarasota.  The Keller Williams offices of  ”Suburban Tampa” include the offices in Brandon, Plant City, Lithia (Fishhawk Ranch), and our newest office in Valrico.  My email address is alanlane66@gmail.com, or call me at 813.205.9280.  If you are just starting your search, you can search the MLS for real estate opportunities on my website at this link.

Front Elevation and Floor Plans were provided by Lennar Homes.

Real Estate Prices in Perspective in the Tampa Bay Market

BourneHome prices are still very affordable in the Tampa Bay Market.  This is especially true for Spec” (speculation) homes, which are often the best places to get the best deals.  These homes are built by builders without an intended purchaser in mind (Hence the builder is speculating that they will find a builder to buy the home). For example, I have client that just purchased a new 3,210 square foot, five-bedroom, three-bath, three-car garage home for about $260,000 (a reduction of almost $20,000), or $81 per square foot.  This home was purchased with a VA loan, which was 100% financed with a fixed interest rate of 3.75% with a payment of only $1,455 per month (including principal, interest, homeowner’s insurance, property taxes, and CDD fees totaling $262 per month).  The only additionally fee that is not escrowed would be a quarterly HOA of $184.   As of May 2015, the average rent for a two-bedroom apartment is $1,161 per month.  The average apartment rent over the prior 6 months in Tampa has increased by $138 (13.4%).  Although the amount of rent paid for two-bedroom apartment is lower than house payment, the home is considerably larger with three additional bedrooms.  Since this is a new home from a new home builder has some advantages over a buying a presale. The new construction advantages include home warranties, lower building insurance, sales incentives (ranging from upgraded kitchens to bathrooms) and closing costs (most (if not all) of the closing costs are included if the builder’s approved lender is used).

Let’s put price into perspective in today’s real estate market and how it can help you in the long run.  It seems that everything has been increasing in price faster than you are making money.  The following exhibit illustrates the how some key items have increased:

Affordability in Perspective

Item 2008 2013 % Change
New Car $27,958.00 $31,352.00 12%
Gas $2.05 $3.80 85%
Hamburger Meat $3.99 $4.68 17%
Wages $40,523.00 $44,321.00 9%
National Avg. Home Price $238,880.00 $289,500.00 21%
Mortgage Rate 6.03% 3.98% -34%
Monthly P&I Payment $1,200.37 $960.18 -20%
SOURCE:  http://www.thepeoplehistory.com and bankrate.com

 

As you can see in the exhibit above, today’s interest rates are one of the best benefits that we can take advantage of now!!!  If you buy a new home or an updated  presale with a warranty the risk is further reduced for costly repairs and/or remodeling costs.  You can even trade up for the same payment.  So, interest rates matter!!!

Thinking of buying real estate?  You should consider using a realtor.  If you are interested in buying real estate (new home, existing home, or commercial property), please contact me (Alan Lane with Keller Williams Realty at 2119 W Brandon Blvd, Brandon, Florida  33511).  As a life long resident of Central Florida, I can help you find the right property for you whether it is in Lakeland or as far south as Sarasota.  The Keller Williams offices of  ”Suburban Tampa” include the offices in Brandon, Plant City, Fishhawk Ranch, and our newest office in Valrico.  My email address isalanlane66@gmail.com, or call me at 813.205.9280.  If you are just starting your search, you can search the MLS for real estate opportunities on my website at this link.

Why Hire a Realtor?

IMG_4126The FSBO acronym stands for sale by owner.  According to 2014 National Association of REALTORS® Profile of Home Buyers and Sellers, FSBOs accounted for 9% of home sales in 2013. The typical FSBO home sold for $184,000 compared to $230,000 for agent-assisted home sales.  This equates to an increase in price of $46,000 (or 25% overall increase).  Even if the seller pays an overall 7% in commission, the property owner still gets 18% more for his home.  So why not list your home with a realtor?  A lot of home owners still think that their home is still underwater with the the home value below the loan value.  Let me provide you with a CMA at not cost.  The results might shock you.

So you still think that Realtors are making too much for selling your home?  Here are some statistics that might change your mind. Some of the key statistics of the 2015 Florida Realtors Member profile is as follows:

  • 70 percent of respondents were compensated via percentage split-commission.
  • The median gross income for Realtors in Florida was $40,200
  • Members with 16-or-more years experience had a median gross income of $54,300; those with less than two years had an income of $9,300
  • The typical business expense paid was $5,970
  • The largest single expense category was vehicle expenses at $1,450 in 2014.
  • Agents had 12 transactions in 2014 – the same number as in 2013
  • 42% percent of residential specialists had a transaction involving a foreclosure; 34 percent had a transaction involving a short sale.
  • The typical sales volume was $1.4 million in 2014.
  • Difficulty finding the right property equaled the difficulty in obtaining mortgage financing (nationally, finding the right property ranked higher).
  • The typical property manager managed 55 properties.
  • Most Realtors worked 40 hours per week in 2014.
  • 18 percent of business came from repeat business and 18 percent through referrals from past clients.
  • Realtors spent a median of $130 to maintain a website in 2014.
  • Members in Florida typically brought in four inquiries and three percent of their business from their website
  • The typical Realtor is a 57-year-old white female who attended some college and owns her home.
  • Education can vary greatly from Realtor to Realtor.
  • 60 percent are female
  • 22 percent had a previous career in management, business or the financial sector; 17 percent in sales or retail. For 5 percent, real estate is their first career.
  • 78 percent say real estate as their only occupation – 85 percent for those with 16-or-more-years experience.

Thinking of buying real estate?  You should consider using a realtor.  If you are interested in buying real estate (new home, existing home, or commercial property), please contact me (Alan Lane with Keller Williams Realty at 2119 W Brandon Blvd, Brandon, Florida  33511).  As a life long resident of Central Florida, I can help you find the right property for you whether it is in Lakeland or as far south as Sarasota.  The Keller Williams offices of  ”Suburban Tampa” include the offices in Brandon, Plant City, Fishhawk Ranch, and our newest office in Valrico.  My email address isalanlane66@gmail.com, or call me at 813.205.9280.  If you are just starting your search, you can search the MLS for real estate opportunities on my website at this link.

2015 Single Family Home Forecast

Granada II Front Elevation ResizeAccording to Melissa Dittmann Tracey with REALTOR® Magazine, the real estate market is expected to build momentum across most price points and stabilize over the next year due primarily to a rebounding economy.  Parts of this study are quoted verbatim.  Here are some positive trends that we are expecting to see.

  1. Overall employment is on the rise.  According to the study, their is a forecasted addition of 2.5 million jobs next year with an addition increase in household formation, will likely drive more first-time homebuyers into homeownership, according to realtor.com projections.
  2. According to the study, “The double-digit price increases in 2013 have slowed, and stable growth was the trend in 2014. As investors retreated from the market, so have the rapid home price increases. Prices are expected to continue edging upward in 2015, with realtor.com predicting a 4.5 percent price gain.”
  3. According to Melissa Dittmann Tracey, “Interest rates over the past few months have been dipping below 4 percent, lowering the borrowing costs of homebuyers and refinancing homeowners. However, mortgage rates are predicted to rise this year. Freddie Mac projects mortgage rates will likely average 4.6 percent but inch up to 5 percent by the end of 2015.”
  4. New programs with lower down payments are popping up to help more buyers buy homes. In early December, Freddie Mac and Fannie Mae announced conventional loan down payment programs that will allow qualified first-time buyers to secure a fixed-rate mortgage with a 3 percent down payment. Prior to that, they needed at least 5 percent.  Also, “there are many states as well as national programs, which offer grants that range from 1 to 5 percent to be used for a down payment or closing costs,” writes Damian Maldonado, co-founder of American Financing Corp., at CNBC. “These easing loan standards will allow more first-time buyers to enter the market.”
  5. Affordability for homes, based on home-price appreciation and rising mortgage interest rates, will likely fall by 5 percent to 10 percent in 2015, according to realtor.com forecasts. However, the decline in affordability could be offset by an increase in salaries for many households. “When considering historical norms, housing affordability will continue to remain strong next year,” realtor.com notes in its report.
  6. Single-family new-home starts barely budged in 2014 compared to 2013, and new-home sales remain far from normal levels. But that could finally turn around in 2015. New-home sales are expected to rise 25 percent as single-family construction picks up traction in 2015. The National Association of Realtors  projects single-family housing starts will rise to 820,000 in 2015, though that number is still below the 1 million historical average.
  7. According to Melissa Dittmann Tracey, “The number of foreclosures is expected to continue to fall in 2015, but expect them to still be elevated in some pockets across the country – particularly in judicial states, such as Florida, where foreclosures must wind through the courts.”  Foreclosure filings declined for much of 2014. From January through November, foreclosure filings fell about 172 percent compared to the same period one-year prior, according to RealtyTrac data.
  8. Oil prices have plunged 45 percent since June, which could inadvertently provide a lift to the housing market. “Households in the U.S. spend more than $1,800 on energy-related costs annually, and 22 percent of that energy consumption is due to residential real estate,” according to Core Logic’s 2015 Housing Outlook. “So while the drop in oil prices typically has been linked to a reduction in driving-related expenses, it clearly also reduced energy-related expenses for residential real estate.”
  9. An increase in rental costs in 2015 will likely outpace annual home-price gains. Expect the rental market to remain a “landlord’s market” in 2015, with vacancy rates expected to stay below 5 percent, according to the NAR. That should lead to demand pushing rents up even higher and keeping them above inflation, notes NAR Chief Economist Lawrence Yun. Apartment rents are projected to increase 4 percent once 2014 numbers are released, and 4.1 percent in 2015.
  10. A stronger economy will probably have an increase housing demand in 2015. “Overall, the economy finally appears to be gaining enough momentum to help provide the support that the housing market (needs) for a stronger recovery,” Sam Khater, deputy chief economist at Core Logic, notes in the company’s 2015 Housing Outlook. As proof, he cites the “combination of stronger employment growth and especially Millennial (under the age of 30 years old) job growth.”

Thinking of buying a new home?  You should consider using a realtor.  f you are interested in buying real estate (new home or investment property), please contact me (Alan Lane with Keller Williams Realty at 2119 W Brandon Blvd, Brandon, Florida  33511). As a life long resident of Central Florida, I can help you find the right property for you whether it is in Lakeland or as far south as Sarasota.  The Keller Williams offices of  ”Suburban Tampa” include the offices in Brandon, Plant City, Fishhawk Ranch, and our newest office in Valrico.  My email address isalanlane66@gmail.com, or call me at 813.205.9280.  If you are just starting your search, you can search the MLS for real estate opportunities on my website at this link.

Current Real Estate Affordability

Although the percentage of a typical family’s (median) income as a portion of the housing budget has increased slightly between 2012 and 2013 (the most recent figures), it remains significantly lower than the historical averages.  In other words, people are paying as a percentage of income a smaller portion of their historical income than ever before and it has translated into more house for your moneyThe following exhibit from as published by Keller Williams Realty demonstrates the changes in “affordability” over time:

image

SOURCE: Keller Williams Realty

image

SOURCE: Keller Williams Realty

image

SOURCE: Keller Williams Realty

In the last couple of years, we have seen a steady increase in new homes and resales of existing homes in Hillsborough County (Tampa) as the inventory of bank REOs and short sales have decreased. The following chart shows this price trend over 2013.

image

SOURCE: Keller Williams Realty and MLS

imageThe increase in the sales prices is more dramatic over the the last year.  New home prices are starting to increased prices with re-sale homes to start recovering their sales price. Sales prices are up 21% in Hillsborough County since the market low in 2011.

Thinking of buying a new home?  You should consider using a realtor.  f you are interested in buying real estate (new home or small investment property), please contact me (Alan Lane with Keller Williams Realty at 2119 W Brandon Blvd, Brandon, Florida  33511).  As a life long resident of Central Florida, I can help you find the right property for you whether it is in Lakeland or as far south as Sarasota.  The Keller Williams offices of  ”Suburban Tampa” include the offices in Brandon, Plant City, Fishhawk Ranch, and our newest office in Valrico.  My email address isalanlane66@gmail.com, or call me at 813.205.9280.  If you are just starting your search, you can search the MLS for real estate opportunities on my website at this link.