To gauge demand in a market, I'm looking for things like the average days listings are on the market, the percentage of asking price received by sellers, and the number of homes being sold—both pending and closed.
Irvine, CA (PRWEB) December 12, 2013
In June, the Florida real estate market had 112,365 homes for sale—down over 31% from the previous year. There were 26,062 new listings added in June, which was down 3% from the previous year. And, according to statistics provided by Florida REALTORS, it would take 6 months for the market to absorb current inventory—down from 10 months a year ago.
For information on real estate note investing please visit: http://www.realestatenoteinvesting.com.
According to Shannon DeRosby of Summerlin asset Management, “Supply numbers are great and all, but without knowing demand they are pretty much worthless. As an investor you want to know whether or not that supply is going to be consumed by the market. When demand exceeds available supply—that's when prices rise. To gauge demand in a market, I'm looking for things like the average days listings are on the market, the percentage of asking price received by sellers, and the number of homes being sold—both pending and closed. So let's see how the Florida real estate market stacks up.”
The following numbers are from June's Florida REALTORS report:
- New Listings: 28,443 (up 10.8% from last year)
- Inventory (Active Listings): 89,223 (down 22.0% from last year)
- Pending home sales: 24,139 (up 23.1% from last year)
- Closed home sales: 20,403 (up 8.6% from last year)
For more information visit: http://www.floridatrustdeedsforsale.com.
Depending on the type of real estate investment you plan to make, you might want to consider other demand metrics as well. In a place like Florida, for example, tourism is huge. If I was considering purchasing a home to use as a vacation rental, I'd want to look at tourism levels and demand for vacation accommodations. The fact that over 55 million people visited Orlando last year—making it the number one tourist destination in the world—would be something real estate investors should take note of. One of the best ways to invest in Florida Real Estate is to buy pre foreclosure real estate notes. Also called, 1st Trust Deeds or mortgage notes (http://www.floridamortgagesforsale.net) can be a great way to invest.
Summerlin Asset Management is a private real estate 1st trust deed and mortgage note investment company offering a variety of discounted Trust Deed Investment opportunities. We serve clients that are seeking to build a conservative portfolio of passive-income investments secured by real property.
Investment Philosophy - Summerlin seeks to generate attractive risk-adjusted returns through investments in collateralized first position mortgages. Our management team executes this strategy by combining sophisticated valuation analysis, pricing discipline, and professional mortgage workout solutions that benefit the borrower and Summerlin.
For more information about real estate investments in Florida please call Shannon or Tammy at 928-854-7747 or by visiting http://www.investinsam.com.