Southwest Florida Real Estate Market Report-August 2013

It looks like the recession of the housing industry is in full recovery especially throughout Southwest Florida.  Unemployment remains high in many areas of the country and GDP growth is slow.  But the housing market is looking good.

Higher demand paired with lower inventory has led prices to increase across the board.  This limited inventory is mainly due to two factors: years of repressed new home starts and lower foreclosure rates.  Land sales throughout the region including Cape Coral land sales are seeing growth in sales numbers and sales prices.  It’s as simple as the law of supply and demand.  When demand outpaces supply, prices rise. The proof is in the pudding of our current housing market.

Though mortgage interest rates have begun to creep higher, they continue to stay near historic lows.  Following the restructuring of the lending industry at the end of the last decade, banks are doing a much more thorough job at screening borrowers.  People know they’ll need to jump through hoops, and they are prepared.  What we are seeing right now is a pool of buyers that are qualified and ready to move into homeownership.  This pool continues to grow.  Buyer traffic is up 29 percent from last year, but inventory is down 10 percent.

When searching for real estate invesments, it’s easy to get excited when you see this rise in prices.  It’s time to dust off those properties purchased at the bottom of the market and start getting ready to sell.  If you weren’t lucky enough to grab any of those great deals, don’t despair there are still many great lots and land available for sale.   To learn about land for sale in Florida contact a member of the 9 Core Realty land sales team at (239) 333-2221.

Buying Land through a Self-Directed IRA

Difficult economic times have spurred non-traditional methods to save for retirement, and many people are using a self-directed IRA to purchase non-traded assets like land and real estate.

A self-directed IRA is the lesser known of IRA options and requires account owners to make active real estate investments or other types of investments on behalf of the plan.  To open one, an owner must hire a trustee or custodian to hold the IRA assets and be responsible for administering the account and filing required documents with the IRS.

Similar to other IRA accounts, owners can invest in stocks, bonds and mutual funds, but they can also invest in things that investment houses like Charles Schwabb, Fidelity and Vanguard don’t offer, like small businesses, boat slips, storage units, parking lots, land and homes.

Investors may still be leery of investing in land for sale but it can be a good long-term investment and generate higher returns than the stock market.

Investing in real-estate also provides a lot of options. Owning real estate can be very rewarding, especially for people who are investing in what they know.  But the process of using a self-directed IRA to jump into investing in real estate requires preparation and caution.  The move can make sense in certain circumstances, but only when the investor fully understands both the positives and negatives and the requirements involved.

Interested investors should seek legal advice, as well as input from an accountant and real estate agent for a well-rounded picture. They should also be familiar with the rules for the type of IRA they’re using. Whether it is a Simple IRA, Roth or Traditional IRA, SEP or Solo 401(k), contribution limits still apply, and there are penalties for early withdrawals.

For a no hassle consultation regarding purchasing land through a self-directed IRA and to learn if this land purchase method can work for you contact a member of our 9 Core Realty team at (239) 333-2221.

Private, Secluded Lot in the Desirable NW Cape Coral Area

TaxMapImageOur 9 Core Realty featured property of the week is a beautiful private lot located off Burnt Store Road in the desirable NW Cape Coral Area.  If you are looking for a Cape Coral lot that offers amazing views of nature and offers a peaceful, tranquil atmosphere, you will love 4410 NW 36th ST.

With highly sought after direct Gulf access, this Cape Coral land is a boater and fisherman’s dream.  With water access just steps away, this property could easily accommodate a dock with 100 feet of waterfront property.

All the conveniences of the NW Cape shopping areas are just minutes away and Punta Gorda and Fort Myers are just a short drive away.  Enjoy all the amenities of being a Cape Coral resident, while still being secluded.

Prices in this area are going up quick, buy now, before this dream location is gone!

It’s a Hot, Hot Summer in the Lehigh Acres, FL Real Estate Market

The Summer of 2013 has been hot to say the least and we aren’t talking temperatures, we’re talking real estate.  The market in Lehigh Acres, a city of 86,784 in Lee County, is on fire this summer with land and home buyers finding great deals throughout the 95.98 square mile town especially on lots and acreage for sale.

Hit hard by the decline of the real estate market in 2008, Lehigh Acres has seen a large resurgence in its real estate market over recent years.  Land and home values are up and selling near market value, making it a great sellers’ market.  On the flip side, there are many great existing homes to be found at low prices through short sale and foreclosure, although they are becoming fewer and farther between.

For the first time since 2007, property values in Lee County are projected to have increased, at nearly 2 percent, with almost all 91 taxing districts seeing its numbers in the black.  Lehigh Acres real estate also has the highest projected increase in overall valuation in Lee County at 5.66 percent.

One of the perks of the Lehigh Acres market is the amount of vacant, available land for home building and investment purchases. There are many great land deals to be found throughout the city. gratiagroup.com is a top seller of Lehigh Acres land and lots and has an extensive property catalog of lots include dry and freshwater.  Visit us at www.9CoreRealty.com or call us at (239) 333-2221 to discuss your Lehigh Acres land needs!