It’s a Great Time to Buy Cape Coral Land and Lots

Home prices rose more slowly in September, reflecting the end of the summer selling season and higher mortgage rates, based on data released by market researcher CoreLogic.

Home prices in September were up 0.9 percent from August and 12.4 percent year over year and lots for sale in Florida were moving, CoreLogic says.

In addition to normal seasonality especially in cities like Cape Coral, the recent sharp rise in mortgage rates off their historic lows was a clear driver behind the slowdown.

The report anticipates “moderate gains” in home prices over the rest of the year, helped by the continued tight supply of homes and land for sale in many markets and the recent downward trend in interest rates.

Interest rates spiked sharply in May but have trended down since Sept. 18, when the Federal Reserve said it would not yet reduce its monthly purchases of government mortgage-backed securities and Treasury bonds, which have kept long-term interest rates low.

Other home price watchers have also documented slowing home price appreciation.

Regardless, the market of Florida real estate for sale continues to move and homes and lots sold faster in the third quarter of 2013 than in the previous half of the year and in year over year comparisons.

CALLING ALL INVESTORS! The 9 Core Realty Featured Lot Package of the Week Includes over 200 Parcels of Florida Land for Sale!

Investors looking to invest in some hot Florida parcels are sure to love the 9 Core Realty Featured Lot Package of the Week which includes 238 lots throughout the state of Florida, concentrated in Southwest Florida.  This bulk land package offered by Zadooland.com includes the following Florida Lots for Sale:

  • Cape Coral, FL – 69 Land Lots
  • Charlotte County, FL – 86 Land Lots
  • Lehigh Acres, FL – 50 Land Lots
  • North Port, FL – 23 Land Lots
  • North Florida – 10 Land Lots

If you are an investor looking to invest in one of the most up and coming areas of the state of Florida, this package is sure to please.  With major corporations moving to SWFL including the relocation of Hertz Headquarters, the job market and economic growth is improving making it a great time to invest in the region.  To learn more about this lot package contact a member of the 9 Core Realty bulk land sales team at (239) 333-2221.

South Florida Real Estate Scene Drawing in International Asian Investors

It’s still a long way from Asia to Florida, yet a growing number of Asians are joining the throng of foreign investors buying Florida real estate, according to a recent study done by the National Association of Realtors in cooperation with Florida Realtors.

While still a minor player in Florida real estate, China has joined Latin American nations like Venezuela, Brazil and Argentina in becoming a growing source of foreign-national buyers in the state, the survey found. Meanwhile, Europeans from the United Kingdom, Germany and France “have figured less prominently compared to previous years.’’

The number of Florida property transactions by foreign nationals dropped 15.8 percent to 22,572 from 26,806 a year earlier, the survey says. Still total foreign sales rose 3.8 percent to $6.43 billion from $6.20 billion a year earlier, reflecting higher prices.

Among all foreign sales, the Miami area accounted for 21.1 percent in the year ended in August, followed by the Orlando-Kissimmee area, which accounted for 13.5 percent and greater Fort Lauderdale, which accounted for 8.5 percent.

Canadians continued to lead the pack among foreign nationals buying Florida real estate, accounting for about 30 percent of foreign sales in Florida, while Venezuelans totaled 8 percent, the survey of 977 Realtors conducted July 9 to Aug 16 revealed.

Asians accounted for 11 percent of foreign purchases in the Fort Lauderdale area over the past year); 10 percent of those in the greater Orlando area; and 5 percent in Miami, the survey said.

If you are a foreign investor looking to learn more about investing in South Florida contact a member of the gratiagroup.com sales team at (239) 333-2221.

5 Steps to Purchasing Land for Investments

Real estate investments are not always rental properties.  In some cases, vacant land poses the potential for income.  Vacant land tends to be more of a long-term investment with either building construction or resale to another buyer as the main sources of income.  Understanding what to look for when buying vacant land can eliminate risk and clear the way for profits.

Step 1:  Locate a reputable real estate agent who specializes in vacant lots and land.  Traditional agents may not be familiar with local ordinances and zoning laws essential to the development of a piece of land.  Rather than get stuck with land that requires a hefty investment to get it up to code so building can begin, have your agent find you a plot that is build-able from the start.  Determine what you will be using the land for and explain it to your agent before starting the search.

Step 2:  Ensure that your land is accessible without the need for an easement.  In some cases, vacant lots are set within the boundaries of land owned by another investor or a homeowner.  If you must cross land owned by someone else to reach your own property, you may find yourself at the mercy of your neighbors on a daily basis.  You may require an easement, or permission granted by the owner and the local government for purposes of access and use.  While not always difficult to obtain, easements are a hassle you don’t need to deal with.

Step 3:  Determine what you should spend on the vacant land if you plan to build in the future.  Twenty percent to 30 percent of your overall budget is what should be spent on the land, leaving 70 percent to 80 percent for building costs.

Step 4:  Secure a loan with a local lender if you plan to mortgage your vacant land purchase.  Traditional mortgages do not typically apply to land so expect to pay a higher interest rate.  Your real estate agent should be able to locate a suitable local lender and help you with the specifics of your loan.

Step 5:  Ask the local utility company if it will be able to supply your land before making the purchase.  In some cases, utility companies will be unable to access a plot of land, or must install lines to get to you.  If this is the case, you may be looking at an extended period of time and perhaps an investment on your part before things are up and running.  If access is not possible in a timely manner, the value of the land may be severely impacted.

Making a wise investment choice is the key to a successful purchase.  Working with a qualified member of the 9 Core Realty  team will ensure that all your investment and land sales needs are taken into consideration while maintaining a high level of service.  They can be contacted at (239) 333-2221.