In Continental Valuations News, real estate valuation expert witness Robert D. Domini, MBA, MAI, writes:
Inventories are beginning to come down in markets like, say, Fort Myers, Florida. You all remember the good old days when a 250-lot subdivision “sold out” in one day? At the peak, properties were appreciating at 5% per month. Buyers had to offer list price on the day it was listed, or lose the deal. The successful bidder stood to make around $50,000 in a few months, on paper of course. Those were the good old days. Then we entered the hold-em phase which lasted about a year. Finally, those desperate to sell began dropping their prices. If you make the trip down there in up-coming off season to look for your retirement dream home, ignore the asking prices. Most sellers are still holding out for the big bucks. Make an offer where you feel comfortable, and someone probably will take it. The foreclosed, REO properties are another story. Those prices are already low.