30 Year Fixed Rates Still Hovering Near All Time Lows

Downward Graph30 year fixed mortgage rates are hovering at 3.46% which puts them just above the all time low of 3.31% set in December of 2012.  I don’t need to tell you what that means to a borrower.  If you happen to be considering a home purchase, now would be the time to pull the trigger.  Although rates aren’t expected to dramatically rise in the short term, the Federal Reserve is considering raising the Fed Funds Rate which would push up mortgage rates.  The last Fed Funds Rate hike was in December of last  year.

Even if you are on the fence in regard to a  home purchase, knowing what your mortgage would be ahead of time and comparing it to other higher rate percentages may give you the impetus you need to lock in a loan at these incredibly low rates.  Along with finding you the right home, I can make sure you have all of your mortgage rate questions answered to help you in making the soundest decision for you and your family.

Contact me any time directly at (954)254-0991.

Broward County Real Estate Market Midyear Update…Part 1

Yesterday, EWM President Ron Shuffield came by the Las Olas office to give us the Broward County midyear update.  Ron has been at this for a long time and I doubt there is anyone who has more knowledge of the South Florida real estate market as he does.  I wanted to distill his talk into one image, if possible, and this is it.  I will see if I can upload a darker image soon, but here’s the gist of it:Midyear 2016

  • The timeline at the bottom of the diagram shows median price highs in Broward County of $370,000 in July of 2006.  We are currently at $321,000 (16% off of the all time highs ten years ago)
  • Also along the timeline, there are low supply periods.  The optimum supply where it’s neither a buyer or a seller’s market is from six to nine months.  To be clear, the months of supply number is simply the number of available homes divided by how many homes are sold in that particular month.  So, a low months of supply number leaves less options for potential buyers and creates upward pressure on pricing.  You can see the little squiggly line in an upward direction starting in May of 2010 and continuing up to the present.
  • The month’s of supply number has been steadily shrinking over the past two years and we are currently at 3.1% across all price points, well below the six to nine month optimum range.  Most of you are probably aware of this since it’s a countrywide issue and the media picks up on it.

What is NOT clear in this image is how months of supply looks at different price points.  The situation changes dramatically once we look at the luxury market ($1,000,000 +)

  • 0 – $299,9900 range makes up 45% of all sales in Broward County.  In this range, the months of supply number is a staggeringly low 1.5.  Homes in this range sell extremely quickly and often at list.  If you were to put your home on the market in this price range, you would be inundated with calls for showings.
  • $300,000 – $999,999 range makes up 52% of sales.  The months of supply number here is 3.3, but is a bit misleading.  As you get closer to the $999,999 the months of supply number increases quite a bit.  Bascially, under $500,000, depending on the city, it is still a seller’s market.
  • $1,000,000 and up.  This is only 3% of sales in Broward County and it’s  buyer’s market.  Months of supply up here is 17 months.  To be fair, the optimum supply is 12 – 18 months, so it’s not absurdly high.  Year over year numbers though show a trend of higher supply. The number of homes in the last year in this price range increased 14%, while the number of sales dropped 25%.  We are definitely seeing softness in pricing in this range and sellers will have to price aggressively if they want to receive offers.

I will put Part 2 up in the next few days.  As always, call me with any questions or let me know how I can assist you with your real estate needs.  Andrew Koines (954)254-0991

 

Open House Wyndham Lakes, Sunday August 21st, 1:00-4:00

If you’re in the neighborhood, stop by and I’ll give you a personal tour 🙂

5546 NW 125th Terrace, Coral Springs in Coventry Place5546 Front

Located in sought after Coventry Place @ Wyndham Lakes, this beautiful 4 bedroom/ 3 full bathroom home features an open & spacious floor plan with volume ceilings and large loft space perfect for a den or office. Semi remodeled kitchen with large pantry, wood laminate flooring and tile in living areas. Large master bedroom with screened balcony, deep walk in closet. 3 year old A/C. Private gated community with low HOA of $60/month! Best school district in Coral Springs. Accordion shutters throughout complete this immaculately maintained offering.

Details:

  • 2784 square feet of living area
  • 4 bedrooms, 3 baths
  • HOA $60/month
  • Offered at $439,900

Unique Features:

  • Extremely large master closet
  • Over sized pantry
  • Master bedroom balcony
  • Large loft space

5546 Dining5546 Kitchen

Open House Saturday, August 20th In Southwest Ranches From 2:00-5:00

If you’re in the neighborhood, stop by and I’ll give you a personal tour 🙂

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5781 SW 128th Avenue, Southwest Ranches FL 33330

(MLS #F10012973) USD $3,995,000

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New construction in StoneCreek at Sunshine Ranches in SW Ranches. Within this exclusive enclave of 7 homesites, The Mandarin, a 10,917SF modern estate, spanning 2.15 acres, welcomes you through privacy gates, opening to a Great Room of floor-to-ceiling glass & expanding to 6BR/6BA/2 half-baths, private library, game room, gourmet kitchen, wine room & bar. The owner’s suite is spacious & leads to a private Zen garden. Impact glass, 50×18 pool, 12×9 spa, 4-car garage & alfresco dining complete the offering.
The Town of Southwest Ranches is approximately 13 square miles, located in Southwest Broward County, and home to over 7,000 residents. The Town is a rural environment, filled with grazing animals, nurseries, farms, exquisite and unique scenery and an abundance of wildlife.

The zoning in the Town is almost entirely rural residential and agricultural. We also have a growing amount of zoning for recreation and open space, which preserves land for residents’ enjoyment. The newest zoning district is for community facilities that serve the community.

Southwest Ranches was formed to stop encroaching development, and “Preserve Our Rural Lifestyle,” which includes donkeys braying, roosters crowing, and no sidewalks.