The Fort Myers Real Estate Market in 2013
After years of lethargic sales and nerve-racking foreclosures, the Fort Myers real estate market is back in full swing thanks to a mix of real estate investors and home hunters looking to take advantage of reasonable prices and lower mortgage interest rates before they be too late. . The Southwest Florida regional market has led the Sunshine State real estate recovery in terms of stability, and Fort Myers is poised to contribute significantly to the overall housing market improvement in 2013.
With an average home price increase of nearly 30 percent in 2012 and a 13.4 percent drop in local housing inventory, the Realtor Association of Greater Fort Myers and the Beach believes the outlook for the largest part of 2013 is positive. Unsurprisingly, homes located near the beach and on islands like Sanibel are sure to attract competitive bids from investors, foreign nationals, and retirees.
A clear trend emerging in the Fort Myers and Cape Coral real estate markets is that they are not being outbid by speculators as they were in the early years of the 21st century. There seems to be an increased interest in vacation homes that can generate rental income, but there are also clear signs of development in the region. For example, the HealthPark campus in South Fort Myers is expanding, as is Florida Gulf Coast University. Luxury gated communities are also being developed near Estero Bay. These are opportunities for buyers interested in the long-term improvement of the area rather than speculators.
Stability returns to the Fort Myers real estate market
Many real estate investors and opportunists took advantage of rock-bottom property prices citywide between 2010 and 2012. Short sales and real estate ownership transactions (REOs) fell 20 percent and up 41 percent respectively in 2011 and 2012. This means that it may be a bit more difficult for home buyers to find short sales or REO opportunities, although home prices are still far from their high levels in 2007 before the collapse of the real estate and mortgage markets.
Although stability is thankfully returning to Cape Coral and Fort Myers, it is fragmented. What this means for homebuyers is that they need to take a close look at what the market has to offer; for example, a condo unit listed for sale in Fort Myers Beach may have multiple offers while the unit next door is awaiting foreclosure. Depending on the investment philosophy, some buyers may take a chance and wait for the foreclosed unit to come to market, but in doing so, they may ignore other opportunities.
Fort Myers remains a retirement and vacation paradise, but the better quality of life in Southwest Florida attracts many families who see the area as a promising place to grow and prosper. As a result, vacation rental opportunities may not be offered as frequently as they used to be, but they are still a good option for homebuyers looking for a great place to live, especially at a time when Mortgage credit and loan requirements remain very strict.