Light at the End of the Tunnel ?

Southwest Florida has felt the likes of our nation's dire economic straits. Our local real estate market has been the most visibly affected. The drop in the median home prices has been reflective of the national trend that began in 2007. 2007 is the first year that median prices declined nationally since the National Association of Realtors began keeping records in the early sixties. As a nation, we have experienced an adjustment that has brought lending establishments, investors, business owners and individuals to their collective knees.

In southwest Florida, early signs of recovery have spurred some debate. Are we truly on the road to recovery, or is the "light at the end of the tunnel", in fact, an oncoming train ?




In an effort to get a feel for the local marketplace, we wanted to speak with local real estate professionals and get their input. Other local publications had alluded to a possible change in the market, so we thought we'd look at the Cape Coral real estate market.

According to Joe Ponzio of Tropical Sunset Realty in Cape Coral, he's seeing a lot of activity in the marketplace. "Properties are affordable and now is a great time to buy". There has been a definite pick-up in property sales under $150K"

The reality in our particular marketplace is that we haven't seen home and condo prices this low in 10 years. A home is still a great investment here. Compared to other cities in Florida, Cape Coral has a lot to offer first time home buyers. From a comparative standpoint, the Cape is a nicer place to live than many other Florida cities.

Associates Realty's Broker, Tommy Lee, related that "..when the number of foreclosures and short sales have dwindled, we'll have a clearer indicator of stability". "As we are still in the midst of our tourist season, we need to watch the market after Easter to get a more realistic picture of things".

Both Lee and Ponzio agree that the level of activity is very encouraging.

Given the level of inactivity in recent months, we'll presume that the increased interest is a good indicator of positive change ! For Cape Coral residents and businesses alike, that's good news !