There have been 80 Colonial Country Club sales as of 9/1/08. At the same time in 2007 there were 58 sales, which means there has been an increase in sales of 27.5% in 2008.

The inventory dropped to 199 in June 2008 then had a slight rise and was at 121 on September 1st. That is a 37% decline compared to the high of 193 on October 1st. 2007.

 

No one has a crystal ball but I feel the bottom of this market is firming up.

After the prices become level, I think it will take only about six  months for the market to become normal again, maybe even less if it is during next winter season.

Three years ago Canadians constituted about two to three percent of the buyers. In 2008 their purchases greatly increased and I see this continuing until Canada's real estate boom levels out.

Canada's dollar value has been on par with the U.S. dollar for some time now. This is due to their resilient local economies, high immigration levels and relatively low interest rates.

Today, the European euro is worth about one and a half times more than the U.S. dollar, and the English pound is double. American properties are looking like a good buy and especially Florida properties for a warm vacation home.

America is not the only country in the world with Baby Boomers! There are millions of worldwide Baby Boomers in Canada and Europe. It was a world war and it produced a worldwide wave of babies.

The recent serious reductions in the U.S. stock market are making many investors reconsider real estate as a better investment. Real estate has historically outperformed the stock market and now that prices are low again long term investors are interested in Florida real estate. You can't vacation in the sun with your stocks and bonds.

Florida has been, is, and I think will continue to be the end destination for the continental United States. The first Baby Boomers started retiring this year and they may continue to retire in mass until about 2025. The Boomers are coming and this is just  the tip of the iceberg. 

Properties that are priced correctly will certainly have the best chance to sell in the next few months as buyers look for that special property at a once in a lifetime deal. Genice and I have already sold over eight million dollars worth of country club property so far this year and we look forward to another successful year.

Information is power!

Doug Sloan

If you have any questions please call Genice or I at our toll free number 1-888-818-8660 or e-mail me at sri8038@SloanRealtyInc.com