Tuesday, August 30, 2011

RE/MAX Broker & Obama

At a recent town hall meeting a RE/MAX broker asked Obama about the state of Real Estate. Here is the exchange...


Wednesday, August 3, 2011

Doug's August Reflections

August 1, 2011

August is here! Unbelievable. This is the month where tourists flock to the island in search of the perfect beach day, a wonderful meal at their favorite restaurant (Outermost Inn is mine) or just a chance to relax.

For me, I also like to travel in August. This year I am heading to the Amazon rain forest in Brazil with my wife and son for some kayaking and hiking. Should be an adventure! While I am gone, Jennifer Knight from my office will be handling the day to day activities here.

Sales in July dropped to 16 in number (ouch!). In comparison, one year ago there were 44 sales in July, 2010. The median sales price in July 2011 dropped to $505,030 ($495,000 in July 2010) and the average sales price was $727,000($1.06M in July 2010) . The average days on market are 208 (234 last year). I find these numbers very concerning since sales predictions were supposed to be steady through 2011.

Since a month to month comparison of statistics or even comparing same period this year to same period last year show a sharp decline in sales, I decided to take a YTD (year to date) look at the numbers. For YTD 2011, there have been 198 sales with an average price of $913,000 and a median price of $550,000. In comparison, for the same period 2010, there were 242 sales with an average price of $923,000 and a median price of $554,000. So even though the number of sales is down 18% YTD, the prices are steady.

The inventory of homes for sale on island is still around 570 units. The total number of properties for sale including land, condos and commercial is 760. This is consistent with the past 3-4 months. Several years ago when the market was better, out inventory rarely reached 500 units.

Interest rates continue to be historically low and will hopefully entice buyers to take advantage of what I see as a great opportunity to invest on the island.

Hopefully the national economy will stabilize and we will see a renewed interest in island real estate.

Enjoy the rest of your summer and here’s hoping (fingers crossed) that a buyer for your property is in the near future.