EWM ‘Smart Living’ Initiative Helps Buyers Access Homes Under $300,000
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hiEWM Realtors Launches New Initiative Focused on Lower-Priced Single-Family Homes and Condominiums, Which Now Account for More than 65% of the Miami-Dade and Broward Real Estate Inventory
March 5, 2009 – EWM Realtors today announced the launch of EWM Smart Living, an initiative focused on helping buyers easily access every available residence for sale in Miami-Dade and Broward Counties priced under $300,000.
EWM President Ron Shuffield said the growing number of lower-priced Miami-Dade and Broward listings – including new homes, re-sales and foreclosures – are now prominently placed within the EWM Smart Living section of EWM’s website, www.ewm.com.
“The growing inventory of single-family homes and condos in this price range in both counties, coupled with available FHA and Fannie Mae/Freddie Mac financing loan limits of up to $423,750, has created the perfect buyer’s market,” continues Shuffield. “For the past quarter, 75% of all Miami-Dade & Broward single-family homes and condos that have been sold have closed at prices less than $300,000… an amazing statistic.” (Watch EWM TV to see more of Ron’s interview about Smart Living: http://www.youtube.com/watch?v=CrhAOxCfTvw.)
Homes and condos priced under $100,000 provide an even more dramatic graph: over 11,000 properties available today representing 17% of the total home inventory vs. fewer than 400 available in mid-2005. Through its proprietary Facts & Trends platform, a recent EWM analysis of Multiple Listing Service (MLS) data indicates that more than 45,000 South Florida single-family homes and condos are priced less than $300,000.
“That represents 65% of the total number of homes and condos actively for sale in the Miami-Dade / Broward market,” adds Shuffield, “and a real improvement in affordability over the past year.” All 45,000 of these available properties can be viewed on EWM’s website.
In the Miami-Dade market, there were 7,936 single-family homes listed for sale at $300,000 or less at year-end – approximately 52% of the county’s total single-family for-sale inventory.
For comparison, there were just 516 homes in that price category on April 30, 2005 – the height of the recent boom market. That’s 516 vs. 7,936 today, a total shift from the sellers’ market of the mid 2000’s, to today’s buyers’ market.
The county’s condominium market shows a similar pattern: 14,749 units, or 63% of all listings, were priced at $300,000 or less at the end of 2008.
At year-end in Broward County, there were 7,498 single-family homes, 54% of total inventory, priced at $300,000 or below. There were also 16,854 condominium units in that price range, about 80% of total inventory.
“Affordability in South Florida has increased exponentially in the past year,” Shuffield added. “That’s really the most compelling piece of good news for this market – our newfound level of affordability with the price corrections. Prices have dropped significantly and mortgage rates are at the lowest point most of us have seen during our lifetimes.”
For instance, rates on FHA loans are now about 5% on a 30-year, fixed-rate loan and down payments are as low as 3.5%.
Shuffield continued, “Clearly, the South Florida market is becoming more affordable and there will be more savings for working professionals and other moderate-income buyers who purchase prior to December 1, 2009. Qualified primary home buyers who have not owned a home within the past 3 years, and who close before December 1, 2009, will be eligible to receive an $8,000 tax credit, as part of the Federal Housing Stimulus Package. South Florida is more affordable today than it has been in several years.”
While South Florida has seen significant price corrections over these past 3 years, data organized through the Facts & Trends reports reveals that a median-priced single-family home purchased in Miami-Dade today still has a value greater than its value in January, 2002.
“While our prices have clearly realized significant adjustments over these last three years, those taking the long-term view of real estate will still find it to be a viable investment, plus, home ownership has other intangible values that cannot be overstated,” adds Shuffield.
EWM Smart Living homes can be accessed through www.ewm.com.
