Homes Sold August 2008 ..............221*

$100,000.00 or less..........................67

$101 to $200,000.00.......................111

$201 to $300,000.00.........................31

$301 to $500,000.00.........................9

$500,000.00 Plus..............................3

Active Listings as of 8/05/08.......7066*

*This does not count homes sold by builders that may not be listed on the MLS Number may be revised due to late reports from board of Realtors.

 WHAT"S HOT IN OCALA REAL ESTATE

· Foreclosures

· Newer Homes priced to compete with foreclosures & short sales 

  Sales in August were 221 homes up from July's very disappointing 190 homes. I think we are near the bottom of the market. That doesn't mean that I think prices will recover any time soon. Prices will not go back up until inventory goes down, way down below 2500 units.

   Motivated sellers have been selling homes that were priced to compete with foreclosures and short sales. When you sell a house odds are the buyer will need financing. A bank will order an appraisal. Bank sales like short sales and foreclosures are usually passed over by appraisers because they are distressed properties. However these motivated seller sales do count and they are bringing prices down. I just lost a sale as a buyers agent when the appraisal came back $10,000.00 below the buyers offer and the seller wouldn't drop their price. The moral of this story is that your home is only worth the amount that a bank is willing to finance. Banks are getting more and more conservative after having been stuck with a lot of bad loans. The appraisal industry is also being watched after being a little too cooperative in the past. The seller can set any price they want but unless you get a cash buyer the house has to pass a bank appraisal.

 If you're a buyer this is a great time to buy a house. In 5 years people will be looking back and kicking themselves for not taking advantage of today's prices.