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Presentable Market DataChuck Carr
2317 Briarleigh Way
Dunwoody, GA 30338Office: 770-698-8797
Cell: 678-591-6030
Email: ChartMasterChuck@aol.com
www.ChartMasterServices.com
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
• Cumulative monthly
Condo/Townhome sales
increased by +37.3%
through September, 2010
compared to the same
period of 2009
• Cumulative 2009 sales
were also +80% above
those of 2008
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
• 2010 monthly sales were
much higher through
June, compared to the
same months in 2009,
however sales dropped
below those of 2009 for 2
out of 3 months in 3Q
2010
• There appears to have
been a letdown in sales
after stimulus-inspired
closings took place
through June
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
• The change in each quarter’s sales over the same quarter of the previous year was strongly positive from 1Q 2009 until 3Q 2010 when the change became negative
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
• While overall Condo sales are much higher through September, it will bear watching to see if the 3Q lull becomes longer lasting
• 3Q 2010 sales were -5.2% lower than those of 3Q 2009
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
• After a spike in foreclosure sales in 1Q 2009, their percentage of total sales remained lower since then
• 3Q 2010 percentage of foreclosure sales was nearly equal to that of 2Q 2010, but was nearly 6 percentage points higher than in the same period in 2009
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
3Q ONLY
• The percentage of sales that were foreclosures in the <$200K price range rose by 12.2 percentage points during 3Q 2010, compared to 3Q 2009, representing nearly 4 of every 10 closings in that price range
• There were no foreclosure sales in price ranges above $750K during 3Q 2010
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
• 3Q 2010 Short Sales as a percentage of total sales were highest in the $200K-$299K price range, representing nearly 40% of all transactions in that price range
• Increased 3Q 2010 percentages compared to 3Q 2009 occurred on both ranges below $300K
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
• Combining Foreclosure sales with Short Sale transactions gives a measure of total Distressed sale transactions
• Distressed sale transactions have become a large part of total sales transactions since 2008, ranging from a low of 38.4% to the high point of 49.6% reached in 3Q 2010
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
• More than 65% of the sales of properties priced <$200K were distressed sales in 3Q 2010, up by 17 percentage points
• Sales of Mid-priced units also had high percentages of distressed sale transactions, with the low point falling in the $300K-$499K price range
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
• The Median sales price
was lower again in 3Q
2010, by -16.0%
compared to 3Q 2009,
continuing to be affected
by a large number of
Distressed Sale
transactions
• The decline brought the
3Q 2010 median sales
price to the lowest
quarterly price point in
the last 2 years, dropping
in each quarter since 4Q
2009
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
• The 2Q and 3Q declines in 2010 shows that it will take longer to determine the real direction of prices in this market
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
PREVIOUS LISTING PERIODS INCLUDED
• A positive result from
lower median sales prices
was an increase in the
percentage of asking
price (% S/L) received by
sellers
• The median % S/L rose to
the highest point (84.1%)
in the last 3 years during
3Q 2010, increasing by
6.3 percentage points
over 3Q 2009 and .8
points above the previous
quarter
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
PREVIOUS LISTING PERIODS INCLUDED
3Q ONLY
• The 3Q 2010 increase in % S/L occurred in 5 of the 6 price ranges, with the largest (14 percentage points) increase falling in the $500-$749K range
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
PREVIOUS LISTING PERIODS INCLUDED
• An overall downward monthly trend in the S/L price ratio occurred through 2008, but was reversed in 2009 and through 3Q 2010, making it appear that a bottom was reached in this measure during January of 2009
• A downward trend occurs when Sellers fail to price their properties in line with the decline in market demand and the resulting Buyer price resistance forces sellers to accept lower prices during contract negotiations
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
PREVIOUS LISTING PERIODS INCLUDED
3Q ONLY
• Segmenting 3Q 2010
median DOM by price
range shows that declines
were small in the lower
price ranges, but greater
differences occurred at
higher price levels where
sales volumes were lower
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
PREVIOUS LISTING PERIODS INCLUDED
3Q ONLY
• The percentage of transactions following a price reduction was lower than in the same period in the previous year in 4 of the 6 price segments during 3Q 2010, representing one positive aspect of current market conditions
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
PREVIOUS LISTING PERIODS INCLUDED
3Q ONLY• When a price reduction
was required, substantially lower % S/L ratios occurred in all price ranges in 3Q 2010, but there were significant differences in degree among the various price ranges
• For example, the ratio for a price-reduced property dropped by -30.8 percentage points below that of a non-price reduced property in the <$200K range, while the difference was -12.1 percentage points in the $300K-$499K range
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
3Q ONLY
• A “Seller’s Market” is considered to exist when the inventory of properties for sale equals less than 6 months, a “Balanced Market” exists when inventory is in the 6-7 months range and a “Buyer’s Market” exists when inventory is above 7 months
• All condo/townhome properties priced above $200K currently exist in a Buyer’s market condition
• A given sub-market may be competing in very different market conditions than the overall market indicates, so it pays to know the conditions for the part of the market in which you are interested
SE Florida MLS Data for Condo/Townhome residence sales. Data is believed to be accurate, but is not warranted. ChartMaster Services, LLC
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
Year-to-Date
• YTD 2010 condo/townhome sales jumped to nearly 70% cash purchases, rising +24.5 percentage points from the same period in 2009
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
Year-to-Date
• 2010 Cash purchases of Condo/ Townhome residences were unevenly split between Distressed and Non-Distressed properties with Non-Distressed taking the larger share
3Q 2010 Quarterly Market ProfileProvided by ChartMaster Services, LLC exclusively for Keller Williams Realty
Condo/Townhome Residences – SE Florida MLS, E. Ft. Lauderdale Area
Relevance to Sellers:• Lower Median sales prices in 3Q 2010, driven down by Buyer price resistance and availability of foreclosure and
short sale properties, requires Sellers to continue to price properties at levels below last year.
• The biggest concern for Sellers in 2010 remains the still-high inventory of properties for sale at all price levels, and especially distressed properties, which create pressure on Sellers to price attractively in order to secure buyers. Continued reduction of the listings inventory will be necessary before a sustainable sales price recovery can begin.
• The sluggish market will likely continue until the inventory returns to more normal rates – until then, greater care must be taken in pricing at, or below, current competition (Active listings) in order to sell within normal time periods. Sellers should pay particular attention to pricing their property competitively with currently active listings, rather than the traditional focus on those which sold, possibly several months ago under different market conditions. Attractive pricing and above-average property condition are the keys to a successful sale in any market, but are essential now.
Relevance to Buyers:• The decline in New Unit prices has reversed during 2010, possibly making resale units a better value compared to
new
• Properties that have been price-reduced and/or have been listed multiple times may indicate more highly motivated Sellers producing better values to Buyers of both resale and new homes as anxious Sellers become more willing to negotiate, selling at lower S/L percentages.
• Foreclosure and short sale properties also set up a more favorable negotiating environment for Buyers, causing sellers (lenders) to negotiate away more of their original asking prices.
SE Florida MLS Data for condo/townhome residence sales. Data is believed to be accurate, but is not warranted. ChartMaster Services, LLC
For more details or information: Call Caren Nealon with Keller Williams Realty @ 954.325.2300
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