The available condominiums for sale in the Estero area saw a drop in the number of condominiums for sale as of the close of business on April 30. The current number of condominiums for sale was 298. This represents a drop in the inventory of 16 condominiums. The decline represents of about 5 percent. In the year over year analysis the current inventory represents a decline of 87 condominiums or about 23 percent. In addition, the number of condos available for sale is at the lowest level beyond January 2008, when stats were first being recorded. In January 2008 there were a total of 646.Below is a graphical presentation of the historical data for active listings by month from January 2008 to April 30, 2009.

Trendline of Estero Condos for Sale - January 2008 to April 2008

The composition of the type of listings available for sale is rather interesting and could represent a major difference between prospective buyers’ perceptions, as well as, what is being reported by others as to how dire the Estero real estate market is. The vast majority of listings fall within the traditional listing category (traditional listings are listings being offered as a normal sale), followed by foreclosures, and potential short sales. The raw numbers for the various categories are 216 for traditional listings, 78 potential short sales and 4 foreclosures.

Composition of Estero Condos for Sale Listings - April

A question arises – will the closed sales for April reflect the same classification of the listings? The answer to this question will appear on this blog sometime within the next few days.

In previous posts you can compare the composition of both the Naples condos for sale and Bonita Springs condos for sale to Estero condos for sale.

Your thoughts and comments are always welcomed.

Listings:

The new listings for the month of March 2009 were 64 condos in the Estero area. The number of condos listed in March 2008 was 55. The increase of new listings of condos was 16 percent. In March 2007, the new listings were 71, representing a drop of 7 condos or decline of 10 percent.

In February 2009 the new listings were 52.

Of the 64 condos listed approximately 42 percent were potential short sales, 8 percent were foreclosed (bank owned), and the remaining 50 percent were traditional listings.

Median list price for potential short sales was $134000,foreclosed properties were $72500, and traditional listings were $269900.

Closed Sales:

In the month of March 2009 the sale of condos were 15. In March 2008 a total of 27 condos were sold. The year over year was 56 percent decrease. In March 2007 a total of 12 condos were sold. The increase over 2007was 3 condos or about a 25 percent.

Of the 15 condos sold, approximately 6 percent were approved short sales, 25 percent were foreclosures, and the traditional sales were 69percent.

The breakdowns of the median sold prices are discussed in the median sold price section below.

Pending Sales:

During March 2009 a total of 41 condos had an offer accepted by the seller. In March 2008, 18 condos were pended. The increase from March2009 represents an increase of 23 condos or about 56 percent.

In March 2007 a total of 21 condos were pending sale. The increase between March 2009 and March 2007 was 20 condos or about 95 percent.

Median Sold Price:

During the month of March 2009, the median sold price of a condo in Estero was $132900. The median price is the sold price represents the middlevalue of the all sold prices within a stated range. The median sold price can vary from area to area within a local real estate market.

In March 2008, the median sold price was $290000. In the year over year comparison median sold price declined $157100 or roughly 54percent.

In March 2007 the median sold price was $228000. In comparing March 2007 to March 2008 the price declined $95100 or about 42percent.

Median sold price for approved short sales was $66500,foreclosed properties were $66050, and traditional listings were $170000.

The difference between the list price and sold price forapproved sales was about 78 percent, foreclosed properties 97 percent, andtraditional listings 90 percent.

August Activity:

Listings:

During the month of August 31 Estero condos were listed for sale. For the same month in 2007, 43 condos were listed for sale; this represents a decrease of 27.9 percent. The decrease from 2006 was 50 percent from the 62 new listings. In July 2008 a total 43 condos were listed for sale.

In February a total of 432 condominiums were available for sale. As of the end of August the number of condos available for sale has been reduced by 125 units or about 28.9 percent to 307 condos.

The number of months of condominiums for sale has decreased from February’s 38 months to 14 months as of the end of August.

Closed Sales:

A total of 22 condos were sold during August 2008. Comparing the same month in 2007 there were a total of 19 condos sold, the increase of 3 condos represents an increase of 15.8 percent. In August 2006 a total of 11 condos were sold an increase of 72.7 percent (or 8 more condos). In July 2008 a total of 15 condos closed or 7 less condos than in August.

Pending Sales:

In August 2008 25 condos were placed under contract or pended for closing, as a result of a seller and buyer agreeing to terms. The 25 condos is an increase over both the 13 condos in 2007 and 8 condos in 2006. August 2008 was higher than the 19 condos in July 2008 and exactly the same number as June 2008.

Median Price Paid:

During the month of August the median price paid for a condominium was $178000. In the previous year, 2007, the median price paid was $493800 or a decrease of 64.0 percent. In 2006 the median price was $300000 or reduction of 40.7 percent compared to August 2008.

In August 2007 a significant number of condominiums in Estero were sold in the The Residences of Coconut Point with prices ranging from $446675 to $762579. This single item caused the median price to be extremely high. Without the sales at The Residences of Coconut Point the median price would have been $319900.

June Activity:

Listings:

During the month of June 60 Estero condos were listed for sale. For the same month in 2007, 53 condos were listed for sale; this represents an increase of 5.7 percent. The decrease from 2006 was 17.8 percent from the 73 new listings. In May 2008 a total 40 condos were listed for sale. The increase in the number of new listings has a negative impact on the number of months of supply for available condos in the Estero area, along with the lower volume of closed sales and stable pending sales volume. A graphic presentation showing the number of months supply for condominiums in Estero will be posted shortly.

Closed Sales:

A total of 8 condos were sold during June 2008. Comparing the same month in 2007 there were a total of 10 condos sold, the reduction of 2 condos represents a decrease of 20.0 percent. In June 2006 a total of 9 condos were sold a decrease of 11.1 percent (or 1 less condo). In May 2008 a total of 23 condos closed or 15 more condos than in June. During June in the state of Florida a total of 3,628 condos sold compared to the previous year’s total of 3851 condos or reduction of about 5.8 percent. The Estero condo market although not performing as well as the rest of the state, the area is too small to establish a true picture. In addition, potential short sale properties could be retarding the volume of closed sales both for Estero and state of Florida.

Pending Sales:

In June 2008 25 condos were placed under contract or pending for closing, pending sales are where a buyer and seller have agreed on the price and terms of a purchase and the condominium is no longer available for sale. The 25 condos is an increase over both the 10 condos in 2007 and 11 condos in 2006. June 2008 was higher than the 23 condos in May 2008 but less than 34 condos in April 2008.

Median Price Paid:

During the month of June the median price paid for a condominium was $157,500. In the previous year, 2007, the median price paid was $312,500 or a decrease of 50.4 percent. In 2006 the median price was $439,000 or reduction of 64.1 percent compared to June 2008. The national median sales price in June was $224,200, which is down 2.2 percent from a year ago. The Florida median sales price was $183,700 down approximately 13.5 percent from last year’s $212,400. The median sales price paid for a condominium has declined greater than the overall state’s median price. The reason for this can be explained by over building during the past few years, as well as, the fallout from subprime borrowers, investors, and speculators.

Quarterly Analysis:

Listings:

During the second quarter of 2008 a total of 156 condos were listed for sale. During the second quarter of 2007 170 condos were listed. A reduction of 14 units or about 9.0 percent and a reduction of 92 condos listed from the 248 units in the same quarter of 2006 – about 37.1 percent reduction.

Closed Sales:

The volume of sold condos for the second quarter of calendar 2008 was 58 condos. Compared on a quarterly basis for the previous year, where 4 condos closed which represents an increase of about 31.8 percent. During the second quarter in 2006, 133 units were closed for an increase of about 75.8 percent.

Pending Sales:

For the past three months a total of 179 condos have been placed in a pending sale status. Under normal situations (fewer possible short sales) the average time frame for closing after a condominium is a pending sale occurs 30 to 60 days later. Many of the pending sales would have already closed and had a positive impact on closed sales in June. Possible short sale transactions are extending the time frame for closings due to the backlog of contracts without any action by the lenders for about 45 to 75 days after the short sale package is received by the lenders. During the second quarter in 2007 a total of 43 condos were placed under contract or pended. The increase in pending sales for 2008 was 36 condos or an increase in 2008 of roughly 45.6 percent. In 2006 pending sales totaled 39 condos or increased 50.6 percent in 2008.

Median Sold Price:

The median sold price for a condominium in Estero during the second quarter of 2008 was $210,000 versus $264,500 in 2006 or price reduction of about 20.6 percent. The median price paid for a condominium in June 2006 was $369,000. Compared to 2008 the price reduction from 2006 is about 43.1 percent. For informational purposes calendar year 2007 had the highest median sold price of $345,000. In 2007, of the 199 condominiums sold, 83 were built in 2007 and sold for a median price of $500,450. For condominiums sold during 2007, built 2006 and prior the median price paid was $240,000.