Some areas of Southwest Florida have seen steady price decreases during the first two months of 2014 . This was after an estate price run up that lasted more than two years .
Now Real Estate Agents- Brokers see more hesitant buyers . Houses stay on the market longer and prices are falling in some cases, in order to encourage buyers to make offers .
In Cape Coral, for example , one of the hottest markets in Southwest Florida in 2013 , there has been a lot of new home construction . Prices escalated dramatically in 2013 , and sellers were able to reverse the properties of high demand in a few weeks .
But that began to change in December ' 13. Now, according to the Real Estate Agent Joan Cutler, « there are between 400 and 700 decreases every day that passes . " It is also becoming more difficult to sell older homes and vacant land because of the large selection of new homes built in the last two years .
According to Michael Schneider- Christians , another agent Cape Coral, about 400 entries coming from the stream to the area of Cape Coral every day , but there are only about 100 pending sales per day . This simply means a constantly growing inventory of homes , and a much more select group of buyers . It is not uncommon for the price of housing that was over $ 1.2 million have fallen back down below $ 1 million . Which is to reduce by 20 % .
Real Estate Agents- like Schneider- Christians consider this a correction in some pretty realistic increases took place in 2013 . Many waited likely will be at least two years before prices start to move up again .
A segment is not likely to change much is the market are $ 250,000 . In some provinces of Florida , who now represents the entry level , and there is great competition for newer homes sell for that price .
And real estate people also expect to see some secondary effects of the hot neighborhoods such as Naples , Fort Myers and Cape Coral other counties north where prices do not see such a dramatic increase in ' 13.
** The commercial real estate remains strong
Commercial real estate development is held back by housing characteristics . This is due to the fact that licenses should be issued , environmental studies , and extensive funding arrangements . For example, real estate specialists in the area of Cape Coral expect a regional mall to be built , but it would take up to seven years to complete.
That can be a good thing for developers commercial real estate, because when residential growth slows , commercial development is likely to play catch up. The influx of new residents who came to the new home construction requires the accumulation of retail and office space to serve the new population .
The commercial sector in the last year saw a huge increase in construction in Fort Myers and Cape Coral. Permits were issued for 2,143 units in 2005 - an increase of 78 percent over 2012.
But experts believe there is plenty of demand to absorb this kind of development . Vacancy rates remained low in all sectors for trade : 3.7 percent total 2.8 % for retail, 6.4 percent for office and 4 percent for industrial and flex space.
So if there is a slight decrease in residential construction before sizzling hot areas of South Florida , we can expect commercial construction to take up the slack .