On April 14th, The DiCarlo Group was honored to receive the EWM Chairman’s Club award as one of the Top Producers in South Florida! Thank you to all of our wonderful clients that made this possible!

Too early to call it! According to an article published in The New York Times, a committee of economists formed in 1978 are erring on the side of caution when it comes to declaring an end to this recession. This committee has designated start and end dates of economic contractions for every business cycle since 1854. The article is quoted as saying: “this time,the committee members say, the evidence is not so easy to decipher.” One committee member, Mr. Frankel an economist at the Harvard Kennedy School, posted a blog last week saying “The recession is over.” Robert E. Hall of Standford made the statement “The odds favor the view that a true expansion has begun and that the recession beginning in 2007 is over.” He also said, “one cannot totally rule out the unlikely possibility that the economy might resume contraction again soon.” This idea was supported by Martin S. Feldstein of Harvard. In January he warned of a double-dip recession and said “there is a significant risk the economy could run out of steam sometime in 2010.” To see the full article CLICK HERE – The New York Times

From the real estate perspective here in Miami-Dade County, there have been 2,259 closed sales this year which equates to $762,949,762 in sales. There are another 4,402 pending sales equal to $1,161,317,469. These are the numbers for one county in all of the United States. On a personal level, I am seeing prices drop to a level where consumers are finally comfortable to buy and more buyers that are “on the fence” are making their move. I think the real estate sector for the first quarter of the year has made an aggressive start, and so far the second quarter is looking  just as forceful!

Follow us on:

$729,177,443 in closed sales this year for Miami Dade County! The most expensive home to sell this year so far sold for $13,900,000 ($1,362 per square foot) and the lowest for $7,000 ($9 per square foot.) 38.8% of these sales were  on the market less than 30 days and 54.5% were on the market less than 60 days! Compelling price is the determining factor in this market. Competitive pricing was OK last year; now you must compel the buyers to act!

Miami Beach update: 1700 Bay Drive closed for $1,390,000 ($443.52 per square foot.) This is a waterfront home with 5 bedrooms, 3 baths and one half bath. There are currently 64 pending sales on Miami Beach totaling $84,000,300 and 50 closed sales totaling $96,063,488. If you have any questions or would like to buy or sell a home in Miami, please contact us at 305.329.7728 or by clicking the contact tab at the to of the page. We look forward to hearing from you! 

 The total active single family home inventory in Coral Gables is at 479 totaling: $1,077,233,446. While there are approximately 83 pending contracts totaling $89, 296,426.

Home loan applications increased last week even with the increase in interest rates. I have seen this market demand on a daily basis with my listings as they have been shown non-stop over the past few weeks.

We are seeing this increase in activity as buyers rush to take advantage of the tax credit and as many feel prices have fallen enough for them to make a decision. Many buyers are still looking to short-sales and foreclosures as the first avenue in an attempt to make the best buy however there may be homes that are not short sales or foreclosures in which sellers will negotiate a competitive price.  

 In financial news: Fears still loom over a double dip recession as economist sort through the data and work stabilize the European debt crisis. However, some economists feel that the chances of this “double dip” are fading and a “U” shaped recovery is more likely. The Euro has dropped to 1.35 from its highs in December of 1.50+.

If you have any questions about Miami real estate, please contact us at 305.329.7728 or 305.329.7780

It seems to all be positive. The graphs and charts are all trending upward but unfortunately we still have unemployment. Before we see any type of decrease in unemployment, the economy will have to stabilize. Companies had to cut back to save cost due to a decrease in revenue. Some companies over expanded; ignoring the basic law of diminishing returns, thinking they would never see a time like this.

As the downturn continued, prices came down to keep up demand and  companies cut back to return the economy to equilibrium.  Unfortunately this cost cutting by companies meant closures and job cuts, but there is a bright side to this mess: The economy is finally seeing signs of recovery! The giant economic ship is beginning to turn and with the turn, not today not tomorrow, but in the future will come economic growth.

That’s my take on the economy! Please feel free to comment.

P.S.

It is 10:52 A.M. on Friday and the DOW is up 125 points

So what does this mean for you the buyer. Well it seems as though buyers and investors are making their moves as I write this post. So now you ask yourself why the media is not reporting this purchasing trend? Well first of all the media is looking at the market as a whole not individual cities. Also, they want to see a consistent trend of home sales over a period of months before they report that the market is turning around.  

It is possible that if you wait till the media is reporting the turn, it will already be to late to purchase home at rock bottom. Of course this is for you to decide!

If you would like more information or have any questions please contact The DiCarlo Group.

This is good news for Wachovia share holders whose stock in Wachovia closed at $3.91 on Thursday, but is now valued at around $7 a share. The reason for this value increase is the acquisition in which Wachovia stock holders will receive .1991 of Wells Fargo stocks for every one of the Wachovia stocks. Wells Fargo expects earnings to be up after the first year the acquisition closes.

Information Provided by: The Miami Herald