In July 2011 there was a 7.1 month supply of homes for sale in Venice (zip codes 34285, 34292 & 34293). Although higher than the 6.4 month supply in June, July showed a significant improvement over the 11.2 month supply from the same period last year. A 6 month supply is considered a fairly balanced market between sellers and buyers. There were 142 closings in June 2011, of which 137 homes (96% of all closed sales) were for less than $400,000:
- 78 homes sold for less than $150,000 (55% of sales vs. 48.5% last month).
- 36 sold between $150,000 and $249,999 (24% of sales vs. 34% last month).
- 23 sold between $250,000 and $399,999 (16% of sales vs. 12% last month).
- 5 sold for over $400,000 (3.5% of sales vs. 5.5% last month).
Properties under $250,000, continued to be the strongest segment of the market. In July 2011 there was a 5.9 month supply of homes, up from 5.2 months in June. In last month’s Blog we reported that homes between $250,000 and $399,999 showed the greatest signs of weakness. July showed signs of a possible rebound. In July there were 23 sales out of 142 between $250,000 and $399,999; whereas, in June there were 20 sales out of 165. The result is that the supply of inventory dropped from 10.5 months in June to 9.1 months in July. Sales between $400,000 and $699,999 did not fare as well. The supply of inventory for this market segment grew from 12.8 months in June to 24.3 months in July. Only 4 homes sold in this price category in July. Further, out of 34 homes for sale over $700,000, only 1 home sold --- and that home was for $1,200,000.
(i) In July 15% of all homes for sale were Distressed Properties (short sales and bank owned); in June it was 16%, about the same. However, 28% of all homes sold in July were Distressed Properties; of the 142 homes sold in July, 42 were Distressed Properties. Accordingly, the impact upon the market and pricing cannot be discounted. Although Venice has not been affected by Distressed Properties to the same degree as its’ neighboring communities, the impact has been and will continue to be felt. The greatest pressure will be felt for homes under $250,000 and greater than $1,000,000. Further, it is anticipated that more Distressed Properties will come to market over the ensuing months, increasing inventory and creating further downward pressure on pricing.
(i)It is interesting to note that in July, the one home which sold for over $1,000,00 (it sold for $1,200,000), was a Distressed Property, a short sale. The property is just under 5,000 sq.ft, on Roberts Bay, pool, all amenities, and it took 799 days to close. _________________________________________________________________________________
The statistical data contained herein has been extracted from Reports provided by ©Trendgraphix, July 2011, covering properties within the 34285, 34292 and 34293 zip codes.
