Sellers

WASHINGTON (AP) - May 31, 2011 - An index of home prices in the United States' major metro areas has sunk to its lowest level since the housing bubble burst in late 2006.

Prices fell from February to March in 18 of the metro areas tracked by the Standard & Poor's/Case-Shiller 20-city index. And prices in a dozen markets have reached their lowest points since the housing crisis began. Prices in March rose only in the Seattle and Washington, D.C., metro areas.

A record number of foreclosures are forcing home prices down, and they are expected to keep falling through this year.

The 12 cities now at their lowest levels in nearly four years are: Atlanta, Charlotte, Chicago, Cleveland, Detroit, Las Vegas, Miami, Minneapolis, New York, Phoenix, Portland (Oregon), and Tampa.
Copyright © 2011 The Associated Press.

By Phil Keating

Published April 20, 2011

Call it an inter-coastal breeze of change. Gary Cohen's eight acre, undeveloped private island is back on the market.

For $49.5 million.

"What would NOT be great about owning your own private island?" he rhetorically asks.

Cohen pulled the island -- accessible by land bridge or boat on South Florida's inner-coastal on the Broward-Miami-Dade County line -- three years ago when the real estate market crashed. At the time, he had plans to develop it, parcel it off for 17 multimillion dollar mansions and make a bundle of cash. After selling five units, though, the buyers dried up.

But in April 2011, he senses that the worst is over, and the real estate psyche is improving dramatically.

"I think the confidence level has come back," Cohen says. "People are more receptive to spending their money and they're looking for places to put their money, other than a bank where they can get less than one percent interest."

His realtor, Scott Patterson, says interest in the island is coming in from around the world.

"Rich Mexicans, rich Brazilians, rich Canadians, Romanians, a lot of clients from France," says Patterson. The Miami Association of Realtors agrees, reporting increased sales, competitive bids and 65 percent of deals being done in cash.

Comparing single-family home sales in Miami-Dade County this March versus March 2010, sales are up 58 percent.

It's even better news for condominium sales, which are up 84 percent last month over March of 2010.

"We see the prices going up and we see people being assured it's okay to buy now," says Ralph De Martino, Residential President of the realtor association. "Most of the foreclosures, when they come on the market, they're sold in a matter of days."

In South Florida's boom years of condo construction, about 27,000 units were built between 2003 and 2007. Since then, many of the shiny, condo towers that crowd the Miami skyline dropped in value by 30-40 percent. That led to massive foreclosures, a glut of bank-owned properties and no more high-rise cranes on the horizon.

But today, for the first time in years, a major developer, The Related Group, announced plans to build a new 35-story condo tower in Miami's glitzy Brickel Key.

Out at Cohen's for-sale private island, Patterson sees a major turnaround happening right now, with real estate here once again red-hot-just like the island itself when the ocean breeze comes to a halt.

"The world is focused on South Florida."

Click here to read more Road to Recovery stories from Foxnews.com    

What is FIRM?

FIRM (Fair Insurance Rates in Monroe) is a grassroots organization formed in February, 2006 comprised entirely of volunteer homeowners and residents who are united to fight against excessive, discriminatory and unaffordable residential, condominium and commercial property insurance rates.

In the first six months after forming, the members of FIRM were able to help repeal a proposed 25% residential windstorm premium increase for Monroe County and went on to further reduce residential rates from Citizens Property Insurance Corporation for Monroe County by over 30%. These reduced rates will remain in effect for Monroe County through December of 2008.

FIRM was the first organized group of community activists to bring these windstorm inequities to the attention of the Florida Office of Insurance Regulation; to Florida’s Legislature, Cabinet and Governor; and to the Florida delegation to the U.S. House of Representatives. We have also been instrumental in educating homeowners regarding the insurance mitigation and crediting process.

Our grassroots organization has grown from the original 32 members to over 5,100 active members in less than 15 months and continues to welcome new members. If you are concerned about your residential, condominium or commercial property insurance rates, please join us in our continuing fight to bring fair and equitable rates to the citizens of Florida. FIRM membership is free. We need your support. As our membership numbers continue to grow, so does our influence on future legislative actions that continue to impact our property insurance coverage, deductible levels and rates. Help us to help you. Join FIRM today.

FIRM will continue to fight against excessive, discriminatory property insurance rates by staying active at the legislative level, monitoring initiatives and events that have the potential to impact our rates. We will also continue to support the development of a Federal National Catastrophe Program and/or a Coastal Catastrophe Plan.

One of the most important decisions when considering the sale of your home is one that's oft overlooked. It's the decision to sell. What I mean is that, especially in a soft market, it's important to make the commitment. If the idea is to test the market, you're not ready to sell. If your idea is that "I'll sell if I can get my price", this is not the time. It's time to admit to yourself you're ready to be here another 3-4 years. Maybe longer. Not the worst thing in the world. Hey, it's the Keys!

If, however, you've decided it's time to write your life's next chapter, it will help to take the long view. You may not be selling at what I call a pre-Wilma price, but your appreciation over the last 8-10 years is nothing short of amazing. In almost every case, the increase in real estate prices in the Keys has outpaced the rest of the country. Take heart in the fact that it's a bigger buyer's market almost anywhere you're headed.

When you call for an opinion of value from one of our highly trained professional agents, (yeah, I know they all say that, but ours really are!) you're going to get the truth. It's easy to tell people what they want ot hear. It's much better in the long run to support an opinion with fact, and use the facts to your complete advantage in the sales process. Homes properly priced are certain to sell quicker than those with a "wish" price. In the current market, proper pricing is at, or slightly below, the last comparable sale. It is imperative to price the home within 5% of where it will appraise once it's under contract. Nothing is more disappointing than selling your home, only to have the process come apart prior to closing. Too often sellers worry about having room to negotiate. If there's only one point you take from this article, make it this: Properly Priced Homes Sell. You're hiring us to market the property, and handle the negotiations and closing process. Your agent is well trained to handle objections, including those to the asking price. Give a Prudential Keyside Properties agent a proper price, and stand back and watch 'em work. The one most helpful thing you can do is Price to Sell.