Inventory of houses and condos in Indian River County basically stayed the same, down by only 7 units, as overall sales slowed while many people are enjoying the summer weather and not thinking about buying or selling their homes. Since the peak inventory on January 2008, we have established a somewhat of a pattern. Inventory has peaked just after the first of the year when the tourist season starts and moves down through the first half of each year to bottom out in mid summer, and then starts to rise again. In the last 3 years, the increase has been quick to turn up, but this year inventory stayed flat. Let’s hope this trend continues. County-wide sales in all categories were down by 30% over June 2011 and down 8% from July 2010. Cash sales comprised 60% of the total sales, which is up from 56% last month and down from 65% a year ago. Distressed sales consisted of 37% of the total which is low compared to a year ago. We still believe the demand for homes will increase in the near future as mortgage rates are still very low and home prices are at or near the bottom. • New construction is still at the lowest it has been in the last 10 years, which should drive up the demand for resale homes. In Indian River County the 2007 taxable value of new construction was over $ 700 million. In 2011, thru the first 6 months, that taxable value is $89 million, which, when annualized, it is up fractionally over 2010. In general, the same ratios occur for St Lucie County • Yes, bank foreclosures are expected to rise over the next year as the banks and courts better synchronize. Many of these foreclosed homes are being bought by investors and used as rental units for displaced home owners. • The population in Florida continues to increase. According to the 2010 census, it is now 18.8 million, up 300,000 from 2009 and up 3 million from 2000. In Indian River County the population increased from 113,000 in 2000 to 138,000 in 2010. The St Lucie County population increased from 192,000 in 2000 to 278,000 in 2010 People need to live somewhere whether they own or rent.
