As an admirer of the finest neighborhoods surrounding me in east metro Orlando, I routinely watch the neighborhoods that I love the most. This handful of neighborhoods all have an undefinable quality that makes them stand apart from the rest. Bridge Water is one of those neighborhoods.
However beautiful Bridge Water is, there is one thing nagging me: why is this premier east metro Orlando neighborhood not selling? In the past 90 days, there has been one sale in the Multiple Listing Service (MLS). The one sale was a “short sale”. sold
Why the lack of sales activity in this neighborhood compared to other neighborhoods? Simple…overpriced homes don’t sell.
Start with a gorgeous, established neighborhood full of appealing family homes in a primo location central to major employers and educational centers. Add easy on/off, immediate access to 408, a major Orlando artery. Sprinkle in enjoyable community amenities including two community pools, fitness center, playground, basketball court and gazebo. Finally, garnish with a quick four-mile drive “thru the back door” to Waterford Lakes Town Center, east metro Orlando’s premier destination shopping locale. Top it all off with a dash of A-rated schools (elementary and middle). This is Bridge Water – an ideal family community.
For as challenging as the real estate market has become, people continue to buy homes. Why? People will always need a place to live. Period. That fact will never fade in any market. East metro Orlando homes are still moving, still changing hands, but not in Bridge Water.
With just one Bridge Water sale taking place in the past 90 days (a “short sale”) for such a quality neighborhood, only one explanation makes sense – overpriced homes. This neighborhood’s overpriced homes may be tied to the inflated home values of 2005/2006. Oh, the joy of 2005/2006 home appreciation many of us experienced…out of this universe…and simply effortless! But recall what drove the home value boom of 2005/2006 - minimal home inventory (nothing for buyers to choose from) and out of sight financing (anyone with a pulse could buy).
Fast forward to summer 2008, we now have an over abundance of inventory (an overwhelming number of homes for buyers to choose from) and strong, competitive financing (only for buyers with very good credit and a good, stable job).
There is no doubt we can expect a swift increase in Bridge Water sales with some significant price reductions to current inventory. There are 12 active listings today in MLS with a minority of the homes being priced right, priced according to today’s market. active For the few Bridge Water homes priced right today, I anticipate a successful closed sale for them this summer. For the rest of them, the reality is many more weeks and months on the market along with price reduction, price reduction, price reduction - no seller wants this, but reality is reality.
However, a significant trend is brewing in Bridge Water. There are six pending listings today in MLS with anticipated closing dates of Jun/Jul. This is a move in the right direction for the neighborhood and is one that I anticipate will spark even more homes to change hands this summer because the most recent sales provide the best comparables and those comparables provide the strongest supported evidence of homes values to sellers and buyers. pending
Curious about homes that didn’t sell for one reason or another? expired
Moral of this story: overpriced homes don’t sell.
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