The last several years, we have seen questions about foreclosures and short sales on the rise.

So do you know the difference between a short sale and a bank foreclosure?

There is so much more to these sales, but check out this quick video for a tutorial – it might help you when making a decision on whether to buy a distressed property on Hilton Head Island.

Today’s Insight video focuses on bank foreclosures.

Are Foreclosures always a good buy?  Sometimes they are, sometimes they aren’t – you have to do your homework.  Look at comps, work with an agent who understands the market.  When you do your homework you are going to come out ahead.

Check out a list of the best of the best Hilton Head Island foreclosures and short sales!

Each day this week I’m going to share with you one of my recent “insight” videos on the Hilton Head Island real estate market.

Today’s video focuses on what we call “the 6-month line” and how real estate inventory affects pricing in the market.

ENJOY and stay tuned for another video tomorrow!

We all know that inventory controls pricing in any commodity – corn, soy beans, gasoline and guess what – even real estate!

We took a look at inventory levels versus the number of sales for homes during 2011 and found the following:

Under $200,000 there are 723 homes currently on the market and we had a total of 738 sales in 2011 for an absorption rate giving us an absoprtion rate of 11.8 months.  This means, that if no new properties came on the market, it would take us approximately 11.8 months to liquidate all inventory priced under $200,000.

This price range represented the lowest absorption rate, with homes priced over $2 million representing the highest absorption rate at approximately 60 months.

This tells us that in this tough market, the lower price ranges are definitely selling better than the higher price ranges.

We will keep you posted of any changes in the absorption rate – let’s hope we see these numbers go down soon!

2011 came and went with a flash; and I was glad to see 2012 with hopes of a better year for the real estate market.

Despite all the hardships and uncertainty in the real estate market, I am pleased to say that Charter One Realty continues to be the #1 company on Hilton Head Island with approximately $417 million in sales (three times that of the #2 company) – proudly serving over 1,000 families with their real estate needs.

I am working harder than ever to get properties sold on Hilton Head.  So if you want RESULTS, why not work with a proven market leader?  Visit JamesWedgeworth.com to see how we market and sell our properties.

I can’t tell you how many times I’ve been asked what the biggest mistake that sellers make.

In my opinion, the #1 issue sellers have is overpricing their listing to start with.  Historical data shows that properties have the best chance of selling in the first 30 days.  Often times, sellers overprice their property in the beginning with the mentality that they will “try and see if the right buyer comes along” and then they end up “chasing the market” down - reducing a step behind the market.

So weigh out your options before listing your property and don’t fall victim to the mistake many sellers make.

This past weekend I was in New York City visiting two  of my grown children.  On Saturday night, Jane and I went out with some friends to dinner.  We all jumped in a cab and our friends told the driver the address of the restaurant.

They had also mapped out the directions so they tried to tell the cab driver which way to drive.  It got interesting because the cab driver disagreed with the directions and of course, both parties thought they were correct.

To be compliant, the cab driver started to follow our directions until we came to a dead stop in traffic.  At that point, the cab driver turned around and told us that we should have listened to him because he does this all day, every day and knew that there would be bad traffic at that particular time of day.

This reminded me a lot of the real estate market.  Every day you will encounter people who think they have an idea of what their property should sell for or how their property should be marketed to sell.

Sometimes you need to trust the market expert and their local knowledge – they can get you where you want to go.

Today’s real estate deal of the day is a great Sea Pines Plantation villa – 323 Greenwood Garden Villas – which has just been reduced to $317,900.

Lagoon to Green View. In a private location.  All on one floor. High ceiling in Living Room.  2 bedrooms plus an office. Screen porch has been converted to a Carolina Room.  HVAC replaced in 2010.  80 Gallon hot water heater replaced in 2009.

Today’s real estate deal of the day is a little something for someone who might like life in the country – but close to the beach!

342 R & M Plantation Circle is a 3 acre home in Ridgeland sitting on a 10-acre pond.

This 3 Acre Southwood Log home on 10 acre private pond featuring 3 bedrooms and 2 baths. Great views! Great room has pine hardwood flooring. Bonus room above 2-car carport with approx. 800 sq. feet plus 2000 sq. foot home with dock. Well water. Septic system. SS refrigerator. Concrete driveway. Plenty of storage. 2 New HVACs. Palmetto Electric “good sense home.” The best thing about this is the location! Deer, turkey, fishing….life in the country at its best!