The inventory to choose from remains plentiful & the prices have adjusted back a decade or better. I have seen more than one case where the house sold for the same price as it did in 1965!
I'm not sure if that is good or bad!
I guess it depends on what end of the stick is yours.

The three primary categories of residential real estate now are:
1) REO/Bank Owned/Foreclosure
2) Short Sale
3) None of the Above!
There is abundant inventory in all categories.

Most "None of the Above Seller's" are bending over backwards to make a deal work when they do get an offer;
especially if they have to sell.
The banks will typically start coming down on their already bargain priced properties after they are on the market thirty days or better. Short Sales can be the best bargain of all if you are not in a hurry! The constant in all of this is that the buyers and investors that are here now are getting some UNBELIEVEABLE DEALS…
far below replacement cost.
That is why vacant land sales are at an all time low.

Mortgage rates continue to be at historic lows. Insurance, especially on newer homes is still very reasonable.
Floridians did vote in Jan 08 to increase the Homestead exemption & capture portable tax savings from owning a Homesteaded property for a number of years.

When you come here & look around it is easy to see why Venice was again recently declared in the top ten places to retire or buy a second home, this time by US News & World Report & USA Today. In recent years past Venice was voted one of the best small towns in Florida---by Florida Trend Magazine & in the top 10 communities in the country for a second home by Forbes Magazine.