Real Estate News and Updates
Marco Eagle, October 4, 2013
In The Marco Eagle Paper dated October 4, 2013, The Local Marketing Monitor Firm of N.C., that tracks over 315 markets nationwide, came out with an article worth mentioning. It stated that the forecast for home prices in the Naples/ Marco Island area is predicted to rise faster than any other area in the United States with an increase of 37% over the next 3 years with the biggest increase in 2014 of 15%. They also predict that statewide in Florida, we will see a rise of 26% in the same 3 year period.
We encourage you to read the whole article that was published in the Marco Eagle on October 4, 2013, at www.marconews.com
OVER A HALF BILLION DOLLARS OF REAL ESTATE CLOSED DURING THE FIRST NINE MONTHS OF 2013 ON MARCO ISLAND
MLS statistics, released by the Marco Island Area Association of Realtors® for Marco Island only properties compared the first three quarters of 2013 to 2012. According to Marco Island Board of Realtor's President, here is a recap of what happened in the Marco Island Real Estate market.
Sold Single Family Home Sales up 10% (325 vs. 295)
Sold Condominium Sales up 13% (448 vs. 398)
Sold Single Family Vacant Lots down 5% (142 vs. 150)
Average Sale Price Single Family Home up 11% ($763k vs. $689k)
Average Sale Price Condominium up 11% ($468k vs. $423k)
Average Sale Price Single Family Vacant Lot up 32% ($387k vs. 293k)
Total Dollar Value of all Single Family Homes Sold up 22% ($248M vs.$203M)
Total Dollar Value of all Condominiums Sold up 25% ($210M vs. $168M)
Total Dollar Value of all Single Family Vacant Lots Sold up 25% (55M vs.44M)
304 Single Family Homes (down .3% from 2012)
364 Condominiums (down 29% from 2012)
241 Single Family Lots (down 7% from 2012)
Over a half BILLION dollars of real estate has closed on Marco Island during the first nine months of 2013. Whew... Without question the appetite for Marco Island real estate was as strong as it's ever been during the past three quarters, average prices were up, dollar value was up, median prices were up.
However, the decrease in inventory has resulted in a bit of a let up over the last couple of months and our break-neck pace is easing. Bank appraisals are keeping prices fairly in check and interest rates are still excellent with the 30 year fixed rate at about 4.5%.
Other indicators of note are the average days a property is on the market is down about 10% from 299 to 269 and the list price to sales price ratio is up 2% from 90% to 92% (this means the average amount "negotiated is 8%.) The market seems healthy and buyers seem ready to get their piece of paradise.
Realtors close $53 million of property in August. Marco inventory continues to decline, figures show. Multiple Listing Service statistics released by the Marco Island Area Association of Realtors for Marco Island-only properties show $53 million worth of real estate closed on Marco Island in August.
This compares to $63 million closed in July and $48 million in August a year ago.
The appetite for Marco Island real estate remains unabated as we move into the fall. The only thing at this time keeping the number of sales from increasing is the inventory.
Simply put, the number of properties for sale at this time is probably the lowest in more than a decade, making it hard to find the property.
Oddly enough, the rainy weather we have been having also puts a damper on sales as some buyers cancel showings due to it, or they postpone their visit to Marco until the weather clears. It appears the desire for people to live in our retirement/resort destination is as strong as ever and on a huge upswing.
If you are thinking of selling, it is a great time to do so, as the low inventory is creating a sense of urgency in buyers, which is now compounded by the fact that interest rates are slowly rising.
Sold single-family home down 6% (31 vs. 33);
Sold condominium sales down 2 percent (43 vs. 44);
Sold single-family vacant lots down 67 percent (8 vs. 24);
Pending single -family home sales down 2 percent (46 vs. 47);
Pending condominium sales up 24 percent (57 vs. 46);
Pending single-family vacant lot sales down 52 percent (10 vs. 21).
307 Single-family homes (up 3 percent from 2012).
391 Condominiums (down 25 percent from 2012):
233 Single-family lots (down 12 percent from 2012).
MARCO ISLAND REAL ESTATE CLOSED $63 MILLION IN JULY MLS statistics, released by the Marco Island Area Association of Realtors® for Marco Island only properties compares July 2013 with July 2012 activity. According to Gerry Rosenblum, President, here is a recap of what happened in the Marco Island Real Estate market.
Sold single family home sales up 41% (38 vs. 27)
Sold condominium sales up 30% (48 vs. 37)
Sold single family vacant lots down 42% (11 vs. 19)
Pending single family home sales down 5% (42 vs. 44)
Pending condominium sales down 8% (47 vs. 51)
Pending single family vacant lot sales down 26% (14 vs. 19)
323 Single family homes (up 6% from 2012)
405 Condominiums (down 22%from2012)
236 Single family lots (down 14% form 2012)
Summary: A total of $63 Million dollars worth of real estate closed on Marco Island in the Month of July. ($59 Million dollars worth in June 2013 and $38 Million in July 2012). There were quite a few sales in July in excess of $1,000,000, which seems to be a trend. While there is a definite "season" to our Real Estate Market, without question this proves sales don't stop “after season”.
The total number of homes, condos and lots for sale is currently 964. That is a very low number and if it continues to shrink we may see a let up in sales as there are just simply not enough properties to meet the demand. Economics 101 teaches us if the supply is low and demand is high, prices will rise. The problem is we are now seeing buyers willing to pay a bit more for a property than the last comparable sale, but the bank appraiser is not allowing for that increase in the appraisal. This either causes the buyer to put a bigger deposit down, try to renegotiate the deal or cancel the contract all together. These are the challenges Realtors® face every day and why you need a Realtor® to help guide you through a transaction, whether you are buying or selling.
An exciting piece of news is the Marriott is planning to possibly do an expansion that would allow for an increase in their business during the off season here on Marco. I also heard that if successful, this may result in their hotel being upgraded to J.W. Marriott status. From a Real Estate standpoint, I believe this will be a positive as it will bring more jobs and more affluence to Marco