August 2011

 Sales on the island continue at a strong pace in July with 27 properties sold (SF-16, Con-7, Dup-0 & Lot-4) a 50% increase over July 2010 at 18(SF-11, Con-4, Dup-2 & Lot-1).  July 31, 2011 Y-T-D sales were 223 (SF-106, Con-93, Dup-8 & Lot-16) up 32% compared to July31, 2010 Y-T-D at 169(SF-103, Con-46, Dup-13 & Lot-7).  Of the July31, 2011 Y-T-D sale of 223, 15% (34) were distressed properties compared to July31, 2010 Y-T-D sales of 169 in which 25% (43) were distressed properties.  Pended properties (properties under contract) remain strong at 60 (SF-33, Con-22, Dup-4 & Lot-1) which means sales look to be strong at least into the next couple months.  Inventory on the island continues to be below the average (450-500) and continues to move downward.  It is currently at 429 (SF-208, Con-138, Dup-31 & Lot-52).  Of the 429 properties currently for sale only 5% (21) are distressed properties (SF-9, Con-9, Dup-3 & Lot-0).  In July Island Real Estate put 6 properties under contract (IRE having both sides of 2 of them), Listed 8 properties and closed 11 properties (IRE having both sides of 7 of them).
 This month we have Frank, Larry & Al’s Best Buy’s.  None of last month’s have gone under contract yet but looking at the low inventory there are very few properties currently for sale that are as good a buy.  The two short sale properties 605 Baronet and 100-A 52nd street have been getting a lot of showings over the last month.  The canal home is done very beachy and has a very nice floor plan.  The gulf view property on 52nd St has a very good rental history that can be built on with very cosmetic changes to increase the rental.  100-A 52nd St. was just reduced by the owner to $695,000 and that would be the number the owner would accept to bring to the bank for a short sale.  The great income/potential properties are ones that have a 10 or less ratio of price to gross rental income.  The property at 100-A 52nd St is a 10 ratio and there are no properties that can beat that in that price range.  The property at 2916 Avenue E is also a 10 ratio and is another great investment buy.  For those of you who want to put some sweat equity into a property there are two properties that have the potential to show a good return after doing some major construction.  Both are duplex’s and both would need to be gutted and then condo’d.  Both are in great locations close to the beach and I think the numbers would work very well.  If you have an interest give me a call and we can discuss the details.  Also for you investors, I’ll be listing a 6 condo complex close to the beach in the $300K-$480K price range that do $30K-$40K gross rentals.  They are similar to Palm Isle Village and very nicely done.  Call me if you want one because I think they will go fast.
 Since it’s the middle of hurricane season I thought it was time to publish my yearly map of Hurricane Landfalls on the coast of the US from 1950-2010.  Most buyers come around to the question of whether the Sarasota/Bradenton area get many hurricanes.  The answer is no: Only rarely has the Sarasota/Bradenton area been directly hit by a hurricane.  The last one was in 1944 when one hit Northport (south of Sarasota) with 100mph winds.  There have only been 9 hurricanes to make landfall on the west coast of Florida since 1899 (when the government started keeping records).  As you can see from the NOAA chart the west coast of Florida is no more vulnerable than the NY/New England area of the country to get a direct hit and most of the coast of the US is far more vulnerable.
 To summarize the island market, the number of sales are up 30% over 2010 which was a very good year and 2011 is shaping up to be the second best year for sales in the last 30 years.  The inventory has been falling to historically low levels and if it continues downward will put upward pressure on prices (in August of 2010 the inventory was at 544).  The distressed properties have remained at 5% of the inventory but the absolute number of distressed properties have fallen as the inventory has fallen.  As you can see from the median & average sold chart, 2005-2011,  single family homes and lot prices are trending up, condos have bottomed and duplex’s haven’t quite bottomed yet.  In 2010 90% of the sales were under $700,000 and 10% over $700,000.  This year to date those percentages are still holding true.  The island market is very good compared to most other real estate markets in the US.


 Number Sold Average Sales Price  2010 Median Sales Price 2010
HOMES 185 $512,596 $465,000
CONDOS 94 $292,077 $239,450
MULTI-FAMILY 23 $392,326 $357,500
 LOTS 15
             _____ $406,727 $345,000
TOTAL 317  

Last 12 months – August 1 ‘2010 – July 31 ’2011  SALES ON ANNA MARIA ISLAND
 # Sold Lowest  Highest Avg. Price Sold Median Price Sold
HOMES 190 $65,000 $2,650,000 $536,575 $445,750
CONDOS 142 $  22,500 $1,060,000 $281,024 $250,000
DUPLEXES 18 $170,000 $   480,000 $342,911 $357,500
    _____ $127,000 $1,000,050 $416,377 $400,000
TOTAL 374    

 # Sold Lowest  Highest Avg. Price Sold Median Price Sold
HOMES 106 $65,000 $2,650,000 $553,373 $470,000
CONDOS 93 $  22,500 $1,060,000 $293,215 $255,000
DUPLEXES         8 $237,000 $   429,000 $338,550 $332,500
     ____ $127,000 $1,000,050 $415,691 $405,000
TOTAL 223    

 # Sold Lowest  Highest Avg. Price Sold Median Price Sold
HOMES 103 $154,000 $1,475,000 $508,138 $480,000
CONDOS 46 $80,000 $1,667,000 $324,324 $234,950
DUPLEXES 13 $202,500 $1,360,000 $427,654 $310,000
     ____ $200,000 $   850,000 $394,129 $320,000
TOTAL 169    
   Keep those calls and e-mails coming!  We love hearing from you……

Alan, Frank & Larry

Call your Realtor; ALAN GALLETTO on Anna Maria Island! 941.232.2216