110 81 ST Ground Level Duplex on Anna Maria Island

West of Gulf Drive; 110 81 ST Ground Level Duplex on Anna Maria Island

Happy New Year– 2014 turned out to be another strong year. The last three years sales have been in the high 300’s and the low 400’s with appreciation in prices since 2010.

Sales in 2014 again were strong among all property types and showed average and median sales prices up again from 2013. December 2014 sales were 36 (SF-20, Con-15, Dup-0 & Lot-1) up 6% over December 2013 at 34 (SF-13, Con-10, Dup-6 & Lot-5). December 31, 2014 Y-T-D sales were 381 (SF-219, Con-106, Dup-34, Lot-22) down 7% over December 31, 2013 at 408 (SF-237, Con-120, Dup-26 & Lot-25). Of the 2014 sales only 6% or 22 (SF-10, Con-3, Dup-8 & Lot-1) were distressed properties (bank owned or short sales) compared to 9% or 38 (SF-16, Con-15, Dup-7 & Lot-0) in 2013. Inventory on the island continues to remain low at 284 (SF-152, Con-83, Dup-19 & Lot-30). The inventory last month was also 284 and for the last seven months the inventory has ranged between 263 and 321.

If you’re looking for some very good properties to buy check out Frank, Al & Scott’s Great Buys this month. The best investment buy in the whole inventory is still 3603 4 th Avenue. It has averaged $90K in gross annual rental income which makes it a 10.6 ratio (purchase price/Gross annual rental income) at list price. Check out the Cost of Ownership Analysis attached on 3603 4th Ave. in the full Newsletter on my web page.

Another property close to the beach (5 houses to the beach) is 110 81st St priced at $879K. It’s a duplex (3/2 & 2/1) which as is does about $60K in gross annual rentals. There is plenty of room for a pool in the front (with a pool it would do about $90K annually) which would make it a great 2nd home or a very good investment property.

One of the nicest new Gulf front condos currently for sale on the island is 108 36th St (Palm Gables). This unit was custom built, has been impeccably decorated with Robb & Stucki furniture and hand painted island murals and has never been a rental, although it can be rented weekly.

Check out the other great buys this month. To summarize the market, 2014 was as great a year for sales on the island as 2013. Even though sales for 2014 were a little below 2013 they still were at the highest levels since 2005. The one number that really jumps out at you is the number of single family homes sold in 2012 (245), 2013 (237) and 2014 (219). If you look at the Marketing Stats graph you can see that there were more single family sales in 2012, 2013 & 2014 than any other year ever. In the peak year of 2005 only (182), 2006 (74), 2007 (111), 2008 (121), 2009 (118), 2010 (187), 2011 (174), 2012 (245), 2013 (237) and 2014 (219). Distressed properties remain low and will continue to do so into the future. They are currently at 8 (SF-2, Con-6, Dup-0 & Lot-0) or 3% of the inventory. Pended properties (properties under contract) are about average at 25 (SF-15, Con-8, Dup-2 & Lot-0). The distribution of the sales in 2014 is also very healthy with 42% <$500K, 72% <750K, 17% between $750K and $1 million and 11% over $1 million. In 2010-2012 the sales over $1 million were only 2%-3% of the market. The average is 6%-7%, so the high end has really ramped up again in 2014 which is very good for the whole market. Looking at the charts you can see that single family and condo average & median sales prices for 2014 are up significantly over 2013 with single family average & median sales price up 5% & 12% respectively, condo average & median sales prices up 3% & 8% respectively and duplex average & median sales prices up 7% & 6% respectively over 2013. The bottom line is that the current market is as good as the island market has ever been.

Some local island news, Mary Ann Brockman as President of the Anna Maria Island Chamber of Commerce after 21 years. Frank hired her as the first employee for the chamber when there were only 50 members (now there are over 500) and I worked with her when I was President of the chamber for 4 years. She did a great job and we wish her a well-deserved retirement.

See www.AlanGalletto.com  NEWSLETTER for detailed charts and facts.