NOVEMBER 2011 NewsLetter
Sales for October 2011 were 21 (SF-14, Con-3, Dup-3 & Lot-1) equal to October 2010 at 21 (SF-10, Con-8, Dup-1 & Lot-2). Sales for October 31, 2011 Y-T-D were 299 (SF-151, Con-113, Dup-12 & Lot-23) up 17% over October 31, 2010 Y-T-D at 256 (SF-151, Con-73, Dup-20 & Lot-12). Of the October 2011 Y-T-D sales 15% were distressed (Bank owned or short sales) compared to October 2010 Y-T-D sales in which 30% were distressed. Pended properties (properties under contract) are currently at 44 (SF-23, Con-17, Dup-2 & Lot-2) five lower than last month but still above average. Inventory on the island bumped up 24 over last month but is still below average (450-500) at 440 (SF-200, Con-156, Dup-32 & Lot-52) which is 81 below the same time last year. Of the 440 properties currently for sale on the island only 5% or 22 (SF-10, Con-10, Dup-2 & Lot-0) are distressed the same percentage of the inventory as last month. Of the 10 single family distressed properties 8 are short sales, 2 are bank owned and 3 of the 10 are in Bradenton Beach. Of the 10 distressed condos 6 are short sales, 4 are bank owned and 8 of the 10 are in Bradenton Beach.
Another one of Frank, Larry and Al’s Great Buy’s has gone under contract this month. The property at 116 52nd St went under contract two weeks ago and should be a great rental for the buyer. But don’t worry there are still some good opportunities left. One, a nonconforming duplex at 5505 Gulf Drive is a little sleeper. It’s a 2/2 & 1/1 duplex that is bank owned, it’s listed at $414,900 and very close to the beach. This is a potential remodel into a 3 bedroom/3 bath single family with a pool. Also this month I’ve included three new listings in three different price categories. First 126 Hammock Road, listed at $749,000, a 3 bedroom/3 bath, 2399 sq ft canal home in the north end of Ann Maria. With plenty of room for a pool it’s close enough to the beach to be a very good rental while at the same time you can keep your boat docked behind your house. The second one is a cute bright beach cottage at 5704 Holmes Blvd, listed at $459,000 NOW $419,000, this 2 bedroom/2 bath with a den, 1.5 blocks to the beach has plenty of room for a pool. Third is a condo at Sunbow Bay 3705 East Bay, listed at $234,900 it’s a recently remodeled 2 bedroom/2 bath very nice unit. This would be a great starter unit for someone looking to buy a second home on the island. Last but not least don’t forget the units at Island Garden Villas 5607 Gulf Drive. These one and two bedroom units ranging in price from $299,000 to $479,000 already have a great rental track record.
To summarize, sales continue to be strong for the 2011 with sales up 17% over last year and with only two months left in the year it looks like we will beat 2010. Inventory, although it bumped up a little this month, still is below average at 440. Pended properties (properties under contract) continue to remain above average at 44 continuing a healthy pipeline for the next couple month’s sales. The number of distressed properties (short sales & bank owned) at 22 are the lowest they have been since the market started dropping in 2006 and remain at 5% of the inventory. Looking at the chart on average and median sales price by property type from 2005 to 2011, you can see that single family, condo and land prices are moving upward while duplex prices have stayed relatively flat since the peak of 2006.
Rentals continue to be very good on the island, so good that it has caused some problems for some of the neighborhoods in Holmes Beach. You may have seen mention of it in the local newspapers. The major source of the problem is the large 6-8 bedroom land condo’s recently built as rental machines. This has caused parking problems and excessive noise issues in the neighborhoods that they are in. Island Real Estate has a few of these and we have been at the forefront of putting in place practices that minimize the effects of these rentals on the surrounding properties. The island has always had a good relationship between tourists and locals and we want to make sure that doesn’t change. If you have any questions regarding this issue please don’t hesitate to call Larry Chatt or myself.
Call Realtor ALAN GALLETTO 941.232.2216 of Island Real Estate.