Summer is in full swing. Bertha has just become the second named tropical storm of the season, this weekend is the back-to-school sales tax holiday and the Dolphins have just started their training camp. For real estate, July was more active than June but the real activity will not kick into gear for a few more months. As we close out July 2014, let’s recap the latest stats for condominium re-sales on Singer Island:
- There have been 123 condo re-sales on Singer Island through July 2014. The sold prices averaged 93.5% of list price.
- Year-to-date only 51% of the condo re-sales were under $500K, with 20% being in the $1 million plus range; a sign that the high-end condos are starting to move as well as overall prices increasing.
- The average Days-on-Market (DOM) for the older condos decreased to 135 (approx. 4.5 months of inventory); whereas the newer condos average dropped, as well, to 246 days (8.2 months) on market.
- There were no short sales in July.
- The highest re-sale in July was Oasis Singer Island 11B for $2,100,000, and the least expensive sale was Villa Towers 929 at $174,000.
- As of the end of July, condo inventory had a sharp decrease to 155 units.
- Price per square foot of the older condos (built 1969-1989) remained constant at $254; and the price per square foot of the newer condos (built 2003-2008) decreased slightly to $552.
Florida Homebuyers’ Confidence on the Increase:
A Homebuyer survey conducted by Pollara last April and released by BMO Harris Bank found that 68 percent of Florida homeowners believe the value of their home will go up over the next 12 months, and 13 percent expect the value of their home to go down.
Over the past year, 61 percent of Floridians felt their home’s value had increased compared to 58 percent nationwide, and 24 percent thought it had gone down.
“Market prices overall continue to indicate that we are in a recovery, and this was reflected in our survey results with buyer optimism,” says Sheila Blom, head of Florida mortgage sales for BMO Harris Bank. “We’ve seen this reinforced by an increase in home buying activity this year.”
With regard to Florida homebuyers, 30% of those planning to buy say market activity caused them to delay a purchase; this falls in line with 29% nationwide. Twenty percent of Florida homebuyers say current market activity will likely cause them to buy a new home sooner than they otherwise would.
Although home mortgages have remained relative steady, 63 percent expect rates to go up; 45 percent expect a small increase, and 18 percent anticipate a large increase. Twelve percent of homebuyers believe that rates will decrease over the next five years while the remaining 25% expect rates to stay the same.
“Housing affordability remains historically very attractive, despite rising home prices and borrowing costs coming off their lows. As a result, there continues to be decent demand for homes, assisted from firming household formation,” says Michael Gregory, head of U.S. economics, BMO Capital Markets. “Although overall U.S. housing activity is experiencing slower momentum than we saw earlier in the recovery, positive developments such as the recent down-drift in mortgage rates and solid job numbers should give an added boost to housing.”
Our Market Update provides detailed information regarding condos newly listed, pending and sold on Singer Island for the current month.
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2014 has become another great year for the Walker Real Estate Group; as the #1 Sales Team on Singer Island, our goal is to provide our customers a true concierge experience in all their real estate transactions. Trust, integrity and knowledge of the market is our number one priority.
For more information on specific condominium sales activity contact Jeannie at 561-889-6734 or email her at [email protected].