The following stats compare January 2017 to January 2016.
Sold Single Family Homes UP 44% (23 vs 16)
Sold Condominiums UP 12% (38 vs 34)
Sold Single Family Vacant Lots UP 20% (12 vs 10)
Pending Single Family Homes UP 64% (56 vs 42)
Pending Condominiums UP 31% (64 vs 49)
Pending Single Family Vacant Lots UP 14% (14 vs 10)
(Pending means it went under contract but has not closed yet)
Inventory:
387 Single Family Homes (UP 4% from 2016)
400 Condominiums (UP 15% from 2016)
313 Single Family Vacant Lots (DOWN 3% from 2016)
Summary:
A total of $57 Million dollars worth of real estate closed on Marco Island in the Month of January 2017. $62 Million dollars last month and $46 Million in January 2016 (last year). For the trailing 3 months, we are at $163 Million compared to $125 Million last year. Do you know why there is so much green above? No Earle, it's not because St. Patrick's Day is coming, it's because there were 211 Price Reductions alone in the month of January (and 11 price increases). Price reductions are the Viagra of the real estate market in that they stimulate things. And if your property does not sell within 4 months after one, you should seek the help of another Realtor. Combine the reductions with the fact that the list to sell ratio moved to 92% from 94% last year. To refresh your memories, the list to sell ratio is the percentage of what a property sold for relative to it's asking price. To simplify that for you math-o-phobes, last January on average 6% was negotiated off the asking price and this January 8% was negotiated off the asking price. Does this mean that a bunch of Realtors attended a seminar in negotiation techniques and became better negotiators on behalf of their Buyers? Does this mean that the Realtors that missed that seminar had all the Sellers and they were out-negotiated by the seminar attendees? NO, it means that the market ran up to the point that the Buyers started to balk, the Sellers listened to their agents and started to lower their asking prices and became a bit more flexible in what they would ultimately accept. I think we are going to see this trend continue. The inventory is going up because the new Sellers tend to be overly optimistic about the current state of the market and those that have been listed for a while without selling become more capitulative (another word I invented) or willing to sell and move on. Time will tell.
Now, if you were to look back at some of my past boring emails you will see that I pretty much predicted this whole price lowering, being more negotiable on what you take thing. Jimmy the Greek used to be a great sports prognosticator, now we have Gerry the Jew, the great Real Estate prognosticator. (I hope I don't get accused of being anti-Semitic for writing that comment...)
So, I'm sitting talking to my first wife like I often do, and we exchange the normal pleasantries such as, how are the kids? how's life living in a condo now? how's your yoga teaching going? I then had to sit and listen to her blather on about how great and handsome her husband is and what a great father he is, and how everyone that meets him loves him. I know, I know, it's enough to make me puke too. We then were talking about what we each wanted out of life and a spouse. Now, those of you that know me, know I love tall women, the taller the better. You know how some people are afraid of clowns, well, like them, I'm afraid of short women. My experience is that they tend to be nasty, just like some little yappy dogs. Anyway, I digress. The point is that just like picking a spouse and all the unknowns that come with that, there are tons of unknowns in real estate price prognostication. Buyers always ask, what do you think they will take? Sellers always ask what do you think they will pay? Here is what I know. If you like the property, check the comps and work the deal with your Realtor and pay what you think is fair. Sometimes you may even pay a little bit more because you can't put a price on happiness now, can you? If you're the seller, same things hold true and you may even take a bit less than the last comp because the stress and agita you will get rid of by selling the property may extend you life expectancy. Can't put a price on that either, can you now? So, in Real Estate, like spouse choosing, sometimes you get what you get, make the best of it and stay away from small yappy dogs.
For the faithful 7.6 readers who beg to know each month's high and low sale, here you go: The highs for the month are... a Single Family Home for at 620 South Barfield for $4,000,000 For Condos, Madeira 1105 closed for $3,650,000 Million. For Vacant lots, 1679 McCilvaine Court closed for $915,000. All Sales Were Cash Deals. (no mortgages, no refunds, no returns)
For you bargain hunters out there, a Single Family Home at 220 Flamingo sold for $465,000. In condos we have Island Manor unit N5 selling for $124,000 and a Vacant lot at 140 Sand Hill closed for $97,500. Again, All Sales Were Cash Deals. (no mortgages, no exchanges, no backs)
As always, please reach out and contact me if you have any real estate questions or need bad marriage advice.
And, if you are thinking of using me as your Realtor, keep in mind that I will never be out thought or out fought.
Little Chuckie and I still await the dinner invitations.
Gerry Rosenblum
Broker Associate
Berkshire Hathaway HomeServices Florida
Realtors
2008 Realtor of The Year - Marco Island
239-450-4770 (cell)
1-888-239-5131 (toll-free e-fax)
1-800-237-8817 (toll-free)
To View the Entire Marco MLS go to: www.viewmarco.com
1-888-239-5131 (toll-free e-fax)
1-800-237-8817 (toll-free)
To View the Entire Marco MLS go to: www.viewmarco.com
