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January 2012 Real Estate Newsletter Anna Maria Island, FL -ALAN GALLETTO, Realtor
Jan 21st
JANUARY NEWSLETTER 2012
Happy New Year- Last January I started the Newsletter by saying “With 2009 the year of stabilization and improvement, 2010 was the year of the market poised to turn up, 2011 will be the year of a modest increase in prices” and that is how 2011 has shaped up.
Sales for December 2011were 26(SF-14, Con-9, Dup-3 & Lot-0) compared to Dec 2010 which were 37(SF-20, Con-15, Dup-1 & Lot-1). Sales for all of 2011 were 340 (SF-174, Con-126, Dup-16 & Lot-24) compared to 2010 which had sales of 319 (SF-187, Con-94, Dup-23 & Lot-15). In 2010 30% of the sales were distressed properties (short sale or bank owned) compared to only 16% of the 2011 sales. Currently there are 17 distressed properties (SF-7, Con-7, Dup-3 & Lot-0) in the inventory of 427 (SF-198, Con-145, Dup-31 & Lot-53). Of the 17 distressed properties 11 are in Bradenton Beach and 6 are in Holmes Beach. Of the 11 in Bradenton Beach 7 are short sales and 4 are bank owned. Of the 6 in Holmes Beach 5 are short sales and 1 is bank owned. Pended properties (properties under contract) continue to be strong at 45(SF-19, Con-19, Dup-4 & Lot-3) which is a good sign for continued strong sales. Inventory on the island has dropped down to 427 down from 456 last month.
This month’s Frank, Larry & Al’s Great Buy’s hasn’t changed from last month except that they have become much more attractive from a price stand point. If you’re looking for a condo under $400K that generates enough gross revenue to equal the purchase price in 10 years then Island Garden Villa’s are for you. We also have bank financing available these units with 30% down as a second home. The bank owned property at 5505 Gulf Drive has just been reduced for a second time to $324,900. This property is within 2 blocks of the beach and would be an excellent rental after a remodel and pool addition. Another property that is steps to the beach and is a proven great rental is 2916 Avenue E a pool home that has just been reduced for the second time to $649,000. For those of you who want the most luxurious condo on the island then view the virtual tour of 3716 Gulf Drive listed at $2,999,000 you won’t be disappointed.
To summarize the market for 2011, sales for the fourth quarter were above average and lower than 2010’s fourth quarter sales but total sales for 2011 ended up 6% over 2010 at 340. This made total sales for 2011 the best year since the peak year of 2005. In addition, single family average sale prices were up 15% over 2010 and single family median sales prices were up 5% over 2010. Condo average sales prices were up 6% over 2010 and condo median sales prices were up 7% over 2010. Lot average sales prices were up 7% over 2010 and lot median sales prices were up 15% over 2010. Duplex sales prices were flat with duplex average sales prices down 3% over 2010 and duplex median sales prices up 5% over 2010. Distressed properties continue to shrink to only 4% of the inventory or 17 properties. Distressed properties on the island were never higher than 10% since the market started dropping in 2006. The island market looks very stable with prices rising, sales transactions rising, distressed properties very low, inventory below average norms and the number of high value properties to choose from shrinking. If you look at the chart at the bottom of the next page, sales from 2002 -2011, it gives you a good perspective on the island market since 2000. The years 2003-2005 were the years that the real estate market got very over heated which drove prices up about 25% per year which in turn drove transactions up. Prior to 2000 real estate sales on the island ranged between 200-250 per year and the 30 year average of increase in values was about 5% a year. If we get back to a 5%-7% increase in values, that would give us a healthy sustainable market. Based on where we are it looks like we’re on track to continue in that direction.
JAN 1 – December 31 ’2011 SALES ON ANNA MARIA ISLAND
# Sold Lowest Highest Avg. Sale Price Median Sale Price
HOMES 174 $150,000 $2,650,000 $591,456 $490,000
CONDOS 126 $ 65,000 $2,075,000 $311,234 $255,783
DUPLEXE 16 $237,000 $ 590,000 $382,181 $375,000
LOTS 24 $127,000 $1,350,000 $433,794 $400,000
TOTAL 340
JAN 1 – December 31 ’2010 SALES ON ANNA MARIA ISLAND
# Sold Lowest Highest Avg. Sale Price Median Sale Price
HOMES 187 $154,000 $2,350,000 $511,391 $465,000
CONDOS 94 $70,000 $1,667,000 $292,832 $239,450
DUPLEXE 23 $170,000 $1,360,000 $392,326 $357,500
LOTS 15 $200,000 $ 850,000 $406,727 $345,000
TOTAL 319
SALES 2002-2011
2011 2010 2009 2008 2007 2006 2005 2004 2003 2002
HOMES 174 187 118 121 111 74 182 243 198 145
CONDOS 126 94 84 57 71 45 186 101 118 82
DUPLX 16 23 10 26 10 15 53 70 31 33
LOTS 24 15 12 7 7 4 17 21 7 12
___ ____ ____ ____ ____ ____ ____ ____ ____ ____
TOTAL 340 319 224 211 199 138 438 435 354 272
Keep those calls and e-mails coming! We love hearing from you……Alan, Frank & Larry
Go to http://AlanGalletto.com for complete charts and figures. HAPPY NEW YEAR!
NOVEMBER 2011 Real Estate Newsletter Anna Maria Island, FL. ALAN GALLETTO, Realtor
Dec 16th
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.
JULY 2011 Real Estate Newsletter ALAN GALLETTO, Realtor; Anna Maria Island, FL.
Jul 29th
JULY Newsletter 2011
Sales for June continue to remain strong at 30 (SF-13, Con-14, Dup-1 & Lot-2) a 40% increase over June of 2010 at 18(SF-12, Con-5, Dup-1 & Lot-0). June 30, 2011 Y-T-D sales were 194(SF-89, Con-85, Dup-8 & Lot-12) up 28% over the same period last year. Of the 194 sales 15% (30) were distressed compared to June 30, 2010 Y-T-D sales of 151 (SF-92, Con-42, Dup-11 & Lot-6) 25% (38) were distressed. Pended properties (properties under contract) continue to remain strong at 55 (SF-33, Con-21, Dup-1 & Lot-0). Inventory continues to move downward and is below the average for the island of 450-500 and currently at 442 (SF-219, Con-139, Dup-35 & Lot-49) and the distressed inventory remains at 5% (24) (SF-7, Con-12, Dup-5 & Lot-0). Island Real Estate put six properties under contract in June and closed eight properties, four of them Island Real Estate had both sides of the transaction.
This month’s Frank & Al’s Great Buys has two short sales at the top of the list. The gulf view two unit condo at 100-A 52nd St is pre-approved at $795,000 and is a very good rental doing about $70K of gross rental income. The other at 605 Baronet Lane at $549,000 is a nicely remodeled open floor plan canal home ideal for Florida living. If you want open water views for under one million dollars then 525 Key Royale Drive at $769,000 is a great buy. The Lot is worth $700,000 and you also get a 3 bedroom/3 bath pool home thrown in. If it’s rental income you want than check out 2916 Avenue E, 159 Crescent Dr and 4001 5th Avenue. These three properties all have a ratio of 10 or lower of purchase price/gross rental income which only the best investment properties on the island can do. Good rental properties are getting scarcer every month.
In summary, the island market continues to perform at record levels of sales transactions. As I mentioned before about 250 is the average sales for a year on the island. If you look at the sales from the peak years to the present (2003 – 325, 2004 – 378, 2005 – 438, 2006 – 138, 2007 – 199, 2008 – 211, 2009 – 233, 2010 – 316) it gives you a perspective on the healthy sales we are now enjoying. Sales for the 2nd quarter of 2011 hit 110 which is the first time since Q3 of 2005 that we had over 100 sales in a quarter and only the 4th time in twenty years. Inventory on the island dropped again to a six year low (442) and below the historic average inventory levels of 450-500. If it goes below 400 we will see a seller’s market again. The low inventory is reflected in the few properties that are available to buy in great locations. There are only 23 properties currently for sale west of gulf drive or in an equivalent location. At the same time distressed properties have remained at 5% of the inventory which means the absolute number of distressed properties has fallen significantly as the inventory has fallen. Of the 49 lots currently for sale on the island only 6 of them are non-gulf front and west of gulf drive and they range from $375K to $699K. As you can see from the graphs average and median sales prices continue to trend up which is also a byproduct of the low inventory. I’ve added a new chart this month which shows average and median sales prices for all four types of properties from 2005 through 2010. You can see that if you compare the end of 2010 with where we are six months into the year that the numbers are positive. As I mentioned last month when the economy shows some growth, the interest rates are going to shoot up quickly and at that point the combination of higher prices and higher interest rates are going to add hundreds of dollars to the mortgage of a property. I expect the inventory will continue to decline based on the rate at which properties are selling on the island. Looking at where we are in the number of sales year-to-date I estimate we will close the year very close to 400 properties sold in 2011. If that is the case than it will be only the second year that we saw 400 properties sold in a year in the history of the island market. The only other year was 2005 with 438 sold, the peak year for Real Estate on the island.
Ask Alan Galletto-THE Realtor for real estate on Anna Maria Island, FL. 941.232.2216
MARCH 2011 Real Estate Newsletter ALAN GALLETTO, Realtor; Anna Maria Island, FL.
Mar 26th
MARCH NEWSLETTER 2011
Sales for February were a little behind last year at 22 (SF-10, Con-11, Dup-0 & Lot-1) versus 2010 which were 27 (SF-14, Con-9, Dup-3 & Lot-1) but still a respectable number of sales. Of the 22 properties sold in February only 4 were distressed properties (SF-3, Con-1) versus 2010 where 10 of the 27 sold were distressed (SF-5, Con-4, Dup-1). Year-to-Date Sales through Feb 28, 2011 are at 38 (SF-18, Con-17, Dup-1 & Lot-2) compared to the same period in 2010 at 41 (SF-22, Con-14, Dup-3 & Lot-2). Sales continue to look strong with pended properties (properties under contract) at 60 (SF-28, Con-25, Dup-4 & Lot-3). Pended properties have been in the 50-65 range for the past nine months which is why we’re seeing such strong sales. The inventory has been lingering at just over 500 with current inventory at 518 (SF-258, Con-182, Dup-31 & Lot-47). Of the current inventory 33 are distressed properties (SF-16, Con-25, Dup-4 & Lot-3) or about 6% of the inventory. If you look at sales for the last 12 months at 319 versus the previous 12 months at 251 it demonstrates how strong the sales have been in the past year compared to past years (2010-317, 2009-233, 2008-211, 2007-199, 2006-138 and the peak year 2005-438). You can see how the number of sales has been building since 2005. As I mentioned in past newsletters the average number of yearly sales on the island is about 250.
It was another good month for Frank and Al’s Great Buy’s. From last month’s list I put two properties under contract 787 Jacaranda and 2915 Avenue E, both great buys and both great rentals. Also a short sale, 100-A 52nd St was on last month’s list and although it did not go under contract I did put 100-B 52nd St. under contract. If you want another chance than 100-A 52nd St. is still available. This month’s list has some excellent buys. 3103 Avenue E, listed at $669K, is a new land condo with gulf views and five houses from the beach and is an excellent buy and would be an excellent rental. If you’re looking for west of gulf drive in the city of Anna Maria, 111 Oak listed at $699K is a circa 1926 classic historical cottage with a lot of charm and by adding a pool and some cosmetic updates would also be a great rental. With building costs still at historical lows (you can build for $150/sq ft what cost at peak $350/sq ft) the two lots at Banyan Tree Estates, three properties from the beach listed at $699K, allows you to build your dream home in a great location. Now is the time to build if you are considering it because it looks like material costs are going to rise in the future. Email or call me for more information on these or any other properties.
Any of you who have been on the island in the last couple months know firsthand that this year has been a great year for rentals. We were up about 6% in the winter months, mainly due to increased rental rates because demand is always high, but the summer months are up 50%. That increase is due primarily to increased demand and that demand caused many renters not to get there first choices last summer and are booking earlier this year. The standardized linen service is off and running and is going relatively well. Most of the initial comments have been positive and we’re working out the few glitches we have stumbled upon. One thing it has done is move some responsibility regarding linens from the owners to Island Real Estate which should make it much easier on the owners.
To summarize, sales into February continue to be strong and with inventory at traditional levels and pended properties strong, it seems that it will continue into the near future. Island Real Estate sales have been strong as well with 5 closings in February and 22 properties put under contract. Since we are only two months into the year there is not enough data to change the trend charts. Most of the graphs use quarterly or yearly data so by next month when we have a full quarter of data then we can get a better picture of the current trends.
Ask Alan -THE Realtor for other great real estate on Anna Maria Island, FL.
Call Realtor ALAN GALLETTO 941.232.2216 of Island Real Estate.
OCTOBER 2010 Real Estate NEWSLETTER -Alan Galletto, Realtor; Anna Maria Island, FL
Oct 9th
Sales on the island continue to be very strong with September sales up 55% at 34 (SF-20, Con-8, Dup-4 & Lot-2) over September 2009 at 22 (SF-9, Con-11, Dup-0 & Lot-2). Year-to-date sales through September 30, 2010 continue to stay well ahead of last year up 38% at 232 (SF-139, Con-64, Dup-19 & Lot-10) compared to September 30,2009 Y-T-D at 168 (SF-87, Con-64, Dup-6 & Lot-11). The increased sales continue to be related to the increase in single family and duplex sales this year versus last year. Even if we just match 2009 fourth quarter sales, we will end up the year at 298 properties sold. Pended sales are at 50 (SF-22, Con-23, Dup-3 & Lot-2), although down from last month’s 66, they are still well above average and my best guess is that sales for 2010 will be above 300 for the year. Island Real Estate sales continue to be strong with 10 properties put under contract and 11 properties closed in September.
Inventory on the island continues to drop with it currently at 522 (SF-254, Con-180, Dup-37 & Lot-51) compared to 540 last month and 544 in August. We’re getting close to the magical number of 500 under which supply and demand are in relative balance and inventory is at about 18 months supply at the average sales volume. Distressed properties (short sales & bank owned) are down to 43 currently (SF-18, Con-17, Dup-5 & Lot-3) compared to 44 last month and 53 in August. Distressed properties are running 28% (SF-34, Con-20, Dup-10 & Lot-1 = 65) of the September 30, 2010 Year-to-Date sales (232) on the island. Nationally 40% of the sales are distressed sales, in Manatee/Sarasota 50% of the sales are distressed and on the island 28% this year’s sales have been distressed.
Another one of Frank & Al’s Great Buy’s went under contract (606 Key Royale Drive listed at $319,000), a definite fixer upper on the canal. Just about all of the other properties are great buys for their location, rental capability and price. A couple that stand out are, 3302 6th Avenue, a four-plex listed at $599,000 three houses from the beach with plenty of room for a pool which would make this a dynamite seasonal rental. Another is 704 Rose St., listed at $429,000 a 2bedroom/2 bath in the north end of the island, one and a half blocks to the beach and with a pool, it would be a great rental property. If you want to be west of gulf drive then 115 Palm Ave. listed at $499,000 is for you. There are currently 10 properties for sale west of Gulf Drive that are not direct gulf fronts and 115 Palm is the lowest priced one. In the last 12 months 8 properties have sold west of Gulf Drive and all between $500K and $800K. The Gulf View Short Sale Townhouse (3603 4th Ave) is another great buy. Listed at $799,000 it’s a lot of house in a great location with partial Gulf Views, Pool, elevator and 2,376 sq ft of living area. Being a short sale who knows what the bank will take….make an offer.
Interest rates, although at all time low’s, continue to creep even lower with 30 year fixed rate mortgages up to $417,000 for first and second homes at 4.21%. To put in perspective how that stacks up to historical rates take a look at the historical mortgage rate graphs at the end of this newsletter which shows rates back to 1963. Based on the WSJ, it looks like the Fed is going to allow some inflation to try to spur economic growth. If they do, interest rates are going to jump up. With property prices as low as they are going to go and the mortgage rates at the lowest you are going to see in our lifetime this is the time for you buyer’s to pull the trigger.
Speaking of good deals, the current news on bank foreclosures is that three large banks, Bank of America included, has stopped foreclosures in 23 States because they might not have followed lawful procedures. The Federal Government is seriously considering stopping all foreclosures in the US due to questions on ownership of some of these properties because the mortgages have been sold so many times. If that happens, the banks will have to sit on their foreclosed properties for some indefinite period of time. A consequence of that may be banks moving much quicker and aggressively on short sales since foreclosing will only increase their inventory of properties that they can’t sell.
Many clients have asked about the demographics of the Manatee County area so I have included them at the end of the newsletter. It includes population, age and wage information on the cities in Manatee County including the three cities on Anna Maria Island. Hope you enjoy the newsletter.
SEPTEMBER 2010 Real Estate Newsletter ALAN GALLETTO, Realtor; Anna Maria Island, FL.
Sep 18th
SEPTEMBER NEWSLETTER 2010
Sales for the month of August continue to be strong up 26% from last year with 29 (SF-16, Con-10, Dup-2 & Lot-1) properties sold compared to 23 (SF-15, Con-6, Dup-0 & Lot-2) in 2009. Year-to-date sales through August 31, 2010 also continue to be strong up 36% at 198 (SF-119, Con-56, Dup-15 & Lot-8) compared to August 31, 2009 Year-to date at 146 (SF-78, Con-53, Dup-6 & Lot-9). As you can see from the numbers, sales of single family homes and duplex’s are up significantly over last year where as condos and lots are about the same. Sales this year have significantly exceeded 2009 almost every month. If we only matched 2009 sales for the remaining months of the year, total sales for 2010 would come in at 286 well above the average total sales on the island of 250. Based on where we are and the continued strong number of pended sales of 66 (SF-33, Con-21, Dup-8 & Lot-4), I believe total sales for 2010 will come in very close to 300. If that’s the case it will be a very strong sales year with the most sales since 2005. Remembering that 2003 to 2005 were the peak sales years on the island, total sales from 2003 to 2009 were 2003-325, 2004-378, 2005-438, 2006-138, 2007-199, 2008-211, & 2009-234. In August Island Real Estate put 8 properties under contract and closed 5 properties.
Inventory dropped a little from last month’s 544 to 540 (SF-262, Con-186, Dup-36, Lot-56). Again, when the inventory level gets below 500 then we should see a significant rise in average and median property values. Distressed properties (bank owned & short sales) have dropped down from July’s 53 to 44 in August (SF-19, Con-18, Dup-4 & Lot-3). Distressed property sales year-to-date has been about 25% (SF-28, Con-15, Dup-7 & Lot-1 = 51) of the total sales year-to-date (198) on the island.
Two of Frank & Al’s Great Buy’s have been reduced from last month which make them even better buy’s. 787 Jacaranda a 3 bedroom/2 bath elevated, totally remodeled home only steps to the beach has been reduced to $599,000. The North Point Harbor canal lot at 718 Key Royale Drive has been reduced to $379,000. A great buy that just came on the market is 3302 6th Ave, a 4-plex with four 2 bedroom/2 bath units’ only steps to the beach. This property has plenty of room for a pool and with a pool and 30% down the revenue it could produce would cover all operating expenses and debt service and produce positive cash flow. This would be a great investment property for someone. There are not many 4-plex’s on the island and even less that are close enough to the beach to cash flow.
Interest rates are at their lowest in 40 years with rates as low as 4.4% for a 30 year fixed for a first or second home mortgage up to $417,000. Financing for condos in stable associations, which include most of the condo associations on the island, is available with 25% down. Jumbo mortgages ( above $417,000) are readily available at 1.5– 2 points above the regular first or second home rate. If your planning on buying, now’s the time.
For those of you who have a rental property or are considering buying one, this year has again been very good for rentals. By this time of year 80%-90% of the rental income is in and the last quarter is pretty quite except for the holiday weekends. This is the time of the year that the locals enjoy because it is a little quieter. If you plan to visit the island this fall the rental rates this time of the year are the lowest so call my rental girls to book.
Projected assessments for 2010 came out last month and it looks like in general taxes will come down a just a little more this year. Assessments now are currently pretty close to market value and unless budgets increase will stay pretty close to market value going forward.
In summary, sales on the island continue to be strong and still on track to be significantly higher than last year. Sales continue to be skewed to the low end with 90% less than $700K which is underestimating a little the average and median sales price compared to past years.
Ask Alan -THE Realtor for other great real estate on Anna Maria Island, FL.
Call Realtor ALAN GALLETTO 941.232.2216 of Island Real Estate.
August 2010 Real Estate Newsletter ALAN GALLETTO, Realtor; Anna Maria Island, FL.
Sep 8th
Sales continue to run above average with sales for July at 18 (SF-11, Con-4, Dup-2 & Lot-1) up from last year’s 16 (SF-9, Con-6, Dup-0 & Lot-1). July 2010 Y-T-D sales are up 39% at 169 (SF-103, Con-46, Dup-13 & Lot-7) over July 2009 Y-T-D at 123 (SF-63, Con-47, Dup-6 & Lot-7). As you can see from the numbers the main reason for the big increase in sales this year is the increase in single family sales. The other three types of properties sales are running about even with last year. The sales numbers are still on track to exceed the average of 250 this year as demonstrated by the sales for the last 12 months at 280 and the continued strong pending sales (properties under contract) at 63 (SF-33, Con-20, Dup-7 & Lot-3). In July Island Real Estate put 4 properties under contract and closed 5 properties.
Inventory has remained stable, in the mid 500’s, since the first of the year and is currently at 544 (SF-266, Con-189, Dup-38 & Lot-51). Again the normal inventory level on the island is between 450 and 500 properties for sale so we continue to hover just above the norm. When the inventory drops below 500 and stays in that range or lower than I believe we will begin to see a significant increase in average and median sales prices on the island. Distressed properties (bank owned & short sales) have bumped up a little over last month and are currently at 53 (SF-19, Con-25, Dup-5 & Lot-4). The increase was due primarily to the increase in condos from 17 to 25. The mainland, in comparison, is still in the 30% plus range of inventory of distressed properties. The number of sales on the mainland are up about 13% over the same period last year but median sale prices are continuing to drop, down 12% over last year.
Well two more of Frank & Al
The Gulf oil spill seems to be plugged so that’s good news for the whole Gulf region. We here in southwest Florida have not seen any oil and don’t expect to see any. The beaches are still there normal white sugar sand texture and the waters blue/green clear.
In summary, the number of sales on the island continue to be strong up significantly over last year and look to continue in that direction based on the continued strong number of pended sales. The distribution of sales continues to be skewed to the low end with 90% of sales less than $700,000 and 5% over $1 million. Average and median sales prices have not increased significantly and probably won’t until the inventory drops below 500. There are still some very good deals out there on properties in good locations that would be great rentals for second home buyers but they are becoming less every day. With 30 year fixed interest rates at 4.74% down from 5.42% last year the numbers aren’t going to work any better than right now. If you’re planning on buying a property in the next year now is the time to buy something while there still are good buys in great locations.
Canal Front Lot :: $379,000 was $399K:: 718 Key Royale in North Point Harbor, HOLMES BEACH, FL – ANNA MARIA ISLAND
Jun 23rd
Anna Maria Island Canal front lot
One of the few vacant Canal Front lots available in Key Royale located within the North Point Harbor Community. Community Pool, Tennis Court and Club House available to owners and their guests. Dock is already in place. Plans are available for this site or bring your plans and build your dream house, plenty of room for a private pool too!
Dock View
Ask Alan -THE Realtor for other great real estate on Anna Maria Island, FL.
Call Realtor ALAN GALLETTO 941.232.2216 of Island Real Estate.
JUNE 2010 Real Estate Newsletter ALAN GALLETTO, Realtor; Anna Maria Island, FL.
Jun 23rd
May continues the strong sales performance we have been seeing since mid 2009. There were 28 properties sold in May (SF-20, Con- 6, Dup- 1 & Lot- 1) compared to 23 (SF- 11, Con- 10, Dup- 2 & Lot- 0) in 2009. Island Real Estate sales continue to be strong in May with 12 properties put under contract and 12 closings in May (10 of them on the island 36% of the island sales for May). As you can see from the charts below Y-T-D through May 31, 2010 sales are up 64% over the same period in 2009. Average and median sales prices are still trending up for single family and multi-family properties and condos are still down due mostly to the skew of sales so far this year to the low end. The number of properties sold in the last 12 months is up again to 282 which reflects the strong sales in the second half of 2009 and continuing into the first half of 2010. If this continues we will do well over the average of 250 sales per year on the island. Pending sales (properties under contract) continue to be strong with 66 properties ( SF-38, Con- 20, Dup- 4 & Lot- 4) currently pended.
Inventory which was at 543 last month has stayed flat at 549 (SF- 261, Con- 192, Dup- 44 & Lot- 52). Over the past 10 months it has fluctuated between 498 and 575. The continued strong pended sales will put downward pressure on the inventory. Distressed properties (short sales and bank owned) are currently at 47, about the same as this time last month. Distressed sales continue to be about 8% of the inventory and 20% of the sales.
There continues to be some great opportunities out there for some great buys. The special email that I sent out a few weeks ago on a short sale at Starfish Beach condo (a 4 unit condo complex like Palm Isle Village) we have already put under contract this week. Those good buys go fast. There are some great opportunities on Frank & Al’s Great Buys this month. For those looking to build a new canal home 718 Key Royale Dr. is a terrific buy at $399,000. This is the lowest price water front lot for sale on the island. There is also a set of plans for a 3,300 sq ft home that goes along with it. With building cost down to $100-$125/sq ft (compared to $300/sq ft at the peak) now is the time to build that custom canal home. For those of you looking for a 2bedroom/2 bath condo close to the beach, 3702 6th Ave unit 4 is a great buy at $259,000. It’s a block to the beach and with a new kitchen, two large porches you can’t buy anything this close to the beach at this price. On the luxury end 108 36th St the new condo unit at Palm Gables listed at $1,490,000 was custom built for this owner and has never been rented. This unit has great panoramic gulf views and would be a terrific rental. Last but not least 200 & 202 38th St., which is a short sale, is a good buy at the list price but who knows what the bank will accept. I think a good offer to the bank for both units would be $1.2million to 1.3million which at $1.3 million would be a steal ($650K a unit) for these 3,100 & 2,500 square foot units. They currently do $55K and $65K in rentals and with a little “fluffing” and “buffing” (spending under $10K) they could easily do $70K and $80K. Palm Isle Village is still the best buy on the island for one and two bedroom condos close to the beach. With 25% down, they just about break even after tax, and there is nothing else on the island that matches this investment.
As I stated last month, the number of sales transactions are significantly up but the distribution of sales are skewed to the low end with 90% of the sales under $700K. In spite of this the average and median sales prices are trending up. The sales by quarter chart will not be updated until the end of June but with 56 properties sold in April and May, the Q2-2010 trend will be significantly up. In summary the number of sales on the island is significantly up while sales prices are down about 35% from the peak in 2006. Inventory is settling down to historical norms and distressed properties are stable and low. Sales for May were up 22% from last year and Y-T-D sales through May of this year were up 55% over last year.
May 2010 Real Estate Newsletter ALAN GALLETTO, Realtor Anna Maria Island, FL.
May 19th
April sales continues the strong sales performance for 2010 and the sales activity remains very strong here on Anna MAria Island, FL. There were 28 properties sold in April (SF-16, Con-11, Dup-1 & Lots-0) compared to 21 (SF-10,Con-9,Dup-1 & Lot-1) in 2009. Island Real Estate sales continue to be strong with 10 properties put under contract and 9 closings in April (32% of the closing on the island). Since January 1st I, Alan Galletto, have personally closed over $6,000,000 worth of property. From the charts below Y-T-D through April 30, 2010 sales are up 66% over the same period in 2009. If you look at the Year end 2009 average & median sales prices and compare them to the previous 12 months and April 30, 2010 average & median sales prices you can see that single family homes, duplex’s & lots are trending up and condos have leveled off. If this trend continues we will see some appreciation in properties by the end of the year. Again, this month the properties sold in the last 12 months are up to 275 compared to the previous 12 months of 267. This is also a very good trend and shows sales on Anna Maria Island, FL. continuing to increase. Another good sign in the market is pending sales (properties under contract) is very strong at 71 (SF-46, Con-18, Dup-3 & Lot-4). Last month at this time there were 63 properties pended. Inventory, which last month had bumped up to 567, has dropped down to 543. Over the last 9 months it has been fluctuating between 498 and 575. As I said above, sales look to continue to be strong over the next several months which will continue to pull the inventory down. Distressed properties (short sales & bank owned) last month dropped to 33 and this month bumped up to 43. Distressed properties on Anna Maria Island, FL continue to be low at 6%-8% of the inventory compared to 26% on the mainland.
For another consecutive month one of Frank Davis & Alan Galletto’s Great Buys has gone under contract. The canal home at 521 69th St. Holmes Beach on Anna MAria FL. went under contract and is due to close the end of June. This month we still have 5806 Imperiore, Holmes BEach on Anna Maria, FL. listed at $389,000 a 2 bedroom/2 bath totally remodeled and turnkey furnished. For those of you looking for an entry level condo 100 yards to the beach check out 3702 6th Ave. #4 Holmeas Beach, Anna Maria FL. now listed at $259,000. You can’t get this close to the beach for this price. We still have our luxury picks 108 36th St. Holmes Beach on Anna Maria Island, FL. a beautifully appointed condo in Palm Gables listed at $1,490,000. You have to see this property to appreciate it. Also please check out 200/202 38th St. Holmes BEach on Anna Maria Island, FL. ($895K & $775K) a two unit gulf view condo well under market for units with Gulf Views.
Check my web site www.AlanGalletto.com to look at the average and median sales prices at the end of 2009 and compare them to the last 12– 75% of the total sales were months sales and the 2010 year-to-date sales you can see that all four types of properties average & median sales prices are trending up. That, along with a continued increase in sales volume, are all good signs for the island market. What is also interesting is that the average & median sales prices as well as sales volume are up and at the same time high end sales are only a small fraction of the total sales. In 2006 – 56% of the total sales were under $700K. In 2007- 78% of the total sales were under $700K. In 2008 under $700K. In 2009 – 90% of the total sales were under $700K. In 2010 Y-T-D through April – 92% of the total sales were under $700K. You can see that although the number of sales are up, a smaller proportion of the total sales are over $700K than in previous years. That would understate the increase in average and median sales prices. The sales by quarter chart shows just the first quarter of 2010 until we get the full 2nd quarter numbers but based on Aprils sales and the strong pended contracts I would expect the sales to continue trending up.
Next month begins hurricane season (June 1 – November 30) so I’ve included an updated map of all the US hurricane landfalls from 1950 – 2009 which shows that the Florida west coast is less vulnerable than most of the US coastline.
Keep those calls and e-mails coming! We love hearing from you……Alan & Frank
Ask Alan -THE Realtor for other great real estate on Anna Maria Island, FL.
Call Realtor ALAN GALLETTO 941.232.2216 of Island Real Estate.
Alan Galletto
6101 Marina Drive
