Why such a bold  prediction?  At a meeting today of the International Forum of the Americas at the Palm Beach County Convention Center, Lawrence Yun, Chief Economist for the National Association of Realtors  predicted, based on voluminous reliable tracking  data, that  average home prices for the State of Florida will end 2012 10% higher than End Of Year 2011.  It follows that Destin, and the Emerald Coast, having already rebounded at a rate far exceeding Florida averages, will continue the trend.  We’re presently experiencing significant inventory shortages in some popular MLS sub areas and price points, and our NW Florida selling season is just beginning.   We strongly suggest to our followers who have been waiting for the “right time” to get in the market to get in touch with us now  and investigate present option!

How is the condo business in Destin?  If you’re looking for good news, read on!  The Emerald Coast Association of Realtors MLS area Destin posted 116 condo sales closed for the the first quarter 2012 vs.  83 in the first quarter 2011, a whopping increase of 39.76%!   Meanwhile the average sq. ft. sold price increased from $185.89 sq ft. to $192.26 sq. ft.  Importantly, this off-season activity marks the first quarterly overall increase in sales volume AND average sq. ft. sold prices since the market downturn started over six years ago.  As our selling season begins, prospective buyers are finding plenty of inventory, low mortgage rates (albeit with more conservative/sensible qualifying criteria), and constantly improving vacation rental income potential.  If you’ve been waiting for the market to turn, this is your first clear indication that the time is now!  Contact for a detailed overview of market conditions for the market segment that might interest you.

How badly has the downturn in the real estate market affected beachfront home sales?  Short answer, not as much as you might have thought!  With spring 2012 is just around the corner, we note from MLS data that the Emerald Coast recorded 49 beachfront home sales in the past year.  Broken down by MLS areas: 

1)  Destin recorded 8 sold, median price, $2,735,625.  There are now 11 in the market, average asking price, $2,795,000.  High sold, $5,550,000. Low sold, $1,300,000.  Same period, 2004 / 2005 , 13 sold, median price, $2,500,000. 

2) Miramar Beach recorded  7  sold, median price $1,312,679.  At present, 7 are on the market, median asking price, 2,150,000.High sold, $2,100,000.  Low sold, $775,000.  Same period 2004 /2005, 12 sold, median price, $2,082,500. 

3)  The Santa Rosa Beach MLS sub area recorded 11 sold, median price 1,785,000.  Currently 22 are on the market, median asking price, $2,250,000. (High sold, $4,200,000.  Low sold, $1,225,000.  Same period 2004 / 2005, 12 sold, median price $3,065,000.

4) The Seagrove Beach MLs area recorded 23 sold, median price $2,400,000. Currently 41 are on the market, median asking price, $2,925,000. High sold, $8,100,000. Low sold, $780,000. Same period 2004 / 2005  21 sold, median price, $2,650,000.

As we inch closer to the end of our off-season, and nearer Spring Break, its worthy to note that off season condo sales YTD Jan 1 2012 / Feb 20, 2012 vs the same period in 2011 are up 14%, with 157 transactions closed this year in the period vs 138 last year.  Meanwhile average sold prices continue to fall, down 4.4%,  the smallest year over year drop since declines got underway +/- six years ago.  Meanwhile For Sale inventory is getting smaller.  A look at Sub Markets shows (1) Destin currently has 20 Gulf front condos for sale +/- 15 years old, and 59 that are older. (2)  In the Miramar Beach area (same category, including Sandestin) there are 16 active listings +/- 15 years in age, and 51 that are older.  (3) Santa Rosa Beach has 4 active listings +/- 15 years in age, and only 3 that are older.  (4) T he Seagrove Beach MLS sub area shows 6 active listings +/- 15 years in age, and 10 that are older.  (5) Fort Walton Beach has 59 +/- 15 years in age, (35 in Waterscape), and 19 that are older. (6) The Navarre Beach area offers 13 units +/- 15 years in age, and 15 that are older.  Meahwhile advance rental bookings for the 2012 season are widely reported as far ahead 0f 2011 bookings by Mid February.

We rarely post outside sources, but the NAR 2011 Report excerpts below are read worthy!

Housing News: 11 Trends from 2011

The National Association of Realtors® surveys homebuyers and sellers each year to uncover housing trends and monitor changes taking place in the industry. This year’s report highlights a number of trends that haven’t been seen in years. Here are 11 highlights from the 2011 report.

1. In 2011, 37% of homebuyers were first-time buyers – which was down from 50% in 2010.

2. Last year, 88% of homebuyers used the Internet to search for a home. That number was down slightly from a high of 90% in 2009.

3. The typical homebuyer searched for 12 weeks and viewed 12 homes.

4. The number of buyers who purchased their home through a real estate agent or broker climbed to 89% – a share that has steadily increased from 69% in 2001.

5. Nearly 1 out of 4 buyers said the application and approval process was “somewhat more difficult” than expected…and 16% reported it was “much more difficult” than expected.

6. About half of home sellers traded up to a larger and more expensive home…and 60% traded up to a new home.

7. The top 3 factors influencing neighborhood choice were: the quality of the neighborhood, the convenience to job, and the overall affordability of homes.

8. The typical seller lived in their home for 9 years. That number has increased from 6 years in 2007.

9. Although 61% of sellers said they reduced their asking price at least once, the average home sold for 95% of the listing price.

10. Only 10% of sellers sold their homes without the assistance of a real estate agent. Of those people, 40% knew the buyer prior to the sale.

11. The typical “for sale by owner” home sold for $150,000 compared to $215,000 for the average agent-assisted home sale.

All Contents ©2012 The National Association of Realtors®.

Year over year home sales in the Emerald Coast  from December 1 2010 to November 30, 2011, are up 17% per Emerald Coast Board of Realtores MLS statistics, versus 9.2% for all of Florida, as published today by the Florida Association of Reatlors.  Year over year condo sales in the Emerald Coast Association of Realtors MLS area are up an even more astonishing 33.5% for the year.  Nonetheless,its still a buyer’s market.  For sale inventory is  good, prices are  right, and interest rates  remain at historic lows.

Try hazarding a guess as to how many beachfront 2 bedroom 2 bath condos are on the market right now, 10 years old or newer, priced at $500,000 or less!  You may be surprised to learn the total is eight.   Destin:  2, both in Silver Beach Towers.  Miramar Beach:  0.  Santa Rosa Beach: 0.  Seagrove Beach: 6, one in the Legacy, four in the Dunes of Seagrove, one in Watersound.  This is just another example demonstrating the strength the Emerald Coast condominium market, relative to other Florida and Gulf Coast markets.

Since September 1, 2011, the Destin MLS area reports 49 condo sales at an average square foot price of $215.89.  During the same period in 2010 46 sales were recorded at an average square foot price of  $206.54 per square foot.  This 4.5% gain in sold price per square foot marks the first overall positive gain in sold prices in six years.  Prices are good, inventory is good, and loans are available at the lowest rates in history!  Now is a good time to email us or give us a call and investigate purchasing your second home or vacation rental.

Comparing detached single family home prices in for Destin, September, 2011 recorded an average sq. ft. sales price of 177.48 sq. ft. on 29 closed sales, exactly the same numb er of sales experienced in 2010, when the average sq. ft. sold price was $165.18.  Its a good time to buy with selection choices remaining good and interest rates the lowest in history!

Overall, September condo sales  in the Emerald Coast Association of Realtors three county MLS area are up 25% for 2011 vs 2010, with 121 sales closed in 2011 vs 97 in 2010. Overall average sq. ft. sold prices are still declining at a rate of 0.25% per month, a far cry from the 2+% per month rate that we experienced in 2009.  In quality locations, prices are now stable with inventory vastly diminished, and some price points actually slightly increasing.