PCB New Year Market Preview 2013

By Tim French in ARCHIVE newsletters.

 

Greetings from THE BEACH,

There is no doubt in my mind that this is the year that the condo market on Panama City Beach makes national news. I attended some Continuing Education classes recently and the talk of the agents was lack of inventory on the beach. Many asked me what I had for sale at AQUA, but I really don’t like to give out information on the best deals in the building. I don’t need any help in selling the premium condos at AQUA. 

 

Here is some of the evidence indicating PCB is a classic emerging market. 

 

1) The airport continues to expand services, revenues, and new flights into Panama City Beach. Recently Southwest added a direct flight from St Louis.

 

2) Panama City Beach tops all Florida cities for tourism growth!

http://www.newsherald.com/news/business/local-tourism-makes-big-economic-comeback-1.87767?tc=cr

 

3) Northwest Florida secures highest grant in Florida history for highway construction.

http://www.nwfdailynews.com/local/record-road-spending-approved-for-northwest-florida-1.87733?tc=cr

 

4) Ground breaking recently on the new Pier Park North.

http://www.newsherald.com/news/business/partners-officials-break-ground-at-pier-park-north-video-1.87147

 

5) Beach Walmart ready to roll.

http://www.newsherald.com/news/business/beach-wal-mart-seeks-200-workers-1.76831?tc=cr

 

6) Movie being filmed in Panama City Beach. More to come………….

http://www.newsherald.com/news/east-side-story-begins-shooting-sunday-video-1.77863?tc=cr

 

7) Harley Davidson building facilities and showroom on Back Beach Road.

http://www.facebook.com/photo.php?fbid=10151331896844860&set=a.379553234859.159005.374160214859&type=1&theater

 

8) Panama City Beach real estate sales making strong recovery.

http://www.newsherald.com/news/business/housing-sales-prices-increasing-1.83480

 

I hope the first week of the year is an indication of what’s to come. I have two condos under contract, and several more close. Lot’s of inquiries and interest. I had low expectations after the election, but it appears that investors are not happy with their options and a condo on a WORLD FAMOUS BEACH, that they rent and retire, looks pretty attractive.

 

 I’ve been in Panama City Beach since 2007, and have made some great friends on the beach. I truly enjoy keeping owners and prospective owners updated on the events and real estate market in PCB. For two years after we closed on AQUA, I showed condos diligently and enthusiastically even though there was no shot at selling condos in that horrible market.

 

One thing I did do was stay in touch with the people I have met. Here’s something I got from a prospective buyer recently.

 

My brother ……… and myself still have a unit at Splash and I am still interested in acquiring another unit there as the rentals have been great. I am looking at Aqua for a personal unit for myself.  I wish we would have dealt with you when we bought the Splash Unit as the agent was kind of on second base thru out the transaction of the sale. You have kept me informed with your  News Letters to keep my  interest in PCB condo market up.

 

 

 

In general condo sales are trending upward. As you know there are some developments with bankrupt HOA’s, lawsuits, and building defects. However, the inventory of condos is decreasing and most of the distressed property has been purchased.

 

Pier Park remains the focal point of the high end buyer. The consensus of prospective buyers that understand the importance of location and quality, is that this area will appreciate faster than others as the market continues to strengthen. Those are the buyers I target. 

 

AQUA’s rentals have increased every year since we opened in 2007. Even during the tough times of the BP oil spill, we remained full. Ultimately,that income will determine value, and sale prices have risen in the last year. 

 

I had a contract on a B1 (1,273 sq. ft. 2 br 2 bath w/bonus) this summer and Chase  sent out an appraiser. The appraisal came in at $338,500 or $266 a square foot. That is a good place to start on the values of AQUA condos, although I had one sale at $282 a sq foot in 2012. 

 

As the inventory of the more aggressive seller is depleted, prices will rise because owners will refuse to sell at the bottom, so I fully expect to put condos on the market at higher than the $266 appraisal. 

 

Here’s the AQUA condos on the MLS at this time. I have several 1, 2 and 3 bedroom units that will be sold privately. If you have any interest in what is available for sale, don’t hesitate to call me.

 

 

MLS# Area Subdivision Cat Address Typ SqFt BR Bth YrBlt Price
506607 03 AQUA RES 15625 FRONT BEACH RD, #905 CND 1,283 2 2/0 2007 $325,000
604845 03 AQUA CONDO RES 15625 FRONT BEACH RD, #1004 CND 1,283 2 2/0 2007 $329,500
506670 03 AQUA RES 15625 FRONT BEACH RD, #304 CND 1,283 2 2/0 2007 $330,000
606121 03 AQUA RES 15625 FRONT BEACH RD, #1007 CND 1,273 2 2/0 2007 $360,000
606089 03 AQUA RES 15625 FRONT BEACH RD, #1209 CND 1,569 3 3/0 2007 $440,000
371151 03 AQUA RES 15625 FRONT BEACH RD, #2004 CND 1,283 2 2/0 2007 $465,000
375795 03 AQUA RES 15625 FRONT BEACH RD, #307 CND 1,273 2 2/0 2007 $494,900
373297 03 AQUA RES 15625 FRONT BEACH RD, #607 CND 1,273 2 2/0 2007 $570,000
373299 03 AQUA RES 15625 FRONT BEACH RD, #1002 CND 1,716 3 3/0 2007 $770,000

–Information deemed reliable but not guaranteed–Copyright: 2013 by the Bay County Association of REALTORS® 

 

Have a wonderfully prosperous and healthy New Year!

 

Life’s a beach,
Tim French


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