The Anna Maria Island Sun Newspaper


Vol. 17 No. 11 - December 28, 2016

REAL ESTATE

What will 2017 bring?

 

In a few days, we will be ringing out 2016 and ringing in 2017, a year that promises to be one of the more interesting in recent decades. But how will the real estate market fair during 2017? As usual, all of the experts who profess to be wicked smart in this area have an opinion and so do I.

In November, Realtor.com did its 2017 National Housing Forecast. Some of what was in its report predicts that the housing market will be slowing in the new year with moderate growth because of higher interest rates and first time buyers dropping out of the market. Home prices are anticipated to increase 3.9 percent and existing home sales are forecasted to increase 1.9 percent. Interest rates are expected to reach 4.5 percent, and, of course, its prediction may be proving correct since the Federal Reserve did increase the prime rate two weeks ago, indicating more increases in the new year.

Realtor.com is forecasting the homeownership rate will stabilize at 63.5 percent after reaching the bottom of 62.9 percent. In addition, it predicts that millennials and baby boomers will dominate the market, probably for the next 10 years.

Agreeing with Realtor.com is Nela Richardson, chief economist for Redfin. She agrees that real estate sales prices are decelerating, and the market normalizing. Redfin feels that home price appreciation will probably be between 3 to 4 percent. And as far as purchasing now, everyone agrees it’s a good time as long as you’re looking at a long-term investment. If you are counting on your home value going up by 20 or 30 percent in the next three years, you will probably need to rethink that.

However, Fortune and the National Association of Realtors are saying the coastal real estate markets are getting a major boost as the national housing market improves. Specifically, in Florida statewide prices are up 11.7 percent for single family homes to a median sale price of $220,000 according to Florida Realtors. Coastal markets in particular in Florida are seeing steady and improved sales and increased values.

For example, Key West has seen a 71 percent increase since last year in the median sale price to $769,500 for a single-family home, and a 33.1 percent increase from five years ago. Even the lower keys are seeing a 47.5 percent increase this year with the median sale price at $660,000 for single-family homes. Also in Florida’s Panhandle in Fort Walton Beach and Destin, their median sale price has increased 15.7 percent since last year for single-family homes. Finally, Miami, Ft. Lauderdale and West Palm Beach also are seeing a significant increase in the median sale price of 11.7 percent. This is a great turn around for this region that again is attracting international buyers.

With all of this coastal real estate good news, Anna Maria Island and the coastal areas of Manatee County are right on their heels, improving in increased appreciation and improving sales with every season that passes. October’s median sale prices in Manatee County are up for both single-family homes and condos at 8 percent and 2.5 percent, respectively.

Wicked smart economists notwithstanding, my opinion goes back to my column from two weeks ago – “All real estate is local.” You can crunch numbers and analyze all you want from the safety of a mahogany desk in Washington, but until you get on the ground in local communities, you don’t know a thing. So, take that opinion into the new year and get ready for a whooper. Happy New Year.

Real Estate Transactions
Real estate transfers of June 2016

Sponsored by Alan Galletto Island Real Estate

Sold Date | List Price | Sold Price | Address | Provision | Property Style

Anna Maria

16-07-11 625,000 525,000 122 Oak Ave 1176 3 Br/2 Ba SFR
16-07-08 745,000 689,000 405 Spring Ave 1696 4 Br/3 Ba SFR
16-07-01 899,000 850,000 302 Tarpon St 1878 3 Br/2 Ba SFR
16-07-05 1,099,000 919,000 525 Kumquat Dr 2288 3 Br/2 Ba SFR
16-07-22 1,200,000 1,100,000 116 Peppertree Ln 1996 3 Br/2.5 Ba SFR
16-07-14 1,250,000 1,153,500 229 Chilson Ave 1597 3 Br/3 Ba SFR
16-07-21 1,250,000 1,170,000 238 Lakeview Dr 2281 3 Br/2 Ba SFR
16-07-25 1,745,000 1,600,000 909 N Shore Dr 1868 3 Br/3 Ba SFR
16-07-25 3,500,000 3,300,000 825 N Shore Dr 3486 3 Br/4.5 Ba SFR
16-07-21 620,000 580,000 218 Palmetto Ave 1648 52x100 Duplex
16-07-15 399,000 350,000 710 N Shore Dr 60x85 Vac.
16-07-07 495,000 470,000 401 S Bay Blvd 76x105 Vac

Bradenton Beach

16-07-01 1,495,000 1,495,000 106 4th St S 3000 6 Br/5 Ba SFR
16-07-01 379,900 349,000 1301 Bay Dr N #5a 1079 2 Br/2 Ba Condo
16-07-28 610,000 585,000 1417 Gulf Dr N #1417 1524 3 Br/2.5 Ba Condo

Cortez

16-07-26 1,800,000 1,720,000 12614 Baypointe Ter 4677 3 Br/3.5 Ba SFR
16-07-12 123,500 107,500 12334 Baypointe Ter 110 x 151 Apx Vac.

Holmes Beach

16-07-11 489,000 475,000 406 Bay Palms Dr 1332 2 Br/2 Ba SFR
16-07-06 549,000 490,000 308 56th St 1080 2 Br/1 Ba SFR
16-07-12 579,000 575,000 208 Haverkos Ct 2181 65x98 3 Br/2.5 Ba SFR
16-07-18 619,000 620,000 5802 Imperiore Ave 1020 2 Br/2 Ba SFR
16-07-20 650,000 650,000 304 60th St #B 1150 3 Br/2 Ba SFR
16-07-15 849,000 790,000 206 67th St 2139 4 Br/3 Ba SFR
16-07-27 999,000 975,000 307 74th St 1676 3 Br/3.5 Ba SFR
16-07-11 1,299,000 1,185,000 671 Key Royale Dr 2885 221x78 3 Br/2.5 Ba SFR
16-07-19 2,190000 1,800,000 512 59th St 4544 6 Br/4.5 Ba SFR
16-07-11 2,399000 2,100,000 625 Key Royale Dr 3118 4 Br/3.5 Ba SFR
16-07-05 375,000 350,000 3215 Gulf Dr #3215 672 1 Br/1.5 Ba Condo
16-07-01 360,000 360,000 600 Manatee Ave #205 1187 2 Br/2 Ba Condo
16-07-01 389,000 375,000 3402 Gulf Dr #3 359 2 Br/2 Ba Condo
16-07-18 415,000 392,000 5806 Gulf Dr #204 1078 2 Br/2 Ba Condo
16-07-15 499,900 485,000 6006 Gulf Dr #111 1154 2 Br/2 Ba Condo
16-07-11 395,000 367,500 3009 Avenue E 751 2 Br/1 Ba Villa
16-07-26 469,000 425,000 5613 Guava St #A&B 1580 57x105 Duplex

Source: Mid Florida Multiple Listing Service


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