Tag Archives: Longboat Key Condo Market

PENDING REPORT JUNE 10, 2017

Pending sales (new contracts executed) are the best indication of current demand. The pending report provides a current week, 4-week, and 13-week view of this important statistic across 6 markets by price point range. The biggest difference between pendings and actual sales is timing. The contract or pending date is the date the contract was executed. The contract is not considered a “Sale” until it closes, on average, about 30 days after the contract date. Another difference is that not all pending sales close.

 

Pendings for the week ended June 10, 2017

Pendings (New Contracts) for Lonboat Key, Downtown Sarasota, Lakewood Ranch, and West Bradenton ~ June 10, 2017

Pendings (New Contracts) for Lonboat Key, Downtown Sarasota, Lakewood Ranch, and West Bradenton ~ June 10, 2017

This was another solid week, compared to last year, in nearly every area followed. Bad weather must have sent people shopping, rather than beaching.

The “over a million” price point in downtown continues to grow. For the past 13 weeks, pendings with prices over a million dollars amounted to 20% of the total. Last year, they accounted for only 16% of all pendings. For the past 4 weeks, the top of the market listings has accounted for 27% of all pendings Downtown, compared with only 8% last year.

Next Quarter

If you have your home on the market or are thinking about putting it on the market, it’s always interesting to look ahead at what the next few weeks may bring.  The consensus is that the third quarter is slow, but that’s not the case everywhere.

 

The chart shows last year’s percentage of pending sales by quarter.  There is surprisingly little seasonality in any of the markets, other than Longboat Key.  Even the Longboat Key condo market is not horrible. Last year, 66 condos went to contract in the 3rd quarter, compared to 91 in the 2nd quarter. That works out to about 22 per month in the third quarter, compared to 30 per month in the second quarter.  Next quarter should provide plenty of opportunity for a well- priced listing to find a buyer.

 

Longboat Key Condo Inventory September 2016

New Construction Condo Sales Accounts for All Condo Sales Growth on Longboat Key

Longboat Key Condominium Sales Volume

Longboat Key condo sales were up 4% in the current period, compared to the previous year. New construction sales accounted for 26 sales, about an 8% increase over the previous year. The price points for new construction sales ranged from $2.9 M to $5.1M. Given that only 5 resales closed for more $2.9 M or more, with the highest being $4.2M, it is unlikely these sales took much away from the resale market. That means resales on the Key dropped about 4% during the year.

Click to Download Recent Longboat Key Condominium Sales Addresses/Prices

Looking at sales by price point confirms this. The decrease in sales came from the under $1 M price point (down 10%). If anything, new construction brought more lookers to the Key in the higher price points, as the resales priced over $2 M increased by 50% (from 12 last year to 18 this year).

lbkcondo-upd-92016-salesvnewlists

Longboat Key Condominium New Listings

New Longboat Key condominium listings increased to 491 during the current period, compared to 404 during the previous year, for a 21% increase. While the under $1 M price point showed the smallest increase in listings, there were still 19% more listed this period than last, implying a shortage of inventory was not to blame for the fall in sale.

Median Sales Price- Longboat Key Condominium Sales

The median sales price increased to $575,000 for the current period, compared to $510,000 for the previous period or about 12.7%. The high values of the 26 new construction sales (ranging from $2.9M to $5.1M) accounted for more than $50,000 of the increase. Without new construction sales, the median price would have come in at $525,000 or just a 2.9% increase.

Longboat Key Condo Median Sale Price

Longboat Key Condo Median Sale Price

Unsold Longboat Key Condominium Inventory at September 30th

Unsold inventory at the end of September stood at 180 listings, up 50% over the 121 available for sale at the end of September 2015. The increase is largely the result of an increase in new listing offset by a few more sales and expired/withdrawn listings.

Longboat Key Condo Inventory September 2016

While the increase looks huge, it’s only because of the unusually low inventory on-hand during the second half of 2015. The 121 listings available for sale last September was a 10-year record low for any month. If you compare 2016 to the number of unsold listing on-hand at the end of September 2013 and 2014 (190 and 172, respectively), things look more normal.

The median asking price of ending inventory dropped 11.7% to $849k at the end of September 2016 from $961 at the end of 2015.

 

 

 

 


Click box to see current Longboat Key Condominiums listed for sale by price point

Under $500k    $500k-$1,000k    $1,000k-$2,000k    over $2,000k


Other Miscellaneous Longboat Key Condominium Stats

  • During the current period, 34% of all listings that sold were on the market for 30 days or less. In the previous period, only 24% of listings were on the market for 30 days or less.
  • Median days on the market for a sold listing was 69 this year, compared to 89 last year.
  • The average listing sold for 96% of the listing price this year, compared to 95% last year.
  • There were 5 distressed sales (foreclosure or short sale) this year, compared to 12 last year.
  • Expired and withdrawn listings totaled 119 this year or about 24% of all new listings, compared to 104 last year or 25% of all new listings.
All of the key statistics on the Longboat Key condo market

Longboat Key Condos-List Yours Now, Be 1% of the Market

All information below relates to the Longboat Key condo market. All data is from My Florida Regional MLS and Trendgraphix for the time periods and price points indicated.

but face 33% chance that you won’t sell at all. Read on!

Sales of Longboat Key Condos were Strong for September, Flat Over Past 12 Months

Sales for September were strong, up almost 50% over the previous year. At month end, there were also 27 residences under contract (pending) compared to only 19 at this time next year. That says we will most likely have a bigger October this year than last as well. On a rolling 12 month basis, sales are down slightly from 362 sales last year to 346 sales in the most recent 12 month period.

Unsold Inventory of Longboat Key Condos is at or Near Historic Lows

The 121 residences currently on the market represent one of the lowest levels of inventory since the boom in the early 2000’s. As always, when inventory starts to shrink, the bottom price points start to disappear first – due to appreciation and faster rates of sale. There were only 39 residences listed for under $500k at the end of September which accounted for less than 33% of the unsold inventory. As a comparison, last September there were 77 residences listed for under $500k which accounted for 45% of all listings.

Longboat Key Condo listings up 25% Over Prior 12 Months

Longboat Key Condos - Market stats for month and past year

Stats for the Longboat Key condo market. Click image to enlarge

The number of new listings over the past 12 months is nearly 25% higher than the previous period. With tight inventory and an overall great sales environment, this would normally translate into higher sales. However, as mentioned above, sales are down over the past 12 months compared to the previous year. The reason is that expired and withdrawn listings are up 50% from 104 to 151. Over the past year, there have been only 2 sales for every listing that has expired or been withdrawn. On the surface you would think the sales environment was horrible – you have a 1 in 3 chance that your home won’t sell at all. It’s not a bad environment and there is clearly nothing wrong with condominiums on Longboat Key. Look further down on the chart and you will see that 89 of the 349 sales look less than 30 days to go to contract. That is a sign of very good sales environment.

I think the reason for the high level of expired/withdrawn listings and flat sales volume is that there is a tendency for sellers to try to overreach on price as the market continues to fly. In prior years (like 2006), this didn’t really matter as people would pay anything just to get a place on Longboat- after all, it was going to be worth another 25% more next year. However, since most buyers on the Key are older than 20 somethings, most have heard this story before and know how it can end. Nobody in today’s market wants to walk out of a closing with home worth some medium-sized-5-digit-number less than they just paid. Today’s buyer will wait you out.

Additionally, advances in the quality and depths of information provided by the larger real estate websites (like Zillow and Trulia) make it easy to evaluate price. Zillow will show you the subject property on a map along with all other active listings and recent sales. You can see prices, price history, pictures of the interior, the view and the exterior of all active listings and even the sales, if the property was ever listed for sale in any MLS system. Both Zillow and Trulia will also provide you with an estimate of value. You can also get an instant home valuation on this site by clicking the Instant Home Valuation Button on the right. Not only will you receive the value but also all of the comparable listings and sales. I will also provide the Zillow estimate as part of the report if you select that option.

If you would like to discuss the sale of your Longboat Key condominium or know of someone that needs help with any sort of real estate need, please feel free to give me a call at 941-545-8706 or use the refer a friend button on the right.