“The South is HOT!”
Since this is winter in the Rosemary Beach community, the temperature may not be “hot” right now, but the Real Estate market surely is! Our community has sold over $92 million year-to-date and that’s 53% more than last year. We have the highest average price of $1,539,050 of any Traditional Neighborhood Development on SCENIC HWY 30-A and are proud of that 12% increase, compared to the 8% for all of SCENIC HWY 30-A. While other neighborhoods still have land to develop, we do not have but one residential lot left to purchase. We have 53 homes/condos available to buy and have sold over 60 this year-to-date, so the demand is clearly greater than the supply of homes and condos on the market.
In addition to shopping for real estate, there is a lot to entertain you during the first quarter of 2015… the 30A Songwriter’s Festival will be bigger and better than ever, and “Girls Getaway” is always fun in January, then a Valentines Day celebration before the Spring Breaks start in March.
The Joint Center for Housing Studies at Harvard University made a presentation l attended that the fastest recovering housing market in the country is the SOUTH! The national average is 6 % (comparing August 2013 to August 2014), and the top increases in the country are New Orleans +14%, Houston +13%, Miami +17%, Orlando & Tampa +12%, and Atlanta +16%. Optimism is high in all key markets with 80% agreeing that “residential markets will improve over the next 1Rosemary Thymes Article Holiday 2014 – Spring 2015
At a recent Luxury Real Estate conference in Boston, l had the opportunity to hear a report about the “Mindset of the Luxury Real Estate Buyer”, presented by the Wall Street Journal. The outlook is “bright” as the growth of high net-worth individuals accelerated in 2014 at the fastest rate since 2000, a record high of 14 million, up 15% since 2013. Million dollar homes are selling at twice the historical average, up 8% from last year. Vacation properties are now 13% of the total Luxury market, which is the highest in 7 years. Cash purchases are at an all-time high of 45%, up from 30% in 2012.
When asked “Where do you want to purchase?” 33% said the SOUTH for primary residence and 38% said the SOUTH for a secondary home. This is compared to 27% in the West, 22% in the Northeast, and 16% in the Midwest. Sounds like to me that the nation has found out about the “good life in Paradise”.
The Joint Center for Housing Studies of Harvard University believes that these are the lowest mortgage rates we will see in our lifetimes, so now is the time to use your borrowing power for an investment property. 73 million “baby boomers” will age into pre-retirement & retirement stages in the next 5 years and 2/3 of them agree that real estate helps diversify my portfolio, and 1/3 of them own a vacation/secondary home. 68% of them who own a second home use it for vacation property and 32% use it as a rental/investment property.
Gulf front property is always interesting to follow and “they just aren’t making any more of it” as people say. There are only 14 Gulf front lots on the market and they range from $1,400,000-4,000,000. 8 lots are under contract to close soon, and 21 have sold this year-to-date. Paradise by the Sea” lots have brought the highest price this year, selling 2 for $2,750,000 each. The average price per “gulf-front foot” for vacant land in 2014 is $30,951. As for homes on the gulf, there are only 23 available to purchase, ranging from $1,200,000 for a honeymoon cottage (with 672 sq. ft.) up to $11,800,000 for a 3043 sq. ft. home (adjacent to & including 2 other lots on the gulf). 5 Gulf front homes are under contract to close soon, and 23 have sold this year. Prices of homes sold on the Gulf range from $1,250,000 for a 2588 sq. ft. home in the Sandcliffs subdivision to $8,343,750 for 5208 sq. ft. in the Rosemary Beach community, sold by our own, Team Stevens. In the past month, we have put a Gulf front lot and a Gulf front home under contract for cash to close before the end of the year.
There are only 2 Gulf front homes available to purchase in Rosemary Beach at this time, so now buyers are asking for good “Gulf views” instead. It is a short walk to the most beautiful beach from anywhere in our community, and remember that all of our boardwalks lead to the beach….IF you are heading south, that is.
Come by our office at 78B North Barrett Square and let’s talk real estate! We are open 7 days a week and there is always a professional available to help. You will be greeted with a SMILE. Promisel