Larry Chatt here, I hope everyone is enjoying their summer? Real Estate on Anna Maria Island has been a mixed bag of results for buyers and sellers for the last six to twelve months. If you are a buyer looking for product that is 5+ years or older and may need a renovation here or there then life is grand. There is plenty of great real estate for sale on Anna Maria Island and sellers are recognizing demand is low which requires reducing price as needed. Of course a great situation for buyers but not so good for sellers. On the other hand, if you are a buyer looking for new construction you are likely becoming frustrated over the high demand of new real estate. High demand correlates with little negotiating room for buyers and sellers know it. Sellers are still negotiating but very little. New construction prices are being driven higher and higher and appear no relief in sight. At least for the last five years one thing is true, if you are a buyer of new construction, the sooner you buy the less it will cost. Our local naughty 7 letter word, Red Tide, did impact real estate on Anna Maria Island last year. This is evidenced by inventory absorption for the last quarter of 2018 and first quarter of 2019. Inventory absorption often provides a leading indicator of the health of supply and demand for real estate in an area. Our chart measures how many months of real estate is for sale during a given snapshot in time. The chart shows for the first time in almost 10 years we saw two data points of Anna Maria Island real estate inventory exceeding 12 months. The good news is that in the second quarter of 2019 demand has bounced back and we seem to be back in normal territory. If you have any questions about Anna Maria Island Real Estate please call on any of our full time real estate sales professionals. We would love the opportunity to help!
Keep up to date with NEW offerings here! Newly listed properties for Sale will be featured frequently – keep checking to see if one may be your perfect “peace” of paradise!
October 2019: Tradewinds #30
Your ideal island escape awaits you at Tradewinds! This beautifully updated 1 bed/1 bath condo is perfectly situated between beach and bay and enjoys the benefits of short term rentals! You will love your brand new kitchen with granite counters and wood cabinets, updated interior paint and brand new floors, so there is nothing to do but set your bags down and enjoy! Sit on your private front porch with lush green trellis and enjoy the Gulf breeze, or grill up some eats in the picnic area right next to you. Relax at the Bayfront pool, or walk to the private beach entrance you share with sister property Tortuga Inn, and grab a beach chair and unwind on the sugar sand beaches of Anna Maria Island! This wonderfully updated beach haven is worry free and a great rental near shops, eateries and the free trolley! Generate income while you’re away, and relax and enjoy the island when you come to stay!
AFTER CLOSING: So your Island Real Estate Sales Agent has been there with you through the closing, but the work isn’t done! You’ll need local vendors for both routine maintenance and special projects. Critical to keeping your curb appeal is choosing a landscape maintenance vendor that is right for what you envision your property to be. Some homeowners prefer a precision trimmed yard and others love to have the native plants grow lushly for a more tropical feel. It’s important you both are familiar with any currently installed irrigation systems at your new home and ensure the timers are set around local watering rules, if any.
Discussing fertilizer and pest control spray procedures and schedules is important too so make sure to add that to your list when interviewing landscapers. Keep in mind growing seasons are unique in Florida where we are considered a sub-tropical zone for planting.
MARKET CONDITIONS by Broker Lawrence Chatt: The Anna Maria Island real estate market continues to remain strong for single family homes. No question Anna Maria Island Real Estate is a strong investment. 20 years ago the average single family home on Anna Maria Island was $275,000. Today the same property on average is worth more than 1 million dollars. That correlates to a 7% appreciate rate for the last 20 years. Couple that with the earning power of vacation rental income and that makes for an impressive return. While you can see single family homes over the last 20 years have provided a strong return most buyers on Anna Maria Island are not purchasing real estate for their potential financial returns. They fall in love with the island and want to hop on the Anna Maria Island “bus” as soon as possible given the history of escalating prices and potential that the “ridership” of Anna Maria Island may outpace future earning power. Potential residents of Anna Maria Island don’t want to see themselves get priced out of the market. Speaking of which, here is a great article by a local newspaper that provides statistics about the 1 Million dollar real estate club known as Anna Maria, at least forecasted for 2018.
Let me try to answer the age old question… “How is the real estate market on Anna Maria Island?” This as anyone can imagine is a difficult question to answer. This newsletter is meant to provide general real estate information about Anna Maria Island real estate but for sure there are several micro markets within Anna Maria Island real estate. Not to bore you but below is a bullet list of our micro real estate markets.
Which city is the property in? Anna Maria, Holmes Beach or Bradenton Beach?
Does the property have favorable rentability? That is if duration and/or frequency is limited for vacation guests.
What is the location of the property as it relates to water? Is the property gulf front, gulf views, canal, bay, open water and the list goes on and on.
Is the property a single family, condo or duplex?
As you can see it is dangerous to attempt to purchase property without a local full time real estate professional. I can’t tell you how many proud new owners of property on Anna Maria Island called to receive help renting out their property and I was the bearer of bad news. Either the location was too far from the beach or worse yet the property was restricted to 30 consecutive day rentals. Normally when I asked who helped them purchase their property it was a relative from another area or a real estate professional in Sarasota or Tampa. Please, dont do it!
Below is a proprietary chart that supplies more than 10 years of real estate data on Anna Maria Island only. The blue vertical bars show by quarter the amount of real estate transactions. The Red line shows the 1 year rolling average of property transactions. The Green line shows the 5 year rolling average and the purple line shows the 10 year moving average.
Why am I showing you this chart? This can be used to forecast when the market is getting close to a correction. I usually like to use the 5 year moving average however some prefer the 10 year as the benchmark. If you review the last year and half you can see the 5 year rolling average has leveled. Most statisticians would also point to the areas where the 1 year rolling average dips below the 5 year average and of course points to a general trend of values going down on the island. BUT, not so quick. This is where micro markets are affecting the rolling averages. Single family properties within 3 blocks to the beach have been appreciating very well while condos have not and have been flat at best for the last two years. How muddy did I just make the water? I hope pretty muddy and believe it or not my main point is that the answer of “how is the real estate market?” depends on AT LEAST the bullets I listed above. Ask specifically about single family homes and my answer is “very well”, averaging double digit appreciation the last 5 years. Ask about condos and my answer would be “not great.” Inflationary appreciation for the most part and the real question is when will condos catch up to single family homes? Sorry, don’t have that answer. You can be assured if I see any of our supply and demand charts providing insight appreciation is coming I will be sure to provide that information in this blog.
The summer has come and gone and we are entering into fall! The atmosphere changes from tourists bustling around the Island enjoying vacations with family and friends to less crowded locals soaking up the peace and quiet for about a month on Anna Maria Island. I find fall sunsets to be the most beautiful because the skies are a much deeper blue and late afternoon showers give way to more grandeur sunsets! It is a perfect time for couples to nestle their chairs in the sand and let the sunset serve as their entertainment. The turtles are still hatching and the shore birds, dolphins and manatees all add that touch of wildlife for which Anna Maria Island is so well known especially to the locals. Soon we will see fall festivals happening along the Gulf of Mexico, both on and off the Island offering seafood and live music as well as arts and crafts. Islanders are always excited to put on their jeans and open their windows to feel the cross breezes and fresh air! And at the end of the day we find our reward for hard work is to be able to walk to the beach to rest and relax as we experience another amazing sunset pulling the shade down as day fades into night…as summer fades into fall!
Created by Melinda Bordes Melinda@annamariasunset.com 941-705-0146…Whether buying or selling real estate on Anna Maria Island or surrounding areas feel free to call me to assist you in the process. Together we can find that perfect slice of paradise so you can soak up our amazing sunsets no matter the season!
Once again I witnessed another bold sunset and had the pleasure of sharing it with some lovely ladies who had just arrived that day for another adventure on Anna Maria Island! They have stayed with Island Real Estate over the years and commented on how great our rental department had treated them in the past. They also bragged on our maintenance department claiming how helpful they had always been if they needed anything. They are part of a group and other family members will be joining them to make some wonderful memories and enjoy the fragrances of the Island! After our exchange it was time to get serious about the sunset before us. It was quickly dropping into the Gulf of Mexico and the skies were so blue and not a cloud to be found! Just as soon as the top of the sun dropped out of sight there was a splash of deep aqua green that seemed to spray up from the sunset…The Green Flash! We all started asking “did you see that”? You could hear people clapping up and down the beach! It was a perfect sunset and the green flash was the exclamation point at the end of the sunset! Perhaps it is time to put your toes in the sand and capture one of our sunsets that make you go aw-w-w-w-w! Enjoy the sunset!
By Melinda Bordes 941-705-0146 or firstname.lastname@example.org…Whether buying or selling on Anna Maria Island or the surrounding areas let me assist you in the process of owning the perfect piece of real estate where you can fill your sand bucket full of sunsets!
Anna Maria Island sunsets are amazing this time of the year the Island. For the first time in a while we are experiencing a nip in the air with soft breezes and brilliant blue skies. The humidity has dropped and everyone is in a fall kind of mood! We had more rain than usual this summer and temperatures were sweltering at times. It felt more like a sauna which is nice if you are floating in the azure waters of the Gulf of Mexico! Have you made your plans for a fall getaway? We have some wonderful beach cottages with your name on it. Come and breath in the salt air and let the sunset hypnotize you into a complete relaxed state of mind! Please enjoy the sunset!
Created by Melinda Bordes Melinda@annamariasunset.com …Whether buying or selling real estate on Anna Maria Island or surrounding areas call me to assist you in the process. Together we can find that perfect slice of paradise so you can soak up our amazing sunsets!
The clocks have been turned back and we are headed towards the holidays and season here on Anna Maria Island. This week we are going to experience a drop in temperatures with a high only in the low 70’s! Although this cold wave will not last long and we will see the 80’s back soon it is always a thrill after the steamy summer passes to feel a bit of fall in the air. We do not experience color change in the leaves like our northern neighbors and many of our exotic plants are in full bloom! It is truly the tropical feel of the Island that is such a lure to our beloved Snowbirds, not to mention the much warmer temperatures even as fall fades away and winter casts it’s shorter days and creates the need to layer our clothing. Most winters one can easily secure a tan even though you may have to hide from a chillier wind! For those of you that are blessed to live here year round I believe I can speak for you and say we love the adventure of the change in seasons and relief from the heat of summer. We are thankful for our tropical breezes that cool us in the midst of summer and the bath-like waters that refresh us in the heat of the day. No matter what season you choose to visit the Island you will never be disappointed…you will always experience that rush of calm and peace as you cross the bridge to the Island and enter our “step-back-in-time” atmosphere. You will be entering a zone where nature abounds, sunsets amaze you and you will not be able to wipe that smile from you face…yes, it feels that good on Anna Maria Island! Come and enjoy a spectacular sunset…you will want to stay forever! IMG_0700
Written by Melinda Bordes, email@example.com. If you are thinking of buying or selling real estate on Anna Maria Island or surrounding areas please feel free to contact me and I will gladly assist you with all of your real estate needs. The pace of this market is fast as buyers have waited for the market to become solid and just make more sense. The prices have hit bottom and some say we are now headed in an upward direction. Inventory has dropped drastically and we are seeing multiple bids which is your best indicator that we are in a very healthy market. If you have been waiting to purchase or list your home now is the time as we head into season. Now is the when you have been waiting for to fulfill you dreams of ownership on Anna Maria Island. Our sunsets just increase the value of you home and they cost you nothing!