'Period of adjustment' for Island real estate
The Nov. 21 issue of the Anna Maria Island Property Sales Report has indicated that while the Island real estate market may be in a period of market, the future is still bright.
Condominium prices might be leveling off, but single-family home values are still rising, the report said.
The AMIPSR reported that the average price of an Island condominium sale for October 2005 was $548,422, down slightly from the $559,950 average for the same month last year. However, noted the report, only two condos were sold in October 2004, while 18 units closed during October 2005.
On the single-family-residence side of the ledger, however, the eight such units that sold in October 2005 averaged $735,375, a 7-percent increase from the $684,000 average in October 2004. The average list price of a single-family home on the Island was $1.147 million with an average of 1,928 square feet of living space.
The inventory of properties for sale continues to rise, the AMIPSR noted, as there were 364 active listings last month compared with only 200 listings last year at this time. That's not a major concern when compared with the entire county, as listings have tripled countywide since last year, the report said.
"There is no question the market is entering into a period of adjustment," the report said. "It would be irresponsible to think we will continue to experience the staggering appreciation figures of the last three years."
But Anna Maria's real estate economy is well-protected and demand is high, the AMIPSR observed.
"Anna Maria Island is a paradise where a vast number of people want to come and enjoy the uniqueness, tranquility and high quality of life. Investing wisely will never be a bad idea because there is just so much beach and a finite amount of land that will always be desirable in the long term," concluded the report.