A Critical Look at Sanibel’s Real Estate Market


If you are lucky enough to be here this week, I bet you are enjoying the fabulous weather, yet occasionally grumbling about the traffic. It has remained remarkably summer-like for days. A mini-cool front is here today (has already cooled into the 60’s), but it will be back into the 70’s tomorrow and expected to continue like that until the end of next week when another cool front is expected. More about that then.

The extra visitors from the Monday holiday have made it challenging for those coming on-island in the morning and traveling off- in the afternoon. Periwinkle Way has not been our friend, but those directing traffic at the 4-ways should be commended for keeping things moving even when it is at a crawl. Seriously, the great weather makes up for it. Nothing like having the sunroof open to a bright blue sky in February.

Beach

Mayor Ruane Speaks at Association of Realtors® Membership Meeting

Yesterday, was the Sanibel & Captiva Islands Association of Realtors® February Membership Meeting and breakfast. Those events usually are held in the Association’s building, but this one was hosted by The Community House (Sanibel Community Association.

2020-02-20 Membership Mtg

Community House logoThe Community House – has been serving the islands since 1927 as a gathering place for social events. It was there that many island organizations and non-profits began – and where the City incorporation vote took place in 1974. Remodeled just three years ago, the new historic Community House today is a meeting place for many island clubs and the venue for island events, like the Shell Fair. Classes are held there, the facility rooms are available for rent, and the new Culinary Education Center of Sanibel is there with resident chef and cooking classes offered. The buffet breakfast spread put out yesterday was amazing.

Sancapbank logoSanibel-Captiva Community Bank – Big thanks to David Wright and the Sanibel-Captiva Community Bank for sponsoring the breakfast. If you don’t know David, he is the bank Senior Vice President and heads their lending department. His segue into telling attendees about the bank was without a doubt the best segue ever. It is a great bank providing funding for many local businesses, renovations, mortgages, and more.

Sanibelcityseal logoMayor Kevin Ruane – This is the Mayor’s last term (his 11th) as he is running for a Lee County Commissioner seat. His speech on “the State of the City” included such tidbits as Sanibel’s millage rate now being the lowest in its history and how he has become a “professional beggar” to be successful in getting state and national attention and funding for the island’s biggest and most important resource – water quality. Not only are the City’s finances now in excellent order (as an accountant that’s what he knows best), but his leadership as President of Florida League of Cities (412 cities) continues to help us. He threw out such statistics as the real estate and tourism value of Florida cities affected by water quality. That number is mind-boggling at $2 trillion. Another excellent tidbit he mentioned is a quote that he remembers from Florida’s former Governor Scott: “One out of every ten visitors to Florida, eventually lives here.” That’s music to Realtors®’ ears. (Though I try to keep my Friday updates free from politics, I hope you vote for Kevin Ruane for County Commissioner. After cutting Sanibel’s taxes by 24% and increasing City reserves while reducing City debt by nearly 74%, it sure would be great for the county to also benefit from his financial prowess.)

Caravan Meeting – During the Caravan portion of these Thursday meetings is when Realtors® announce new listings, new sales, price reductions, and changes in homeowner and condo associations fees and assessments. The postings since last Friday in the Sanibel & Captiva Multiple Listing Service follow a couple of news items below. The first one may shed some light on why few sales were announced.

How’s The Market on Sanibel?

Realtors® are frequently asked “how’s the market”, so we often quiz each other with that very same question, comparing notes and trying to figure out why some properties are selling, and others are not. Is it easy to say, “business is always off a little in an election year”? Sure, and it usually is. But another complication is that the islands still are recovering from the effects of red tide in 2018/2019.

As a statistics-loving gal, I always find that trends also pop up when you least expect them.

The first table below confirms that home sales continue to outpace condo sales. It also shows that both condo and home sale prices over the last 12 months, as compared to the last election year (2016), are less than they were then. Exceptions are near-beach homes where the average sale price is up 5% and inland homes, where average sale price is up 25%, compared to four years ago. Other home category locations like gulf-front, bay-front, and canal-front show average sale prices down compared to 2016.

Looking at Sanibel condos, average sale prices are down when looking at total condo sales, especially those in residential complexes.

ON
SANIBEL
Sold in Last 12 Months
For Sale 2/20/2020
Sold Last Election Year, 2016
#
Avg $
#
Avg $
#
Avg $
All Homes
221
920,715
209
1,473,571
181
979,576
Homes on Gulf
3
3,033,333
12
5,902,833
7
3,604,500
Homes on Bay
4
1,708,625
11
3,646,909
2
2,132,500
Homes on Canals
40
1,177,078
40
1,315,162
38
1,232,362
Homes Near-Beach
101
827,585
78
999,398
83
788,889
Homes Inland
40
719,237
38
740,452
34
570,029
All Condos
136
699,373
140
819,776
143
717,768
 Residential Condos
16
866,615
22
1,019,172
32
931,230
Income-Producing Condos
120
677,074
118
781,736
111
656,229

The next table looks strictly at the number of Sanibel sales. There is about a year’s worth of inventory in homes and condos. Considering vacant lots, there is more like a four- to five-year supply.

Was there a dip in the number of sales during the 2016 election year? Absolutely. Was the market rebounding at a healthy pace when the red tide arrived in the summer of 2018? That analysis involves digging in the number of sales by month, but I can tell you that 2018 was a very good year until that happened. Then heavy red tide effects were felt last year. Since the water cleared last October, sales have been good – not excellent – but good.

crystal ballThe crystal ball (which I now keep on my desk) says that 2019, even with the upcoming election year, but barring an unforeseen international event, will continue to show market improvement on the islands, though supply and demand, as always, will rule. With inventory high for the time of the year and just eight weeks of high season left, it is going to be interesting to see how this year compares to 2016.

SanibelSusan always is optimistic, but cautiously this year.

# for
Sale
# Sold
2020 to-date
2019
2018
2017
2016
2015
2014
2013
2012
2011
All Homes
209
24
211
218
186
181
236
206
197
183
180
Homes >$2M
35
2
10
23
12
14
14
7
18
12
13
Homes <$600K
28
7
51
57
49
50
81
81
83
101
91
All Condos
140
20
127
155
140
143
160
164
162
151
141
Condos >$1M
36
3
21
27
22
23
29
22
12
11
15
Condos <$500K
52
12
44
48
49
47
71
71
82
79
67
All Lots
74
2
15
21
32
25
43
27
26
33
19

Thinking of Retiring to Southwest Florida & Wondering About Health Care Here?

lee_health_logo_masterHere is an article I saw on the internet this week: “Six Southwest Florida hospitals are among the top 250 hospitals in the nation for overall clinical excellence, according to Healthgrades. The private rating firm in Denver, Colorado, has released its report cards for the top performers among 4,500 hospitals nationwide.

“All four acute care hospitals run by Lee Health in Lee County are among the top 250 hospitals, or best 5%. (Lee Memorial Hospital, Cape Coral Hospital, Gulf Coast Medical Center and HealthPark Medical Center)

“Dr. Larry Antonucci, President and CEO of Lee Health, said in a statement the system is proud its four acute-care hospitals are among the best 250 hospitals. “Over the last few months our hospitals have received superior marks from the most-respected hospital-rating organizations in the country, and the consistency of these scores show that we are providing exceptional care to Southwest Florida,” he said in a statement.

“Overall, patients treated in top-performing hospitals have a nearly 27% lower risk of dying than if treated at a hospital that are not among the best, according to Healthgrades. Data used in the analysis is from the three years from 2016 through 2018 and involves Medicare data only.”

Gov. DeSantis Launches $8M Initiative To Make It Easier for Veterans To Buy Homes

pensacola news journal logoPublished February 19, 2020 in the “Pensacola News Journal”: Gov Ron DeSantis announced a new $8 million initiative to provide veterans with down payment and closing costs assistance to purchase new homes in Florida, part of a broader effort to ease veterans’ transition from active duty service to civilian life and attract more veterans to the state.

“The governor announced the initiative, officially called the “Salute Our Soldiers Military Housing Loan Program,” at the University of West Florida on Wednesday. The announcement came just hours after he was at the Pensacola International Airport to announce a $4.8 million grant for the expansion of ST Engineering’s new campus in Pensacola.

“The military housing loan program will take effect March 2, the governor told reporters, veterans and UWF staff gathered in the president’s office building on Wednesday. It will be available to both active duty military personnel and veterans, and will be administered by the Florida Housing Finance Corp. The plan will also offer assistance for securing low-interest mortgages.

“”These funds will assist over 1,000 veterans and active duty members by making the home buying process easier and more affordable. … More veterans calling Florida home is good for our state,” DeSantis said. “We look forward to the positive impacts that this program will have on the lives of our veterans. But this is also a selfish thing, because the veterans have a very positive impact on communities here in the state of Florida.””

Sanibel & Captiva Islands Multiple Listing Service Sanibel realtors logoActivity February 14-21, 2020

Sanibel

CONDOS

4 new listings: Tennisplace #B24 2/1.5 $339K, Casa Blanca #4 1/1 $360K, White Sands #23 2/2 $1.199M (our listing), La Playa #B3 3/2 $1.595M.

White Sands Aerial With Yellow Arrow on 23

The yellow arrow points to White Sands #23 where the gulf view is fantastic!

 

10 price changes: Mariner Pointe #952 1/1 now $389K; Sundial #I405 1/1 now $419K; Pointe Santo #D21 2/2 now $569K; Loggerhead Cay #263 2/2 now $628K; Compass Point #222 2/2 now $649K; Villa Sanibel #2H 2/2 now $717,007; Heron at The Sanctuary #3B 3/2.5 now $799K; Sanibel Surfside #126 2/2 now $824K; Gulfside Place #222 2/2 now $1.195M (our listing); Atrium 103 2/2 now $1.248M.

IMG_7811

This view at Gulfside Place #222.

No new sales.

2 closed sales: Sandpebble #1A 2/2 $400K, Surfside 12 #A1 3/2 $690K.

HOMES

6 new listings: 2150 Egret Cir 3/2 $678K, 1021 Sand Castle Rd 2/2 $710K, 975 Sand Castle Rd 3/2.5 $789K, 1761 Venus Dr 4/4 $2.3M, 1558 San Carlos Bay Dr 3/3.5 $2.989M, 4381 West Gulf Dr 5/5.5 $11.5M.

20 price changes: 730 Cardium St 2/2 now $549K, 970 Palm St 3/2 now $559K, 1973 Wild Lime Dr 4/3 now $574.9K, 1954 Roseate Ln 3/2 now $579.9K, 550 Leather Fern Pl 3/2 now $629K, 1014 S.Yachtsman Dr 3/3 now $710K, 701 Nerita St 3/2 now $712K, 1085 Sand Castle Rd 3/2 now $719K, 1978 Roseate Ln 3/2 now $730K, 1285 Par View Dr 4/2.5 now $839K, 1501 Sand Castle Rd 5/3.5 now $879K, 401 Lagoon Dr 4/4 now $920K, 979 Whelk Dr 3/2.5 now $969K, 792 Birdie View Pt 3/3.5 now $1.027M, 3358 St.Kilda Rd 3/3 now $1.047M, 6425 Pine Ave 4/3 now $1.395M, 2391 Shop Rd 3/2.5 now $1.799M, 1323 Seaspray Ln 4/4.5 now $1.975M, 2964 Wulfert Rd 5/5.5 now $3.35M, 4014 West Gulf Dr 4/3 now $3.499M

10 new sales: 430 Old Trail Rd 3/2.5 listed at $547K, 1717 Sand Pebble Way 3/2 listed at $609K, 5303 Lady Finger Lake Rd 3/2 listed at $679K, 1410 Albatross Rd 3/3 listed at $779K, 822 Beach Rd 4/4 duplex listed at $819K, 1283 Isabel Dr 3/2 listed at $1.1M, 532 Sea Oats Dr 3/4 listed at $1.195M, 637 Lighthouse Way 3/4 listed at $1.2799M, 4630 Rue Bayou 4/4.5 listed at $1.389M, 5044 Joewood Dr 4/4.5 listed at $2.15M.

2 closed sales: 1851 Farm Trl 3/2 $545K, 1414 Causey Ct 3/2 $851K.

LOTS

2 new listings: 971 Main St $205K, 5749 Sanibel-Captiva Rd $672K.

No price changes, new, or closed sales.

Captiva

CONDOS

1 new listing: Bayside Villas #5110 1/2 $369.5K.

No price changes.

3 new sales: Tennis Villas #3119 1/1 listed at $285K, Tennis Villas #3220 1/1 listed at $329.9K, Lands End Village #1619 2/2 listed at $1.549M.

2 closed sales: Tennis Villas #3137 2/2 $465K, Beach Cottages #1404 2/2 $1.245M.

HOMES

1 new listing: 11542 Wightman Ln 5/5 $3.2M.

No price changes, new, or closed sales.

LOTS

Nothing to report.

This representation is based in part on data supplied by the Sanibel & Captiva Islands Association of Realtors® Multiple Listing Service. Neither the association nor its MLS guarantees or is in any way responsible for its accuracy.  Data maintained by the association or its MLS may not reflect all real estate activity in the market.  The information provided represents the general real estate activity in the community and does not imply that SanibelSusan Realty Associates is participating or participated in these transactions.

Until next Friday, here’s hoping your weather is like Southwest Florida, where it’s fantastic even when the sun isn’t out! Enjoy your weekend,

Susan Andrews, aka SanibelSusan

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