Summertime & The Market Still is HOT!

Welcome to another Friday real estate update. The Sanibel & Captiva Islands market remains “hot” with the below summary showing the status of inventory today, sales year-to-date, sales last year, and for comparison, sales in the peak price year, 2006. (Note info based on The Sanibel & Captiva Islands Multiple Listing Service. Prices “for sale” and “under contract” are asking prices.)

The SanibelSusan Team is thankful that of the 69 Sanibel properties under contract, four are our transactions, but we need listings. Plenty of buyers are ready, in the wings. We get inquiries every week from colleagues looking for properties coming on the market, while we personally have condo buyers waiting for availability at Blind Pass, Gulfside Place, Sand Point, and Sandalfoot, as well as several others wanting a variety of properties, including east-end home, canal-front property, near-beach home, large Captiva home with rental income. We have a few lot buyers too, so if you are thinking of selling, please give us a call. The seller’s market will continue until inventory improves.

It also appears that our summer visitor traffic remains high. Yesterday, the City issued their first summer high-traffic notice, after 5,500 vehicles had crossed the causeway before noon. That much oncoming traffic typically results in late afternoon slowdowns. When in doubt, check Sanibel’s traffic cams at https://www.mysanibel.com/Live-Street-Cams.

CONDOS HOMES LOTS
SANIBEL # Avg $ DOM # Avg $ DOM # Avg $ DOM
For sale 18 819,044 152 29 2,449,893 124 14 558,414 334
Under contract 19 825,973 44 40 1,388,435 70 10 754,279 290
Closed 2021 to 7/16 190 864,843 143 238 1,309,063 100 55 723,627 479
Closed 2020 192 733,876 174 290 954,718 161 23 606,233 393
Closed 2006 143 866,972 147 156 1,143,682 186 18 523,917 158

 

CONDOS HOMES LOTS
CAPTIVA # Avg $ DOM # Avg $ DOM # Avg $ DOM
For sale 6 1,339,000 127 12 5,910,583 258 0 N/A N/A
Under contract 5 2,569,400 123 1 2,695,000 302 1 4,250.000 1,287
Closed 2021 to 7/16 39 1,006,830 184 35 2,807,868 270 1 2,000,000 129
Closed 2020 47 821,713 134 27 2,923,148 315 4 2.537,500 448
Closed 2006 21 1,362,476 180 10 2,307,375 334 4 2,218,750 432

After a couple of news items below, see the details about the action posted since last Friday in the Sanibel & Captiva Multiple Listing Service.

Summer of the Speed Buyer

From NAR’s Chief Economist, Lawrence Yun, as posted in the July-August 2021 “Realtor” magazine:

“The housing shortfall is driving up prices, but a crash is unlikely.

“Remember when it could take years to sell a home? MLS’s were flooded with distressed properties. In Miami, it was up to six years, according to news accounts in the wake of the 2008 financial crisis.

“Today, of course, it’s the opposite story. It’s generally taking just a couple of weeks, and sometimes days, to find a buyer. From listing to contract, homes typically sold in 17 days in April, the fastest rate ever. In most markets, home buyers can’t risk leisurely weighing several listings before committing to likely the most expensive purchase of their life. Rushed decisions can easily lead to buyer misgivings – about overspending for the home, its size, or having insufficient reserves for upkeep. Still, most buyers come to see they made the right decision in these competitive times. Seeing price, and hence their wealth, rising helps.

“Could it all crash as happened from 2008 to 2010? Not likely. The current housing cycle is fundamentally different. We thankfully don’t have risky subprime mortgages that overstretched buyers’ budgets. The gatekeepers at banks, mortgage brokers, and government regulators demand that loan-to-value ratios, debt-to-income rations, and income documentation meet guidelines before a mortgage is approved. To be sure, even with soundly written mortgages, we know some defaults can occur.

“A second major difference is supply. Leaking up to the housing bubble heyday, builders overbuilt. By my calculations, America had 2.1 million surplus housing units by 2006. Following the crash, underproduction steadily chipped away at the surplus, such that inventory normalized by 2011. Continuing underproduction led to the housing shortage. By 2015, the shortfall was 2 million homes. By the end of 2020, it totaled 4.8 million homes. The lack of inventory is why home prices are in no danger of falling sharply.

“Homebuilding activity in 2021 will be slightly above historical norms. But it will take at least a few years to correct the massive shortage. In the meantime, we expect the national median home price to rise 9% this year and another 3% in 2022. Hyper-speed homebuying should taper off by year’s end as supply improves and affordability challenges persist.”

Elsa Washes Away 45 Sea Turtle Nests on Sanibel

SCCF photo

From SCCF’s Wednesday update:

“Tropical Storm Elsa’s strong southern winds caused 125 sea turtle nests on Sanibel and Captiva to lose their marking stakes and protective screens. Sea turtle staff members have been working diligently over the last week to confirm whether the eggs washed away, too, or if they are still buried in the sand.

“Using highly accurate coordinates collected with a Trimble device, SCCF staff and volunteers were able to confirm that 40 of the 85 nests that lost their stakes on Sanibel survived the extreme tidal action. However, 45 nests were completely washed-out on Sanibel, reports SCCF Coastal Wildlife Director Kelly Sloan. The assessment on Captiva is still underway.

“Please remember that sea turtles have a nesting strategy that accommodates natural storm events. Female sea turtles deposit several nests throughout the nesting season, essentially hedging their bets to make sure that even if a hurricane or tropical storm hits during nesting season, there is a high probability at least a few of the nests will incubate successfully. For instance, in early June 2020, TS Cristobal washed away 29 nests and, in September, TS Sally washed away 17 nests on Sanibel and Captiva. Yet, there were still a record-breaking 924 nests last year.”

CEPD Provides Updated Start Date for Project

From the July 14, 2021 “Island Reporter”:

“On July 8, the Captiva Erosion Prevention District reported that the beach re-nourishment project’s start was being coordinated with its contractor, Great Lakes Dredge and Dock, and the resource agencies. Following recent and ongoing planning discussions, construction is now projected to start no earlier than August 26, pending all notice-to-proceed approvals from the agencies….

“Barring any unforeseen delays, the project is estimated to take approximately 35 days to place the contracted 600,000 cubic yards once construction is underway….

“Construction for the beach re-nourishment will first move south near 16141 Captiva Dr to Turner Beach, and then north to fill in the remainder of the island in a similar manner. The beach fill will be placed along 4.85 miles of shoreline and the rehabilitation of existing dunes between Redfish Pass and Blind Pass.

“Designed to last beyond eight to 10 years, the project will provide the necessary maintenance to counteract long-term critical erosion of Captiva’s beaches, properties and shorelines. The project plans, design specifications, cost estimates and tentative cost apportionments are on file and available for public review at the CEPD’s office, at 11513 Andy Rosse Lane, Unit 4, Captiva (phone 239-472-2472).”

Sanibel & Captiva Islands Multiple Listing Service Activity July 9-16, 2021

Sanibel

CONDOS

4 new listings: Sundial #I103 1/1 $499K, Mariner Pointe #631 2/2 $695K, Sanibel Surfside #213 2/2 $920K, Tarpon Beach #305 2/2 $1.25M.

No price changes.

4 new sales: Spanish Cay #F7 1/1 listed at $395K, Mariner Pointe #323 2/2.5 listed at $549K, Loggerhead Cay #282 2/2 listed at $695K, Sanibel Arms West #C6 2/2 listed at $955K, Gulfside Place #225 2/2 listed at $1.595M.

3 closed sales: Pointe Santo #D24 2/2 $755K, Sanibel Surfside #115 2/2 $1.04M, Sundial #A205 2/2 $1.285M.

HOMES

2 new listings: 1702 Bunting Ln 4/3 $749K, 545 Lighthouse Way 3/3.5 $3.395M.

2 price changes: 5268 Ladyfinger Lake Rd 3/2 now $999K, 1077 Bird Ln 3/3.5 now $5.699M.

No new sales.

4 closed sales: 974 Greenwood Ct S 3/2.5 half-duplex $522K, 5161 Sanibel-Captiva Rd 3/2 $585K, 2011 Mitzi Ln 2/1 $642.5K, 1306 Seaspray Ln 4/4 $3.8M.

LOTS

No new listings or price changes.

1 new sale: 0 Dixie Beach Blvd listed at $399,555.

2 closed sales: 2095 Wild Lime Dr $260K, 1028 Bayview Dr $2.08M.

Captiva

CONDOS

No new listings or price changes.

2 new sales: Beach Homes #25 3/2 listed at $2.095M, Beach Homes #6 3/3 listed at $2.879M.

No closed sales.

HOMES

No new listings, price changes, or new sales.

1 closed sale: 11540 Laika Ln 2/2.5 $1.49M.

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.

Happy Friday! Will post again next week at this time.

Susan Andrews, aka SanibelSusan