Monthly Archives: January 2022

It’s Gonna Be a Rare Chilly Florida Weekend

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This week the downward effects of cold fronts up north brought some chilly weather to the islands. Most locals turned their heat on for the first time in many months. With daytime highs in the 60’s to low 70’s, an even chillier weekend is forecast. While northern states are slated for lots of snow, temperatures here both Saturday and Sunday are expected to go only into the mid-50’s, with freeze warnings in some of SW Florida. Certainly not bikini weather, though most vacationers make the best of it, while we locals continue to enjoy wearing our once-a-year clothes. On a positive note, there were a couple of evenings with nice sunsets again this week. All now after 6 p.m. Hooray!

At SanibelSusan Realty

After posting our blog last week, The SanibelSusan Team had a busy real estate weekend. Teammate Dave and I both fielded inquiries and offers. Wed, we received a new condo listing which already is generating interest with showings scheduled before guest check-in tomorrow. Thank goodness, our photographer, Jim Anderson, fit us into his busy schedule with him filming it this morning. Fingers crossed that he will Photoshop the sky which today looks like I remember it in New England when it was about to snow.

Tues, we had a nice closing this (the results of a multi-year group effort Lisa, Dave, Susan). Two more closings are in the works for next week. Phones are ringing with prospective buyers, many worried, as we are, about the limited inventory. We also are meeting with prospective Sellers next week hopefully to boost that inventory.

The details on activity since last Friday, in the island MLS, are after a couple of news items below.

Florida Realtors® Update – What’s Changing for Florida Real Estate?

Posted Jan 21 on Florida Realtors® by Marla Martin:

“2022 RE Trends panel: Big and small biz relocations, plus the here-to-stay wave of untethered remote workers, will impact Fla.’s markets for years to come.

“ORLANDO, Fla. – After almost two pandemic years, changes created to deal with COVID-19 have created major shifts that affect Florida’s real estate markets, according to a panel of site developers, Realtors® and economic development experts who spoke to more than 300 Realtors during the 2022 Florida Real Estate Trends summit Thursday.

““Prior to COVID, we saw a lot of Wall Street firms testing the waters with CEOs looking at homes,” said Kelly Smallridge, president and CEO of the Business Development Board of Palm Beach County. “Now, these CEOs are signing seven- to 10-year commercial leases, they’re legally domiciling and, most importantly, they’re buying homes and putting their kids in private schools. We now have zero slots open for any private school in Palm Beach County.”

“The Real Estate Trends event was part of this year’s Florida Realtors®’ Mid-Winter Business Meetings at the Renaissance SeaWorld Orlando. In addition to Smallridge, other panelists included: Deanna Armel, broker-owner, Armel Real Estate; John Boyd, principal, The Boyd Company; and Melanie Schmees, director of business and economic research, Greater Naples Chamber of Commerce. Florida Realtors Chief Economist Dr. Brad O’Connor and Dr. Jessica Lautz, vice president of demographic and behavioral insights at the National Association of Realtors (NAR) also shared their insights on the 2022 outlook.

“Kelly Smallridge, president and CEO, Business Development Board of Palm Beach County – Unfortunately, the misconception that Florida schools lag and the state’s educated workforce is lacking still lingers among many executives inquiring about relocating their businesses, Smallridge said, and that is “absolutely not the case.” Once they’re in Florida, check out the schools and have their children tested for placement, their perception quickly changes, she said. “The average salary in Palm Beach County is $61,000, while the average salary of the people coming in now is $1 million,” she added – another boon to local businesses and area development.

Many of the business executives interested in moving to Florida want to look at homes first, she said, and may not mention a possible relocation. “When you’re taking a buyer around to see homes, see if they also have any interest in bringing a business here,” Smallridge advised brokers and real estate agents. “You can offer them information to connect with local chambers of commerce or economic development officials. We help them understand all the logistics of what it takes to get them up and running. So, we’re really part of your team. Together, we can land not only the home but the company as well.”

“Melanie Schmees, director of business and economic research, Greater Naples Chamber of Commerce – Like real estate, economic development often involves referrals and regional cooperation, said Schmees. “Naples is a unique market,” she explained. “Right now, we have a 1% industrial vacancy rate; sometimes, we need to direct those interested to other areas near us like Fort Myers. The whole region benefits.” One factor important for ongoing business relocations and continued economic development in Florida will be the consideration of employees’ needs and how they can manage new lives here. “We need to create an environment that works for the workers, not only the business executives,” Schmees said. “Often, their workers are concerned that they can’t make the move. They’re worried they can’t find housing or figure out their cost of living.”

“Deanna Armel, broker-owner Armel Real Estate – “Florida in general is a draw for business and for out-of-state buyers,” she said. “There’s no state income tax, our weather, beaches, and in Orlando, our theme parks. Since COVID (the start of the pandemic), home preferences have changed. People want an office, a pool, flex space and a yard.” According to Armel, the influx of major business relocations and wealthy buyers who can pay cash – like many California residents moving to Florida after selling their homes – has made an impact on the housing market, particularly in the luxury-home sector. “I call it monopoly money,” she said. “Cash is great, but it’s really hurting our buyers who need financing, our veterans, our workers and first-time homebuyers. The competition is unbelievable, especially in new construction. New construction, turn-key, luxury homes: That’s what California buyers want.”

“John Boyd, principal, The Boyd Company – Before the pandemic, about 10% of employees worked remotely, said Boyd. “Today, over half of the workforce works remotely, at least on a hybrid basis, and this change is here to stay. It saves businesses too much in terms of office space, operations and so on. It’s also a great recruiting tool – people like the flexibility.” He noted that economic development is now a “people first operation.” And that, he said, “has established a new class of economic development workers – the residential real estate agent.”

Brightline, the private high-speed rail system running from Miami to West Palm Beach with an expansion in the works to Orlando, is a positive for marketing Florida for economic development, the panelists said. “I think we’ll see a lot of exciting development projects along those Brightline lines, with the ability to connect between Central Florida and South Florida,” Boyd said. Another plus for Florida? “Our state is a magnet for global talent, experience and skill sets,” he added. “Having no state income also attracts industry and development. Business and money tend to go where it feels welcome.””

Loans for Condos? New Rules Start to Have an Effect

Posted on-line Jan 24 at Florida Realtors®, the below article is sourced to the “Daily Breeze” and mortgage broker Jeff Lazerson:

“Fannie’s tighter loan requirements post-Surfside collapse started Jan. 1; Freddie’s start Feb. 28. In the meantime, the list of no-loan condo projects will likely keep growing.

“HERMOSA BEACH, Calif. – A nightmare scenario looms for condo buyers applying for certain types of federally backed mortgages. If you are selling or are looking to buy an attached condominium in a community with five or more attached units, conventional financing from mortgage giants Fannie Mae and Freddie Mac may soon become elusive.

“Beginning Jan. 1 for Fannie and starting Feb. 28 for Freddie, the mortgage giants are putting the screws to a required HOA questionnaire. New questions ask applicants about the structural integrity of the community and whether any code violations are anticipated.

“No doubt, Fannie and Freddie’s updated lender mandates are in response to the Florida condo tower that killed 98 people last June 24. Years of deferred maintenance at the Champlain Towers in Surfside caused the 12-story building to collapse.

“Answering the agencies thoroughly and completely could force lenders to decline a mortgage application. (Remember: Mortgage lenders fund a loan, and then may sell it to Fannie or Freddie).

““Yes, lenders are declining projects even for a simple special assessment for repairs now. Things are just trickling in right now because the guidance started Jan. 1,” said one condo project approval expert, who asked to remain unnamed because he’s not the media spokesman for his company. “Soon enough we’ll see the effects hit all the condo market. I’ve only seen it affect projects with major issues at this point; meaning (the project) has code violations and millions of dollars of repairs underway.”

“Answering these questions honestly or possibly with a guess could bring liability in the form of future lawsuits against HOA stakeholders, such as the property management company, board members, inspectors, engineers and the association.

“If the questionnaire isn’t completely answered because the answers are unknown or undetermined, it might mean the purchase or refinance gets torpedoed.

“Here is a sprinkling of questions included in Fannie Mae’s Form 1076 condominium project questionnaire (posted December 2021 and updated to eight from five pages):

Question: Is the HOA aware of any deficiencies related to the safety, soundness, structural integrity or habitability of the project’s building(s)?

My take: If management didn’t know about any deficiencies, for example, and answered as such, should they have reasonably known these calamities could come up later?

Question: Is it anticipated the project will, in the future, have such violations (zoning ordinances, codes, etc., which are related to safety, soundness, structural integrity or habitability)?

My take: For the love of peace, how could one possibly determine if yet-to-be-written, jurisdictional codes trigger new violations in the condo complex?

“These dubious questions could be akin to a winning lottery ticket for any attorney who lives in the world of HOA litigation.

“Why is this so problematic? The nation has a huge community of really old condos and many of them are backed by Fannie Mae and Freddie Mac mortgages. The U.S. has as many as 156,000 condo associations and cooperatives housing between 27 million and 32 million Americans, according to the Community Associations Institute (CAI).

““Seventy percent of all condo loans in the U.S. are Fannie or Freddie (backed),” said Dawn Bauman, senior vice president of government affairs at CAI. “Sixty to 70% of all condo complexes are more than 30 years old.”

Fannie Mae has a published list of 82 “unavailable” California condo-projects, including the Marina City Club in Marina Del Rey, which has $80 million to $140 million in needed repairs according to a report last year. That a 10-acre complex is one of nearly 1,000 “unavailable” condo projects nationwide. To Fannie Mae, unavailable means a property is ineligible for purchase by the agency.

“One mortgage executive told me Fannie is making the rounds, emphasizing these new condo questions during lender visits. So don’t be surprised if that unavailable list explodes as Fannie collects more intel.

“To be fair, Fannie and Freddie need to dig more deeply to assess and consider condo structural risk before purchasing those mortgages from lenders. The mortgage giants also may disqualify a condo community for other reasons, such as a lack of budget reserves.

“If your loan is denied over the Fan or Fred HOA certification answers, you may be able to get funded on what the industry calls a non-warrantable loan. You should expect to pay perhaps one-half to one point higher in rate than conventional financing. You also might have to provide a larger down payment or have more remaining equity compared with Fannie-type requirements.

“But buyer beware: Non-qualified mortgage lenders that offer the exotic non-warrantable condo mortgages are not a loan approval shoo-in, either.

“For example, California-based LendSure has a condo guidance checklist to help determine investor risks. The common three items it looks at are investor concentration (how many rentals are in the complex), single investor (does one person or entity own a bunch of the units), and litigation against the condo complex, according to Joe Lydon, co-founder, and managing director of LendSure.

“Why so much deferred maintenance? Unit owners are often resistant to increased HOA fees or special assessments for repairs and updates.

“Condo complex building inspections can run $15,000 to $50,000 depending on the number of units, according to Bauman.

““Community Associations Institute is lobbying for laws mandating reserve studies and building inspections,” said Bauman. CAI is also asking Fan and Fred to give HOAs more time to be able to address so many of the new HOA questions. “Five years to ramp-up the requisite building inspections.””

Sanibel & Captiva Islands Multiple Listing Service Activity January 21-28, 2021

Sanibel

CONDOS

7 new listings: Loggerhead Cay #351 2/2 $824K; Lighthouse Point #112 3/2 $864K; Sanibel Moorings #1332 2/2 $874,999; Sanibel Moorings #122 2/2 $1.2M (our listing); Shell Island Beach Club #A5 2/2 $1.2M; Pointe Santo A2 2/2 $1.35M; Sedgemoor #101 3/3.5 $3.995M.

Boardwalk to beach at Sanibel Moorings

1 price change: Gulfside Place #210 2/2 now $1.549M.

6 new sales: Sundial #I402 1/1 listed at $659K, Mariner Pointe #421 2/2.5 listed at $739.9K, Sunset South #11C 2/2 listed at $1.095M, Sand Pointe #218 2/2 listed at $1.099M, Sundial #M303 2/2 listed at $1.249M (our listing), Pointe Santo #A2 2/2 listed at $1.35M.

To beach from Sundial East

 

2 closed sales: Nutmeg Village #308 2/2 $1.225M, Gulfside Place 124 2/2 $1.45M.

HOMES

4 new listings: 645 Oliva St 3/3 $1.1M, 593 Lake Murex Cir 3/3 $1.395M, 5802 Sanibel-Captiva Rd 3/3.5 $1.495M, 4717 Rue Belle Mer 3/3 $4.95M.

No price changes.

5 new sales: 2030 Sunrise Cir 3/3 listed at $1.625M, 489 Sawgrass Pl 5/5 listed at $2.15M, 1266 Par View Dr 4/4 listed at $2.295M, 435 Bella Vista Way E 3/3 listed at $5.2M, 3767 West Gulf Dr 4/4.5 listed at $7.5M.

3 closed sales: 6429 Pine Ave 3/2 $869K, 1943 Sanibel Bayous Rd 3/3 $1.125M, 2379 Wulfert Rd 4/4.5 $2.495M (our buyer).

LOTS

Nothing to report.

Captiva

CONDOS

No new listings, price changes, or new sales.

1 closed sale: Marina Villas #706 2/2 $950K.

HOMES

No new listings or price changes.

1 new sale: 14865 Mango Ct 2/2 listed at $1.295M.

No 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.

Below is our ad from today’s “Island Sun”.

Until next Friday. Stay warm! Susan Andrews, aka SanibelSusan

Another Wild Week in the Real Estate World

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As you probably have seen on the news, Southwest Florida received local and national weather alerts early Sunday morning when the cool front passing through showed signs of rotation and tornado activity. With significant damage on the mainland along a stretch beginning just north of the outlet mall, it was a surprise that here on the islands, there was essentially no damage. Astounding also that the tornado was only on the ground for a few minutes and could create so much devastation. Always heed those weather alerts!

At SanibelSusan Realty

At the office, our two closings coming up early next week are in good shape, while several others occurring later also are finalizing action items. Our worry is what do we sell when inventory is gone and there is nothing left to sell. Below is an update of island inventory today. (Data from the Sanibel & Captiva Islands Multiple Listing Service as of Jan 21, 2022.) On Sanibel, just 13 condos, 15 homes, and 4 lots for sale. On Captiva, 4 condos and 7 homes.

 

 

Status

 SANIBEL CAPTIVA
Condos Homes Lots Condos Homes Lots
# Avg $ # Avg $ # Avg $ # Avg $ # Avg $ # Avg $
For sale 13 1,134,446 15 3,015,800 16 542,937 4 2,672,250 7 6,940,714 0 N/A
Under contract 23 995,582 33 1,596,606 9 833,444 3 1,073,000 4 4,370,750 0 N/A
Sold to-date 2022 9 902,666 12 1,539,583 1 640,000 1 1,075,000 0 N/A 0 N/A
Sold 2021 287 875,127 355 1,341,881 69 698,862 64 1,150,373 44 2,988,520 2 2,950,000

The meeting I had last Saturday with condo owners resulted in a new listing. With inventory so low, it is no surprise that we have received many inquiries. In a normal market selling quickly could be a challenge as there is a paying guest there for an extended visit. This market is hardly normal, though. Sight-unseen offers are not unusual.

Early in this week, within hours of its posting on MLS, I wrote an offer on a condo in another complex. It provides another good example of how hot the market is. These buyers are not in town, but would like the opportunity to have an inspection, so the offer was written on the “as is” contract with significant deposits, willingness to honor future rental bookings, and at just under asking price (which was $50K+ more than the last comparable recent sale in the same community). Listing agent said we lost out that night to multiple cash offers, several over asking price.

The same situation is happening all over the state. This week, a FB friend and long-time Realtor® on the other coast, posted what is a great example of how a transparent caring Realtor® works. He said this note recently was sent to him after an offer submitted:

“I am very sorry to have to tell you that the seller selected another offer. We received 66 offers. I saw how much each buyer loved this house and wanted it to be theirs. Everyone submitted excellent offers. In another market, your offer price would have sufficed to secure the house. Unfortunately, this real estate market, with a lack of inventory and high buyer demand, makes it very, very competitive. I feel for each and every one of you. I had my own buyers who didn’t get this house. I know how hard it is for buyers now. We just never know who our competition will be. In this case, the median offer price was $440,000. This means that 33 houses offered less than $440,000 and 33 houses offered more than $440,000. We received 10 offers at $450,000. The winning offer was higher and cash. It was hard to beat. If by some chance the property becomes back on the market, I will immediately let you know. I thank you for your interest in this house and for your offer. I hope you find your new home soon.”

So, for those thinking of buying now, particularly in Florida, it is essential that you act fast and have the best terms in your offer.

The details on the activity since last Friday in the islands MLS are after a couple of news items below.

Sanibel & Captiva Islands Association of Realtors®

Our Association Executive Bill Robinson & RPAC Committee Co-Chair Dave Arter with the awards.

Congratulations to our local Association of Realtors®.

Wednesday night at the Florida Realtors® Mid-Winter Business Meetings at the state PAC Awards Reception, the Sanibel & Captiva Islands Association won several awards – Highest Total Cash by a Small Board, Highest Percentage of Goal by a Small Board, and Highest Participate Rate by a Small Board.

Congratulations to our Associations and the others who took home awards.

Florida Realtors Mid-Winter Business Meetings

I found a few minutes this morning to Zoom in on the Florida Realtors® Legal and Professional Standards Update meeting taking place at the state Mid-Winter Business Meetings in Orlando. You probably know that I love contract details so didn’t hear anything new there, but did find it interesting when Marcia Tabak, Florida Realtors® Deputy Legal Counsel provided some details on the increase in Florida real estate licenses this year.

If you didn’t already know, Florida was – and still is – the state with the most Realtors®, sometime years jockeying back and forth with California on which one has the most. Marcia said that today, DBPR (Florida’s Department of Business and Professional Regulation) reports that over 450,000 state licenses have been issued. Of those licenses, 218,000 are for real estate sales associates (like Dave, Lisa, and Elise), 22,000 are broker associates, and 42,000 are brokers (like me).

According to the Florida Real Estate Commission, in December, 4,760 applicants took the test for a real estate license here. That’s an increase from the previous year. Anyone wanting to check on a licensee status can do that at DBPR’s website, www.MyFloridaLicense.com.

Age is Just a Number

Another tidbit that I heard today is that the average age in Florida is 42. That’s not a new number, but illustrates that Florida is not just for retirees. In fact, with the increase in Florida sales during the pandemic, that number may be getting smaller. FYI, the highest average age is in my home state of Maine, where it is a little more than age 45. Come to Florida where age is just a number, more specifically to the islands where outdoor life is enjoyed year-‘round.

New Eats on the Island

Today is the grand opening of Tutti Pazzi in the former location of Matzaluna Italian Kitchen at 1200 Periwinkle Way.

Advertised as a family-friendly Italian kitchen serving pasta, seafood, and pizza, the locals who attended their soft opening Wed night, said the food is fabulous.

So, be sure and try out some of the new restaurants on Sanibel.

Sanibel & Captiva Islands Multiple Listing Service Activity January 14-21, 2021

Sanibel

CONDOS

2 new listings: Loggerhead Cay #584 2/2 $895K, Sundial #M303 2/2 $1.249M (our listing). (A couple of pix by our photographer Jim Anderson with JMA Photography below. The first an aerial of Sundial Resort, followed by the path to the beach.)

No price changes.

5 new sales: Kimball Lodge #303 1/2 listed at $795K; Blind Pass #F203 3/2 listed at $839,555; Sundial #G104 2/2 listed at $875K; Sandalfoot #5A2 2/2 listed at $1.275M; Cyprina Beach #7 3/3 listed at $1.749M.

6 closed sales: Blind Pass #E103 3/3 $775K, Kimball Lodge #303 1/2 $795K, Sanibel Inn #3421 2/2 $900K, Lighthouse Point #212 3/2 $929K, Pointe Santo #A21 2/2 $1.15M, Sundial #R402 2/2 $1.2M.

HOMES

2 new listings: 4563 Brainard Bayou Rd 3/2 $1.449M, 489 Sawgrass Pl 5/5 $2.15M.

1 price change: 1398 Jamaica Dr 2/2 now $895K.

1 new sale: 9472 Balsa Ct 2/2 listed at $765K.

6 closed sales: 804 Rabbit Rd 2/1 $490K, 2114 Egret Cir 3/2 $773K, 966 Whelk Dr 3/2 $1.33M, 1347 Jamaica Dr 2/2 $1.4M, 856 Limpet Dr 4/2.5 $2M, 699 Anchor Dr 4/4 $2.395M.

LOTS

No new listings or price changes.

4 new sales: 1332 Eagle Run Dr listed at $499K, 638 Lake Murex Cir listed at $565K, 3304 Saint Kilda Rd listed at $599K, 4767 Tradewinds Dr listed at $2.149M.

No closed sales.

Captiva

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.

Below is our ad from today’s “Island Sun”.

Until next Friday, Susan Andrews, aka SanibelSusan

Read On to Find Out Why the Magic Number Today is 12

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It is that time of the year when Floridians are especially grateful to be here. Though a cool front sometimes comes through in the winter, the weather here sure tops what is happening elsewhere.

One of those fronts just came through the islands. Though sunny and bright, it is breezy with temperatures only up into the high 60’s. Do visitors still fill the bike paths and beaches in their shorts and tee-shirts, “yes”. Meanwhile, locals are enjoying more fresh air and relish a chance to wear their long sleeves and an occasional sweater or jacket.

At the office, we continue to finalize action items for our upcoming closings and get ready for our big annual inventory mailing. If you are not already on our mailing list and want a copy of this report, please send your request to Susan@SanibelSusan.com. We update the islands residential inventory list (Sanibel & Captiva condos, homes, & lots) every weekend, so have it available anytime and email it often, but the bulk hardcopy mailing only goes out once a year (saving trees & $). It will go out in early February. (The data is from the local Multiple Listing Services as well as the county tax records.)

Yesterday afternoon, teammate Dave listed his in-laws off-island investment property. He probably set a record for a quick sale. Following several immediate inquiries/offers, he had it successfully under contract by 8 p.m.

So, as we continue to market for new listings, today the magic inventory number is 12. According to the Sanibel & Captiva Islands Multiple Listing service, now there are just 12 condos and 12 homes for sale on Sanibel, while on Captiva, there are 12 in total (4 condos plus 8 homes).

With most colleagues having buyers waiting in the wings, it is tough convincing those prospects that it is going to take a very long time for supply to meet demand. Meanwhile, the strong sellers’ market continues. I am meeting with condo owners tomorrow. Hopefully a new listing follows.

Florida Realtors® Mid-Winter Business Meetings

Last Friday, I attended the Florida Realtors® Resort and Second Home Think Tank meeting via Zoom. During that meeting, Kate Chunka, Vice Present of Industry Engagement at “Visit Florida” provided an update on that agency’s efforts including some interesting statistics. She said that every dollar spent results in $3.27 in tax revenue. Nearly 40% of that in 2020 was the impact of the pandemic on tourism with the third quarter last year exceeding any previous year. In 2021, from first through third quarter, 91.5 million visitors came to Florida. Numbers now are starting to exceed 2019 which was the highest recorded ever. For FY 2022-2023, a $50 million budget has been recommended.

Next, Florida Realtors® Vice President of Law/Policy and General Counsel, Juana Watkins provided an update on the legal options to address local short-term rental ordinance. That has become a huge problem in some areas. Luckily Sanibel and Captiva are proactive in that regard.

A legislative update then was provided by Andy Gonzalez, Florida Realtors® Public Policy Representative. He said, this week legislators are back in session in Tallahassee. On the Senate agenda is a discussion regarding short-term rentals.

He asked Realtor® Broker Marilue Maris from Walton County in the Panhandle to tell us how access to the gulf there is regulated. She described how beach access and use by the public is limited to only the areas of “wet” sand, with security guards sometimes patrolling to ensure that non-property owners don’t settle their chairs or blankets in dry areas. Wow!

Next week, I will be attending a “Florida Real Estate Trends” update by Florida Realtors® Chief Economist Dr. Brad O’Connor. He is scheduled to update policymakers, residents, and Realtors® on what is ahead in 2022. Real estate drives Florida’s economy and as the COVID-19 pandemic continues into its second year, it sure would be nice to know what lies ahead.

Also on the agenda next week are the Forms Content Committee meeting, and Legal and Professional Standards Update – also good stuff to stay up on.

Sanibel & Captiva Islands Association of Realtors®

Tuesday was the first 2022 meeting of the local Association’s Professional Development Committee. Many educational classes for members already are scheduled with the focus of this meeting speakers for the upcoming monthly membership meetings. The first of those is February 24.

Our annual Realtors® lnstallation and Awards Breakfast was early yesterday at The Community House. Attendance was lighter than in normal times, but it was great to see many familiar faces in-person for the first time in more than two years.

Congratulations to the incoming Board of Directors and Officers (shown in the Association photo above) and the many “of the year” awards including 2021 Honor Society recipients (my 29th year).

Though 2021 was a record one for island sales, we all hope that 2022 will be safer, less stressful – and that there will be more product to sell. The details on the activity posted since last Friday in the islands MLS are below.

Sanibel & Captiva Islands Multiple Listing Service Activity January 7‑14, 2021

Sanibel

CONDOS

1 new listing: Sundial #G104 2/2 $875K.

2 price changes: Mariner Pointe #421 2/2.5 now $759K, Sunset South #11C 2/2 now $1.095M.

No new sales.

1 closed sale: Pointe Santo #C3 3/2 $1.095M.

HOMES

No new listings.

1 price change: 3324 Saint Kilda Rd 4/4 now $2.995M.

9 new sales: 804 Rabbit Rd 2/1 listed at $499K, 458 Lake Murex Cir 3/2 listed at $925K, 1133 Sand Castle Rd 3/2 listed at $945K, 1251 Sand Castle Rd 4/3 listed at $1.05M, 4737 Rue Belle Mer 3/2 listed at $1.6M, 719 Periwinkle Way 4/3 listed at $1.895M, 500 Kinzie Island Ct 3/3 listed at $2.295M, 5415 Osprey Ct 3/3 listed at $2.495M, 1360 Eagle Run Dr 5/3.5 listed at $2.695M.

1 closed sale: 1278 Sand Castle Rd 4/3 $1.526M.

LOTS

1 new listing: 845 Pyrula Ave 525K.

No price changes or new sales.

1 closed sale: 3308 Saint Kilda Rd $640K.

Captiva

CONDOS

No new listings.

1 price change: Land End Village #1659 2/2 now $1.345M.

1 new sale: Sunset Beach Villas #2236 2/2 listed at $1.3M.

1 closed sale: Gulf Beach Villas #2122 2/2 $1.075M.

HOMES

No new listings or price changes.

1 new sale: 57 Sandpiper Ct 2/2 listed at $1.399M.

No 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.

Below is our ad from today’s “Island Sun”.

Enjoy your weekend! Susan Andrews, aka SanibelSusan

Just Another January Friday on Sunny Sanibel Island

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Following up on grumblings last week about heavy traffic, there was a huge reprieve on Monday after holiday visitors left and Lee County Schools reopened. As teammates reminded, there usually is a 2+week window after New Year’s until traffic picks up with more snowbird returns. Then it should be busy again through February and March, or until Easter.

Weather-wise, as islanders watched much of the country experience snow and freezing cold, a cool front passed through Florida Sunday night. That resulted in us enjoying lower humidity and breezy sweater weather both Monday and Tuesday. The forecaster now says the muggy meter is amping up again with warm weather expected until the next cool front which is scheduled to arrive next week when it again may dip into the low 70’s during the day. That’s the best winter weather!

I took a quick spin down to the lighthouse this afternoon on my way back to the office. Christmas décor is gone and bay/gulf waters are looking good. Here are a few pix from 1:30 p.m. when my car said the temperature was 78 degrees F.

Real Estate Scoop

At SanibelSusan Realty, teammate Dave had a busy week accompanying home inspections both Monday and Tuesday, followed by a contractor visit to one of the properties today. With many year-end closings and our island inventory list updated, we all have been working on the database for our big annual mailout which we hope to send out later this month.

Meanwhile, we are working on closing activities for our five sales and beating the bushes looking for new listings. As of this afternoon, according to the Sanibel & Captiva Islands Multiple Listing Service, there are just 12 condos, 20 homes, and 19 lots for sale on Sanibel – even fewer on Captiva, just four condos and eight homes for sale.

At the state level, Florida Realtors® 2022 Mid-Winter Business Meetings in Orlando are coming up. Many of the meetings again this year are being offered via Zoom as well as in person. I will be attending the Resort and Second Home Think Tank later today, and next week will be at the Forms Content Committee Meeting and the Legal and Professional Standards Update.

On Sanibel, our annual Association of Realtors® lnstallation and Awards Breakfast is next Thursday at The Community House.

The action posted since last Friday in the islands MLS follows a couple of news items below.

Buyers Who Waited for Lower Prices May Regret It

Here’s an article posted at FloridaRealtors® on-line on Dec 20, 2021 and sourced to the South Florida Sun-Sentinel:

“Some buyers postponed searches, assuming prices would drop as they did in the last recession. But now homes they once considered are financially out of reach.

“FORT LAUDERDALE, Fla. – As South Florida home prices spiked during the pandemic, some people decided to put their home shopping on pause in the hopes that prices might drop, a decision they are coming to regret.

“Now, a year-and-a-half into record price growth and dwindling inventory, non-buyers are stuck in a precarious situation: they want to buy but are facing higher prices than they did when they first started searching, and they’re finding themselves at risk of being priced out of the South Florida real estate market…. Homes prices jumped, no slowdown in sight.

“Homes prices skyrocketed in South Florida during the pandemic, as intense demand from out of state buyers dovetailed with historically low inventory to create an intense seller’s market where buyers were often faced with paying over asking price and losing out in bidding wars.

“In a market where it’s common for buyers to lose out and face multiple bidding wars, it can cause home shoppers to get discouraged and more hesitant to buy, explained Brian Pearl, principal agent with the Pearl Antonacci Group in Boca Raton. “I’ve had buyers regret waiting more recently, given that the market hasn’t slowed down like they thought it would by now,” he added.

“He’s not the only Realtor to have clients face this issue. Jeff Creegan with Re/MAX Services in Boca Raton said about 30-40% of his clients in the last year end up trying to wait out the housing market. Many were wary of buying in the spring or even last summer as they watched prices skyrocket, only to see them rise even more as the year comes to a close. The overall sentiment, he said, is that they made a mistake in trying to wait out the market.

“Now, as they begin to look again, buyers say they are greeted with homes that are $100,000 more expensive. As a result, Creegan said, “They are looking in different markets, like in Southwest Florida or more affordable markets.”

“In February of 2021, the median sale price of a home in Miami Dade County was $450,000, a 21% increase from the year before, according to numbers from the Broward, Palm Beach and St. Lucie Realtors. For Broward County, the median sale price of a home was $433,000, a 12% increase from the year before. For Palm Beach County, the median sale price of a home was $450,000, a 24% increase from the year prior.

“Flash forward to October of 2021, when median sale prices rose 19% from the year before in Palm Beach County to $500,000 in October. For Broward County, the median sale price of a home was $489,000 in October, a 17.8% annual increase. In Miami Dade County, the numbers shot up 12.6% to $490,000 for October….

“The housing crash of 2007 is likely still fresh in a lot of potential buyers’ mind, noted Eli Beracha, director of the Hollo School of Real Estate at Florida International University, and is potentially one of the reasons that they are trying to wait out the housing market. Beracha also noted, however, that the forces fueling this housing market are different. “We had an excess of supply last time [in 2007]; we don’t have that this time. If you don’t have excess supply, it’s hard for the market to correct in a significant way.” In other words, he does not see a dramatic bust in our future.

“Out-of-state home shopper Dr. Ketang Modi, his wife and two daughters are making the move from New Jersey to Broward County and are looking for a home that is around 4,500 square feet with a minimum of four bedrooms. When they searched previously, they looked at homes in a community in Davie that were priced around $1.2 million, and now, four months later, prices are hitting $1.6 million, prompting him and his family to consider renting to wait out the market. “Everything is overpriced,” he lamented. “I’m not sure when there will be a correction or when prices will stabilize.””

Expected Market Drivers in 2022

Several real estate forecasters have published their 2-cents worth on what 2022 will bring to the business. Here are some favorites that likely apply to real estate on Sanibel & Captiva.

International Buyers – For years, Florida has been a favored destination for international buyers, mostly those from Canada and Europe. That trend came to an abrupt stop with COVID travel restrictions in early 2020. Now that borders are reopening, a surge of international buying is expected with more action expected than in the past two years. Florida is the top state for wealthy individuals and families who want to acquire residences outside their home country.

Listings from Baby Boomers – Demand for homes is expected to continue to outpace supply. Nationally, boomers (those 55 to 75) own 42% of homes. With many facing health issues, including mobility, which can impact their ability to live independently. This generation controls the single-family home inventory with a huge portion of these homes coming on the market in the next few years.

Affordability – Gen Z and millennials are posed to enter Florida’s housing market – provided they can afford it. In the past two years, real estate prices have risen dramatically with no sign of a downturn in 2022. Many prospective buyers – all ages – already are finding they are priced out of the island market.

Inflation – Inflation returned to the U.S. economy in 2021. From construction materials to home appliances and automobiles, supply chain shortages are pushing prices up for consumers. A global energy shortage is also increasing prices of gasoline, oil, and natural gas. While some economists expect these pressures to subside in 2022, changes in the Consumer Price Index (CPI) and the Federal Reserve actions that affect interest and mortgage rates also may affect real estate sales.

Sanibel & Captiva Islands Multiple Listing Service Activity December 31 – January 7, 2021

Sanibel

CONDOS

1 new listing: Pointe Santo #C26 2/2 $1.279M.

No price changes.

3 new sales: Breakers West #C2 2/2 listed at $749K, Sand Pointe #222 2/2 listed at $1.125M, Tarpon Beach #110 2/2 listed at $1.35M.

5 closed sales: Sundial #H410 1/1 $422.5K, Seashells #43 2/2 $588K, BlindPass #A202 2/2 $610K, Breakers West #C4 2/2 $692K, Sanibel Surfside #213 2/2 $875K.

HOMES

9 new listings: 1948 Roseate Ln 2/2 $769K, 458 Lake Murex Cir 3/2 $925K, 1133 Sand Castle Rd 3/2 $945K, 1398 Jamaica Dr 2/2 $995K, 1251 Sand Castle Rd 4/3 $1.05M, 2695 Wulfert Rd 4/4/2 $1.895M, 500 Kinzie Island Ct 3/3 $2.295M, 5415 Osprey Ct 3/3 $2.495M, 4322 West Gulf Dr 4/3.5 $3.45M.

No price changes.

4 new sales: 1948 Roseate Ln 2/2 listed at $769K, 1305 Par View Dr 3/4 listed at $1.749M, 2695 Wulfert Rd 4/4/2 listed at $1.895M, 1146 Golden Olive Ct 5/4 listed at $2,999,999.

5 closed sales: 534 Piedmont Rd 3/2.5 $725K, 3840 West Gulf Dr 3/2.5 $1.596M, 1220 Morningside Pl 6/4 $1.8M, 1356 Eagle Run Dr 5/5.5 $2.145M, 927 Kings Crown Dr 3/3.5 $2.295M.

LOTS

Nothing to report.

Captiva

CONDOS

No new listings or price changes.

1 new sale: Beach Villas #2236 2/2 listed at $1.3M.

2 closed sales: Beach Villas #2626 1/1 $684K, Bayside Villas #4306 3/3 $935K.

HOMES & 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.

Below is our ad from today’s “Island Sun”.

Until next Friday, Susan Andrews, aka SanibelSusan