Wrapping up another quiet week on sunny Sanibel without the Saharan dust and where the summer breezes pushed east so there were very few showers, except inland. It really has been a nice summer so far – though we continue to watch the tropics and waves coming off Africa.
At SanibelSusan Realty
This week, our listings had more showings, but overall real estate activity has been slow as shown in the Multiple Listing Service action which is after a couple of news items below.
Demand for real estate here remains high but compared to the action six-plus months ago when properties were selling quickly, often for full price or higher, that no longer is the norm. Buyers are more cautious. Market is shifting.
Teammate Dave and I also received more calls from owners thinking of selling. Most don’t want to give up their property yet or don’t have a replacement to use this winter, so probably will revisit the idea when they come next. Our crystal ball doesn’t extend too far, but you can be sure we closely watch inventory and sales.
Buyers sitting on the fence thinking more choices at lower prices will be available soon, could be disappointed. As we tell prospective purchasers, if you see something you like, buy it. Who knows what will become available next and when. There is no time like the present to enjoy owning on the islands which also is why we understand those not wanting to sell soon, even if they could get a great price.
Sanibel & Captiva Islands Association of Realtors®
Professional Development Committee – The Association’s Professional Development Committee met Tuesday. Due to speaker commitments, some schedules were swapped for the rest of the 2022 Monthly Membership Breakfast Meetings. Details on the August meeting, which was yesterday, are below.
An update of other classes and educational events planned through the year also were discussed. SanibelSusan will participate in the upcoming Bias Override, Code of Ethics, and Core Law classes which are September 12 and 13. She also will proctor the next new member orientation on September 20.
August Membership Meeting – It was almost a full house at the monthly breakfast meeting yesterday, August 18, 2022. Sponsored by Rapid Response Team (affiliate Melanie Holliday), speakers were three affiliate members (John Treblicock Esq. with Goede, DeBoest & Cross; Cameron Govreau with Heidrick & Company; and Brian Chapman with Chapman Insurance Group). As a panel they covered how recently enacted Florida Senate Bill 4-D (Building Safety) affects condominiums.
There were few announcements during the Caravan section of the meeting and just one property was open for viewing, a condo that is “back on the market”, after being listed in May and under contract in July.
Below are some take-aways from the panel discussion on Florida condo changes.
Florida Condos – Building Safety – Those complexes affected by the new bill are those with one or more buildings that are three or more stories high. Such buildings located within three miles of coastline require a milestone inspection 25 years from the certificate of occupancy (C.O.). (For those further away, the inspection is required within 30 years from C.O.)
After this milestone inspection, they will be required to have the same inspection performed at least once every ten years thereafter. The inspections must be conducted by a licensed architect or building engineer and include load-bearing walls, primary structural members, systems, and the resulting report must attest to the life safety and adequacy of the structural components of the building.
If a building C.O. was issued on or before July 1, 1992 (which includes most of those on the islands), the initial milestone inspection must be performed before December 31, 2024.
Additionally, a study of the reserve funds required for future major repairs and replacement of the common areas also must be completed by this same date and then updated at least every ten years. Study components shall cover roof, load-bearing walls or other primary structural members, floor, foundation, fireproofing and fire protection systems, plumbing, electrical systems, waterproofing and exterior painting, windows, and any other item that has a deferred maintenance expense or replacement cost that exceeds $10K.
What does all this mean to today’s condo owners? As John said at the beginning of his talk “The era of subsidized condo living is Florida is over.”
For example, no longer will these associations be able to waive their reserves (including for replacement of windows that some have pushed off onto individual owners). It is expected that many associations will have to pony up to get adequate reserve monies in place.
All of this is to improve the safety of condo living but makes it more important than ever for owners and potential owners to thoroughly review the association financial posture and stability. As a new bill, there may be clarification in the next legislative session. With politics involved there likely will be changes. Stay tuned.
Home Prices Still Soaring in Undervalued Cities
Posted Monday, August 15, 2022, on FloridaRealtors® and sourced to Realtor.com.
“Increases in Miami (up 36.2%) and Honolulu (up 23.5%) reflect remote work trends, but 8 cities with “top 10” price increases are ones with still-affordable housing.
“NEW YORK – Some suggest that the hot housing market is slowing down as mortgage rates rise and inventories increase, but the reality is that the demand for houses still outpaces supply, according to experts. There’s a change – and overall demand may have fallen – but there are still more buyers than sellers.
“There are signs, however, that home prices will begin to plateau or slow, as sellers reduce their expectations and sellers look for deals.
““There are several indicators that the national housing market is rebalancing in a more buyer-friendly direction,” says Realtor.com Chief Economist Danielle Hale, but “in these top 10 markets with the biggest price growth, we’re generally seeing signs that the rebalancing seen elsewhere has not progressed as far.”
“The top 10 cities where house prices continue to rise are:
- Miami, with year-over-year price growth of 36.2% in July
- Memphis, Tennessee (32.7%)
- Omaha, Nebraska (31.3%)
- Wichita, Kansas (25.2%)
- Greensboro, North Carolina (25.1%)
- Honolulu, Hawaii (23.5%); Grand Rapids, Michigan (23.2%)
- Milwaukee, Wisconsin (23.1%)
- Tulsa, Oklahoma (22.8%)
- Harrisburg, Pennsylvania (22.3%)
““Eight of these 10 markets have median home list price well below the U.S. average,” Hale says. “The two exceptions, Miami and Honolulu, are warm-weather spots benefiting from ongoing remote work trends and the resumption of domestic and global travel.””
Sanibel & Captiva Islands Multiple Listing Service Activity August 12-19, 2022
6 new listings: Captains Walk #F3 2/2 $620K, Sundial C209 1/1 $799K, Sanibel Moorings #1112 2/2 $1.325M, Shell Island Beach Club #6C 2/2 $1.35M, Sanibel Surfside #125 2/2 $1.395M, Kinzie Island #A 4/4.5 $4.495M.
No price changes.
4 new sales: Loggerhead Cay #331 2/2 listed at $899K, Sundial #G206 1/1 listed at $945K, Somerset #D101 3/2.5 listed at $2.499M, Wedgewood #104 3/3.5 listed at $3.495M.
2 closed sales: Sundial N301 3/2 $1.23M, Sundial H406 2/2 $1.3145M.
2 new listings: 1283 Par View Dr 2/2 $1.149M, 1433 Sanderling Cir 4/3 $1.895M.
No price changes.
1 new sale: 542 Boulder Dr 2/2 listed at $1.15M.
1 closed sale: 1260 Par View Dr 3/3 $1.58M.
Nothing to report.
CONDOS, 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”.
Enjoy your weekend! Susan Andrews, aka SanibelSusan
P.S. Also here’s a pix like the kitten that walked up my front walk at home as I was heading out this week. As I ran to get my phone to take its picture, thinking it was a neighbors pet that escaped, out from behind a bush came its mama. They are bobcats. Gotta love living in paradise!