A couple days ago I happened to be reading an article in the Atlanta Journal regarding the market in Panama City. There was a quote from Janet Roan, a local (PC, not Atl) real estate agent - "Now is the time to buy. It's a buyer's market." But she says, "If you are looking to buy something to flip it, don't even try it right now."
The catch? That article was from April 16, 2006.
There was another guy who had put contracts on 3 units in Panama City towers, pre-construction, each in the low 200k range. The article says the prices had tripled and then fell back but were still above his contract price. He said at the time he still expected to be able to sell at a comfortable profit although they were not yet completed. He was worried at the time that they may be overdeveloping the Panama City Beach area.
I'd like to see the AJC or some other organization do some follow up stories and talk to some of the same people interviewed previously. What does that agent think now? Did that guy close on his 3 properties and sell them or did he walk from his deposits? Is he stuck in 3 condos, eating a monthly mortgage while taking in some little bit of rent?
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388
Beach Fanatic
Finally!
some very smart investors are sliding in here grabbing up some really good deals
Bobby J
I'll second that!
One of my properties is FINALLY under contract thanks to some very smart investors deciding it was time to start grabbing
!!
This property has been on the market for more than 2 1/2 years.
Yes, I've lost $$ but have learned some valuable lessons that will be put to GOOD use! Just looking forward and not back!!
A friend of mine...after only 33 days on the market.....has his property under contract also! Fortunately, he stands to make some $$ on this one.
Both of these were priced to sell....and both "buyers" are very savvy, experienced Walton County real estate investors.
some very smart investors are sliding in here grabbing up some really good deals
Bobby J
I'll second that!
One of my properties is FINALLY under contract thanks to some very smart investors deciding it was time to start grabbing
!! This property has been on the market for more than 2 1/2 years.
Yes, I've lost $$ but have learned some valuable lessons that will be put to GOOD use! Just looking forward and not back!!
A friend of mine...after only 33 days on the market.....has his property under contract also! Fortunately, he stands to make some $$ on this one.
Both of these were priced to sell....and both "buyers" are very savvy, experienced Walton County real estate investors.
Admin
Added to home page - http://SoWal.com
Beach Fanatic
There is a little more to the story on this lot(one day transaction). I just put another canal front lot under contract. Can not disclose price yet but the asking is $169,000 and we are close.
I hope the Property Appraiser places a lot of weight on these two transactions the next time he assesses my lot.
Beach Fanatic
Me too!
Beach Lover
Right now folks are gobbling up the A plus properties!
BULL: As a very recent purchaser of ocean front property, I think Bobby's above quote rings true. There is a limited amount of really good property at reasonable prices.(credit to 30ashopper for pointing out that there is still a lot way overpriced) If you wait trying to get it a little cheaper you may wake up one day and all the really good stuff at a reasonable price is gone.
BEAR: As to real estate in general and all the high dollar developments that are "within walking distance to the beach". I don't think they have hit bottom yet, maybe not even near it. There is just too big of a supply of property in the A- to B+ range.
JMHO,
Flyguy
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Beach Comber
BULL: As a very recent purchaser of ocean front property, I think Bobby's above quote rings true. There is a limited amount of really good property. If you wait trying to get it a little cheaper you may wake up one day and all the really good stuff is gone.
JMHO,
Flyguy
I haven't seen many oceanfront purchases lately. Where was your purchase, in Walton County?
No matter--wherever it was, my take is you will never make a decent return on your investment. All oceanfront is still way, way overpriced. It too will be coming down.
JMHO
SoWal Insider
I haven't seen many oceanfront purchases lately. Where was your purchase, in Walton County?
No matter--wherever it was, my take is you will never make a decent return on your investment. All oceanfront is still way, way overpriced. It too will be coming down.
JMHO
So you know nothing about his purchase, yet you make a blanket statement like that? Nice!
I remember flyguy's post and it seems to me he did very well for himself.
EDIT to say: I forgot I was in flyguy's original thread.
Monty did you read the whole thread?Admin
I haven't seen many oceanfront purchases lately. Where was your purchase, in Walton County?
No matter--wherever it was, my take is you will never make a decent return on your investment. All oceanfront is still way, way overpriced. It too will be coming down.
JMHO
This statement makes no sense at all. How can you "have a take" when you know nothing about purchase price or any other detail? Even if its value is reduced to zero the assumption has to be made that it will one day be worth more than the purchase price unless you are predicting an apocalypse.
SoWal Insider
I think Bobby's above quote rings true. There is a limited amount of really good property.
One correction to that based on my observations - "There is a limited amount of really good property.. at reasonable prices." This will change over time. It's a great time to be a buyer in this area, there's no rush, there's no reason to feel as though you're being pressured into paying more than you feel something is worth. If you like a property but feel it is overpriced, another similar opportunity is available or will show up later. I think this will last for quite some time to come.
Edited
Beach Fanatic
I am constantly hearing positive news & posts from 2 realtors and severe gloom & doom from EVERYONE else in a variety of industries along 30-A.
Unfortunately, I'll wait to call the bottom and believe it is turning around when the numbers aren't quite so skewed.
Unfortunately, I'll wait to call the bottom and believe it is turning around when the numbers aren't quite so skewed.
Beach Lover
I agree with you on the reasonable prices part, and gave you credit for my edit in the above post.
Flyguy
Flyguy
One correction to that based on my observations - "There is a limited amount of really good property.. at reasonable prices." This will change over time. It's a great time to be a buyer in this area, there's no rush, there's no reason to feel as though you're being pressured into paying more than you feel something is worth. If you like a property but feel it is overpriced, another similar opportunity is available or will show up later. I think this will last for quite some time to come.
SoWal Insider
I am constantly hearing positive news & posts from 2 realtors and severe gloom & doom from EVERYONE else in a variety of industries along 30-A.
As the old saying goes: "Never ask a barber if you need a haircut."
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Beach Lover
I haven't seen many oceanfront purchases lately. Where was your purchase, in Walton County?
No matter--wherever it was, my take is you will never make a decent return on your investment. All oceanfront is still way, way overpriced. It too will be coming down.
JMHO
It was in Panama City Beach. And I honestly don't think most people would believe me if I told them what I paid per square foot.
Anyway, your opinion is just as valid as mine about prices except you are wrong about the investment part. I did not purchase it as an investment. It is my second home and getaway for friends and family. It has already given us great returns.
JMHO,
Flyguy
SoWal Insider
It was in Panama City Beach. And I honestly don't think most people would believe me if I told them what I paid per square foot.
Anyway, your opinion is just as valid as mine about prices except you are wrong about the investment part. I did not purchase it as an investment. It is my second home and getaway for friends and family. It has already given us great returns.
JMHO,
Flyguy
FG,
I think buying opportunities for PCB/Destin/Sandestin beachfront condos will continue for quite some time--there's currently several years of inventory on the books.
A lot of the panhandle condo inventory belongs to folks of modest means who wanted a condo on the beach like they wanted a Chinese pacemaker implant. These condo-owers are still holding out hope to AT LEAST break even on their "investment" and have kept a death-grip on to their asking prices--even as they continue to pay out carrying costs month-in and month-out. Soon their interest-only/ARM will adjust and that increase, combined with tossing hundreds of dollars a month into the assessment-fee-black hole, will take them to the brink of being sucked financially dry. Then, this inventory will be added to several thousand that currently languishes on the MLS.
You've got the right idea for someone who is considering buying now: that is, buying for pleasure and not caring about the "future monetary investment quality" of the property.....it's going to take time to shake others out that mindset--if ever.
Beach Lover
Shelly,
I won't argue over the tremendous amount of condos for sale or the direction of the market in general. But I will point out that there is a lot of what I consider to be junk on the market. If you want a high floor condo with parking a quarter mile from your unit and long elevator waits then time is on your side. While these units are selling, the inventory is huge.
I wanted a low floor, 180 degree view, parking near my front door, and one flight of stairs to the beach. The reasonably priced inventory for these is in the single digits and the selling prices have held steady since last fall. (Except for what I paid;-))
I think we are back to prices (maybe 2001/02 if you buy right) where beachfront property is close to cash flowing if you rent it, but as a pure investment probably not the best if you really don't want to own it for your personal enjoyment.
JMHO,
Flyguy
I won't argue over the tremendous amount of condos for sale or the direction of the market in general. But I will point out that there is a lot of what I consider to be junk on the market. If you want a high floor condo with parking a quarter mile from your unit and long elevator waits then time is on your side. While these units are selling, the inventory is huge.
I wanted a low floor, 180 degree view, parking near my front door, and one flight of stairs to the beach. The reasonably priced inventory for these is in the single digits and the selling prices have held steady since last fall. (Except for what I paid;-))
I think we are back to prices (maybe 2001/02 if you buy right) where beachfront property is close to cash flowing if you rent it, but as a pure investment probably not the best if you really don't want to own it for your personal enjoyment.
JMHO,
Flyguy
Edited
SoWal Insider
Hmm.. speaking of "resonably priced" - 20 feet of beachfront in Dune Allen listing at 885K? I think this classifies as reasonably priced, anyone care to comment? It sure seems like a bargain to me! I never thought I'd see beach front around here for under 1 mil.
http://details.sellingdestinfl.com/details.aspx?MLS=1455782&AGE=1
http://details.sellingdestinfl.com/details.aspx?MLS=1455782&AGE=1
Beach Fanatic
As the old saying goes: "Never ask a barber if you need a haircut."
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I think that pretty much covers every industry known to man Shelly. Never ask a builder if you should build... Never ask a painter if your home needs painting... Never ask a dentist if your teeth need cleaning... :roll:
Beach Fanatic
I am constantly hearing positive news & posts from 2 realtors and severe gloom & doom from EVERYONE else in a variety of industries along 30-A.
Unfortunately, I'll wait to call the bottom and believe it is turning around when the numbers aren't quite so skewed.
It really depends on how you look at it. Many sellers talk about "doom and gloom". Many buyers we are working with are very happy and love this market.
SoWal Insider
I think that pretty much covers every industry known to man Shelly. Never ask a builder if you should build... Never ask a painter if your home needs painting... Never ask a dentist if your teeth need cleaning... :roll:
...never ask a Realtor, "Is this a great time to buy?" ;-)
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SoWal Insider
Shelly,
I won't argue over the tremendous amount of condos for sale or the direction of the market in general. But I will point out that there is a lot of what I consider to be junk on the market. If you want a high floor condo with parking a quarter mile from your unit and long elevator waits then time is on your side. While these units are selling, the inventory is huge.
I wanted a low floor, 180 degree view, parking near my front door, and one flight of stairs to the beach. The reasonably priced inventory for these is in the single digits and the selling prices have held steady since last fall. (Except for what I paid;-))
JMHO,
Flyguy
...Oh there'll be plenty more bargains yet to come in every location, shape and price range for the patient, well-capitalized buyer. The recession will flush out a few more unintended sellers. There's no need to rush into purchasing now; that previous market frenzy and run-up is NEVER going to be repeated--and hurricane season is only a week away.
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Edited
Beach Fanatic
...never ask a Realtor, "Is this a great time to buy?" ;-)
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Who would you ask? Just curious... A baker? A bartender? Actually, all good people to ask... Get a lot of information from everyone and get a good honest agent to help you make some descisions. I think if you are buying to flip in a couple years not so good. If you are looking to hold and enjoy for years to come, great time to buy! Or you can wait until the bottom bell rings and come running with everyone else. Lord knows good investing is when "everyone" is doing it.;-)
Edited
Beach Fanatic
We?re not buying and we?re not selling. We?re just enjoying whatever time we can spend in SoWal with our friends.
The Mayan calendar predicts that the world will end on December 21, 2012 and I intend to throw one hell of a going away party on December 20, 2012. If we can hold on until then, the real estate market won?t matter.
The Mayan calendar predicts that the world will end on December 21, 2012 and I intend to throw one hell of a going away party on December 20, 2012. If we can hold on until then, the real estate market won?t matter.
SoWal Insider
Get a lot of information from everyone and get a good honest agent to help you make some descisions.
Based on what I see in the NRA reports, our local realtor reports, and the vast majority of listings, I'm not entirely sure such a thing exists. My suggestion to any prospective buyer would be - make your own decisions, do your own due diligence, don't trust anyone, and offer what you feel the property is really worth.
I'm mean really, not to be a jerk, but come on, realtors have a vested interest in convincing buyers to pay the maximum amount for a property. It's in their best interests. Why should I trust these people, especially in a down market when times are tough?
Beach Fanatic
Based on what I see in the NRA reports, our local realtor reports, and the vast majority of listings, I'm not entirely sure such a thing exists. My suggestion to any prospective buyer would be - make your own decisions, do your own due diligence, don't trust anyone, and offer what you feel the property is really worth.
I'm mean really, not to be a jerk, but come on, realtors have a vested interest in convincing buyers to pay the maximum amount for a property. It's in their best interests. Why should I trust these people, especially in a down market when times are tough?
Realtors best interest is a happy client. Repeat clients and word of mouth bring in the commissions. I can say that most Realtors in sowal work by that ethic.
SoWal Insider
Realtors best interest is a happy client..
Ok, but how many realtors' clients who bought in 2005 feel 'happy' today? Come on seagrovegirl, we all know they sell to whoever is willing to pay whatever price. There are no ethics in real estate.
I should point out, I don't blame the realtors. But trust is something you gain by doing right by someone. I don't see a lot of evidence of that in the real estate markets of the recent past. If I did, I'd be less jaded, but I don't. There are a lot of people out there who are totally screwed. Realtor's didn't make the ultimate decision, but they stood by while the purchase was made.
Edited
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