For Paula...the airport people are referring to is the proposed international airport to be located in Panama City, with a freeway flyover between the airport and Seagrove. One of the impediments to real estate sales in the past has been inaccessibility to markets other than the (driving) SE. Oddly, that was one of the things we liked best about South Walton. You will find the book "Green Empire: The St. Joe Company and the Remaking of the Florida Panhandle" very intriguing, given your business background.
These posts regarding the slowdown in the South Walton market are interesting to me, the opinions so diverse. I tend to agree that those who purchased recently and speculatively, in hopes of spinning these properties may be writing some checks to unload them. We considered investing in some pre-construction condos and decided against doing so when we researched how many new lots and units were being created. Even without the hurricanes, sharks, etc. we would have seen (and even needed) a market correction. Arizona is a good example of what happens when too many units flood the market. Every time there is a small demand increase there, developers rush in and overbuild. Consequently, real estate profits are lower there than in most resort areas. By contrast, it is so difficult to build in CA that even with the nation's highest real estate prices, we continue to enjoy the highest profit margins in the country. This in spite of earthquakes, wildfires, floods, landslides (our four seasons!), and the high cost of living, by the way.
So my point is, people will always recognize quality of life, both in terms of natural resources and the area's determination to protect it. South Walton has done a pretty good job of requiring quality development with protection of resources and protection of quality of life. Hurricanes will always be part of life down there and not every year will be like the past two. I believe the major factors in the current slowdown are inflated inventory of properties, combined with the price increases of the past three years simply reducing the number of people who qualify for investment.
Our Grayton property, which was purchased a little over three years ago, has increased in value by three to four times what we paid if one looks at closing prices on comparable properties. How could we moan about the difference between three and four times, if we needed to move the property?
Another big plus in South Walton is the demand for rentals, which offset a recent buyer's expenses handsomely and can even cover expenses for someone who bought several years ago. I am unaware of anyplace in the country where this is the case in a resort community. The "bubble" hasn't burst, it's just coasting, pun intended. There is only so much property near an ocean/gulf and it will always be in high demand.
Having so opined, I am curious to hear what others have to say about Grayton Beach, specifically. We only looked at Grayton properties, believing that at the end of the day, that would be the most sought after location. My (retired) engineer husband also pointed out that Grayton was the only beach community in the area that had many hosues that were nearly or more than 100 years old and still standing. He felt the "deep" beach and the dunes, if protected, would do the protective job they have obviously done for a century or more. Also, the limit on development coupled with the State Park lands would keep a lid on the amount of inventory that could ever be on the market. Does anyone agree, disagree, whatever? We are not inclined to sell at this time, but are always interested in the dynamics of the marketplace. I welcome all opinions.
These posts regarding the slowdown in the South Walton market are interesting to me, the opinions so diverse. I tend to agree that those who purchased recently and speculatively, in hopes of spinning these properties may be writing some checks to unload them. We considered investing in some pre-construction condos and decided against doing so when we researched how many new lots and units were being created. Even without the hurricanes, sharks, etc. we would have seen (and even needed) a market correction. Arizona is a good example of what happens when too many units flood the market. Every time there is a small demand increase there, developers rush in and overbuild. Consequently, real estate profits are lower there than in most resort areas. By contrast, it is so difficult to build in CA that even with the nation's highest real estate prices, we continue to enjoy the highest profit margins in the country. This in spite of earthquakes, wildfires, floods, landslides (our four seasons!), and the high cost of living, by the way.
So my point is, people will always recognize quality of life, both in terms of natural resources and the area's determination to protect it. South Walton has done a pretty good job of requiring quality development with protection of resources and protection of quality of life. Hurricanes will always be part of life down there and not every year will be like the past two. I believe the major factors in the current slowdown are inflated inventory of properties, combined with the price increases of the past three years simply reducing the number of people who qualify for investment.
Our Grayton property, which was purchased a little over three years ago, has increased in value by three to four times what we paid if one looks at closing prices on comparable properties. How could we moan about the difference between three and four times, if we needed to move the property?
Another big plus in South Walton is the demand for rentals, which offset a recent buyer's expenses handsomely and can even cover expenses for someone who bought several years ago. I am unaware of anyplace in the country where this is the case in a resort community. The "bubble" hasn't burst, it's just coasting, pun intended. There is only so much property near an ocean/gulf and it will always be in high demand.Having so opined, I am curious to hear what others have to say about Grayton Beach, specifically. We only looked at Grayton properties, believing that at the end of the day, that would be the most sought after location. My (retired) engineer husband also pointed out that Grayton was the only beach community in the area that had many hosues that were nearly or more than 100 years old and still standing. He felt the "deep" beach and the dunes, if protected, would do the protective job they have obviously done for a century or more. Also, the limit on development coupled with the State Park lands would keep a lid on the amount of inventory that could ever be on the market. Does anyone agree, disagree, whatever? We are not inclined to sell at this time, but are always interested in the dynamics of the marketplace. I welcome all opinions.
:clap_1: 
