By Erin Oden
Keeping informed of accurate market data provides an edge in assessing opportunities in the local marketplace. After 2019’s lackluster first quarter, one may have concluded that the 30A market for home and condo sales had softened; however, the second quarter rebounded with a 4% increase versus 2018’s Q2. Even though sales were flat for the first half of 2019 compared to 2018 versus the prior year, positives remain:
1. Average sale price and dollar per square foot were flat
2. Properties that sold were on the market for shorter periods of time
As planned, non-stop flights to Panama City Beach Airport (ECP) were augmented in 2019. We are now seeing 11 major cities with non-stop flights to this airport. This enhanced accessibility certainly contributes to the success of our area and the 30A corridor real estate market.
Take a look at the trends within each of the most popular planned communities and the Gulf-front and high-end segments.
First half home and condo 2019 sales were well below last year. Q1 2019 was particularly down, as it cycled a very robust 2018. Q2 2019 did rebound with 14 transactions, the same as 2018 Q2. Most important, even with fewer sales, the average sale price and price per square foot increased for the first half versus first half of 2018.
Construction on the new Providence building, the last vacant spot of town center, has progressed nicely. Completion is estimated for spring 2020. It will encompass luxury condos of 6,000 to 7,000 square-feet and offer commercial space on the ground floor.
WaterSound Beach sales were very vibrant in the first half of 2019. Transactions and average sale prices posted healthy gains versus the prior year.
WaterColor community sales were soft in the first half of 2019. That said, average sale price and price per square foot were higher than 2018 numbers. Clearly, related to there being fewer properties on the market. Specifically, there were 26% fewer properties on the market at the beginning of 2019 compared to the beginning of 2018.
30 A Gulf-Front
After a record setting 2018, the first half 2019 sales of 30 A gulf-front homes cooled a bit. In all likelihood, having 20% fewer homes and condos on the market at the beginning of the year contributed to the lower sales volume. Fewer sales did not affect the average sale price, as we saw increases of 10% and 6% respectively in Q1 and Q2 versus the same quarters a year back.
30 A High-End Luxury $3M+
High-end luxury home and condo transactions continue to be on the rise. Even after a record setting 2018, we saw a slight increase in transactions for the first half of 2019. Average sale price dipped below the $4.5 million level we have seen for a number of years, but the average dollar per square foot of sold properties remained above $1,000. This points to the average home sold in this category in the first half of 2019 being somewhat smaller in size.
The increase of construction activity in Alys Beach contributed to an increase in sales during the first half of 2019. In fact, at the current rate, home and condo sales project to reach a record for Alys in 2019.
Seaside’s home and condo sales transactions were flat during the first half of 2019. Average sale price per square foot continues to be around $1,000, the highest for 30A planned communities. Properties on the market continue to be relatively low.
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