Gary & Sandy Elliott
This week there are 269 condos for sale on Marco Island, down 28% from this time one year ago. During the last 12 months 581 condos sold on the island resulting in an overall sales rate of 48 condos per month. If this rate of sales continues with no new inventory coming on the market the island has less than 6 months of condo inventory for sale, which is generally considered a seller’s market.
However, a closer look shows that each condo price segment has a different characteristic. For instance, there are 140 condos listed for sale under $500,000. 394 condos in this price range sold during the last 12 months at a rate of 33 condos per month. This represents two thirds of all the condos sold. Dividing the number of active listings by the rate of sales means there is a little over 4 month’s supply of condos in this price range – a definite sellers’ market but still plenty of condos to pick from.
There are 77 condos listed for sale between $500,000 and $1 million. During the last 12 months 131 sold in this price range. This is a rate of 11 condos per month or a 7 month supply – a buyer’s market.
From $1 million to $2 million there are 37 condos on the market. During the last 12 months 42 condos in this price range sold for a rate of 3.5 per month. That means there is an 11 month supply, a definite buyer’s market.
And over $2 million there are 14 active listings and 9 sold at a rate of .75 per month so there is a 19 month supply of these condos but very few choices.
This shrinking condo inventory trend continued in June 2015 when 73 condos sold, up 87% from a year ago. 51 condos are pending and only 39 new listings came on the market.
So what does this shrinking inventory mean? For those owners of condos valued under $500,000 now is a good time to list your property. Your condo will sell quickly close to your asking price. For those with a higher priced condo be sure you price it right in this buyers’ market segment.