Blog Northwest Florida

Buyer's Market in Pensacola . . . But Things Look to be Changing! Most experts agree, once you exceed six months of housing inventory in a local real estate market, you are in a Buyer's Market. And like most of the country, the Greater Pensacola Bay Area has found itself in a buyer's market for more than two years now.

But is a shift afoot? The numbers seem to say so. Our average selling price has stabilized, or crept up, depending on which month you choose as your cutoff point. And our inventory, while at a whopping 15.44 months for the month ending in May, was a far cry from the height of 24.46 months back in January.

And while there was plenty of bad news to focus on in the annual "State of the Nation's Housing" report issued today by the Joint Center for Housing Studies of Harvard University, a "mild downturn" is the concensus forecast of the majority of economists, and "the fundamentals of demand are likely to drive a strong rebound in housing once prices bottom out and the economy begins to recover."

With the baby boomers hitting their peak retirement years from 2012 to 2014, markets on the coast with mild climates and affordable housing, like the Greater Pensacola Bay Area, look like a good bet for real estate.

For a similar article:

Definition of a Buyer's Market, Pensacola Bay Area Style

Pensacola Real Estate Headlines Don't Tell the Entire Story . . . Today's Pensacola News Journal's feature story on the local real estate market was headlined "Area Home Sales Continue to Slide." But within the same newspaper another real estate article was headlined ""Prices Remain Higher Despite More Competition, Fewer Buyers."

Both of these headlines ring true, but there are back stories (Aren't there always?). The first article points out that we are seeing significantly fewer sales; 599 in May of '08 vs. 870 in May of '07, but doesn't really explore the fact that actual prices aren't declining by much.  The second article hits this, pointing out that our prices aren't coming down in relation to the declining number of sales. Sellers (potential sellers!) are clinging to their higher prices. And, a quick look at the large number of withdrawn and expired listings tells the tale of many potential sellers simply choosing to hold on to their Pensacola area properties.

Here's the thing to understand - to borrow from the National Association of Realtors - "all real estate is local." And by local I mean we really have to drill down to the local real estate sub markets. I just posted a Pensacola Beach real estate market update on my Pensacola Undressed blog that shows the total number of sales on the beach, as well as sales prices, increasing year over year. Accurate? Absolutely. But is there more to the story than the numbers tell? Yes. Several very expensive units ($2m +) in a Gulf front pre-construction property closed early this year skewing the statistics.  

Of course, like most of the rest of the country the Greater Pensacola Bay Area real estate market has seen some significant changes. Our prices were rising rapidly prior to Hurricane Ivan, and then the loss of inventory in the wake of the storm meant that homes went for full price or more for a period of time. As the market started settling back in the economy, on a national level, became a growing concern.

So here we sit. Too much inventory at prices that don't tempt the market.

But, are there opportunities? You'd better believe it. Not all sellers want to be sellers forever. Some people need to move on and are pricing their homes for the market and they are selling. It's all about truly knowing the market and jumping when the appropriate property comes available at market price. So, forget the Pensacola Real Estate Headlines, They Don't Tell the Entire Story.

Galveston's East Beach Palisade Palms Luxury Condos Now Closing . . . So what's a Florida real estate broker doing blogging on a Texas condominium project? I'm so glad you asked!

While my primary real estate market area is the Greater Pensacola Bay Area and I sell all manner of residential (and on occasion commercial) property in the Pensacola area, I am also licensed in Alabama and Mississippi and sell real estate across the Gulf Coast. Back in 2005, while I was knee deep in selling pre-construction condominiums throughout the three state region, I was approached by a Texas developer with a condominium project planned for East Beach on Galveston Island. Did I have clients that might be interested? At first I wasn't so sure, but after a quick fact finding trip to the East Beach site and several meetings with the Palisade Palms principals, I realized that I have LOTS of clients who would find this landmark condominium very exciting. Ultimately, I had just under 30 clients that decided to purchase in this outstanding Galveston luxury condominium project.

Fast forward to today and - guess what - this twin tower modern landmark is complete and residents are moving in! And what an amazing, amentiy rich condominium project Palisade Palms really is! The two towers front the Gulf of Mexico and the amazing curvilinear design allows sweeping Gulf views and privacy from the unit balconies.

This is one large project, with a total of 288 units and nine separate floorplans ranging from 1,044 square feet to 2,957 square feet. The project is just a quick one hour drive from Houston. One amazing selling point, this is the first modern highrise built on Galveston Island in over 20 years! And is it modern! Here are just a few of the Palisade Palms condominium amenities:

Plaza Deck with Infinity Edge Pool and Spa Hot Tubs, Children's Pool, Luau Fire Pits, Tennis Courts, Doggie Bark Park, Kids Club Area and Sandbox, Lobby Entrance with Dramatic 20 foot Ceilings, Lobby Lounge with Gulfside Views, On Site Property Management Ofices, Business Services and Conference Meeting Room, Morning Lounge, 2nd Floor Lounge and Cafe Bar, State of the Art Fitness Center, Cocktail Lounge and Private Dining/Party Room with Catering Kitchen . . . well, You get the idea!

Are you or one of your clients interested in Palisade Palms? Be sure and give me a call and let me walk you through the ins and outs of purchasing property on the Gulf Coast - Florida to Texas! I'll be happy to help! Galveston's East Beach Palisade Palms Luxury Condos Now Closing . . .

This blog is written by Robin Sherman, MA, CRS, Broker Associate, Colcwell Banker United Realtors. All views and opinions are her own. You can contact Robin via phone at 850-516-8185 or e-mail her at Robin@PensacolaForYou.com.

Downtown Pensacola - Fiestas, Festivals and French Architecture - Could you have more fun than watching the merriment of costume clad people tossing candy and beads? Every summer Pensacolians line the downtown streets for the Fiesta of Five Flags procession and parade. And every summer I do my  best to be in town to catch the goodies during the Fiesta festivities!

The parade route winds its way through the center of downtown Pensacola, passing bystanders on the street and merry makers lining the balconies of upstairs New Orleans style condos and apartments. The parade usually boasts twenty or more floats, McGuire's bagpipe marching band, twirlers, and more.

This year marks the 59th Fiesta of Five Flags. The event started in the 1940s as a way to promote tourism. It marks the landing on Pensacola Beach of Spanish explorer Don Tristan DeLuna and the history of the five flags that have flown over the city; Spanish, French, English, the Confederacy and the United States. The various activites making up today's year round Festival are truly too numerous to list, but include a sand castle contest, a crawfish festival, a treasure hunt, boat parade and seafood festival.

Pensacola's downtown core has a mix of single family homes and condominiums with numerous neighborhoods featuring historic homes as well as newer homes in a variety of historic styles. Real estate prices in the downtown area have not declined as they have in some other areas as there have been several popular revitalization efforts, like the Aragon neighborhood.

Interested in real estate in a "right sized" town with fabulous weather, affordable housing and plenty to do on a regular basis? I'd love to tell you about Pensacola!

Interested in Similar Articles?

Market Trends in the Pensacola Bay Area

Jubilee . . . Remembering Old Florida

Creative Real Estate Marketing or Just Plain Silly? Now, I am the first to admit there is more than one way to skin the cat . . . or sell the home in this instance. But . . . luring buyers with $30 bottles or chardonnay, free dog biscuits or aromatherapy candles? I'm just not so sure.

I'm referring to the story on the front of the USA Today Money Section:  "Come look at this house, I'll give you a bottle of wine."

The gist of the article is that sellers and real estate agents across the country are so "desperate" that they are giving away $30 bottles of chardonnay - and the like - just to get buyers and other agents to tour their listings.

Now, I'm not opposed to the agent Open House with a brunch or lunch as a draw, and I'm all for creative real estate marketing, but . . . I'm just not sure someone who is looking to buy a $2.5 million home - as the example used in the article - is going to be convinced to tour the home based on the offer of a $30 bottle of chardonnay.

Creative real estate marketing? I'd say some fabulous photos placed on the appropriate web sites with a dynamite description, some super SOI networking (including a Broker Open House), a competitive price and a bit of luck thrown in for good measure would take the agents a lot closer to their goal. What say you?

Market Trends in the Pensacola Bay Area - We've had our Ups (2003 to 2006) and we've had our Downs (2007 to . . . ). So where are we right now? Here's a year over year comparison for the Pensacola Bay Area's real estate market:

Our total number of sales shows a distinct downward trend - 22% fewer closed sales year over year - to be exact. But, look at the average sold price . . . almost $5,000 higher.

So what gives? Well, it's tough to tell in the macro view, but on the micro level I am seeing the Pensacola Bay Area real estate market remain strong in the $225,000 and under price range while our higher priced inventory is having to adjust prices downward in order to sell.

What does this spell for consumers? For the time being I see opportunities across the board, but particularly on higher priced homes, beach properties and waterfront properties.

The buyers continue to ask, "Is it time to jump in?" My answer, let me run the numbers for you for the particular Pensacola area or neighborhood you are interested in. We can see if properties are trending upward or downward. Then the question is simply, "Are you ready to jump?"

Market Trends in the Pensacola Bay Area - Related Article "It's Raining Real Estate Contracts in Pensacola"

A front page article in today's Wall Street Journal (Real Estate Woes of Banks Mount) laments the fact that we continue to see turmoil in the banking industry on the heels of mounting bad loans the industry made to finance home and condo construction.

The same article includes the sentiment that there are signs of improvement: "At the same time, regulators praised the banking industry for raising capital and for building up reserves against losses. They added that some pockets of the credit markets were showing signs of improvement."

With all the signs pointing in different directions, even according to the Wall Street Journal, what's the poor consumer to do? 

As I've said before, the time to buy and the time to sell if "When you need to." It's not always dictated by the top - or bottom - of the market. That being said, we are seeing signs of a bottom in our market as investors and home owners with good credit and money for downpayments are making purchases based on the perception of VALUE.

This week I put three Pensacola Bay Area properties under contract. All three are listings that had been on the market for some time and all appropriately priced for the current market. As one of my real estate conterparts once said, "There's no problem with a property that price won't cure." 

Wall Street Journal Front Page - Real Estate Woes Mixed Bag

Volunteer, Pensacola Needs You! One of the best things about Northwest Florida is all the things we have going on! We are blessed to have beautiful beaches to walk and rivers to canoe, then there are the great shopping venues, sports events, concerts and festivals. Wheewww . . . like I said, lot's to do.

Now while that's all tons of fun, at some point most of us want to give back to our commuity as well. Pensacola is doubly blessed . . . in addition to our beautiful setting and so many activities to participate in, we also have so many opportunities to volunteer.

Why volunteer? Here are my three favorite reasons:

1. It'll keep you young. I don't have any proof, but my grandmother said so. She lived to 92, doing lots of volunteer work and she was young to the end so I take it as a fact!
2. It's a great example for the kids. I started getting my son to help with the pancake breakfast at the senior center when he was four. It was one of his favorite things to do and I believe it laid a great foundation of volunteerism in him.
3. You'll just feel better. I promise!

Well, what are some of the HOT opportunities for volunteers? Here are just a few:

Wildlife Sanctuary of Northwest Florida - This nonprofit center cares for injured or orphaned indigeneous wildlife. I was recently at the Garden Gate Earth Day Celebration and the volunteers from the Wildlife Sanctuary were there with two owls and a falcon. One of the owls was just a baby, fluffy instead of feathery and as round as a baseball!

The Wildlife Sanctuary accepts these injured or orphaned wild animals, provides medical care, rehabilitation and fostering. They also provide community education, like the program I - and dozens of others - attended at the Garden Gate. This program focused on providing a habitat for wildlife and why it is so important to do so.

Think you'd like to help with their efforts? To learn more about how you can volunteer, contact Leticia Grove, at lfreeland22@yahoo.com. You can also visit their website: Wildlife Sanctuary of Northwest Florida 

Habitat for Humanity - We have a very active group in the Pensacola area. A total of 71 homes were built in 2007 alone! They have a great website: Habitat for Humanity that's well organized and gives a great overview of their program and all the volunteer opportunities available.

Want to work on a construction crew? How about volunteer in the home store? Or is office work or fundraising more to your liking? There's something for everyone and an awesome way to get involved, meet new friends and help the comunity.

West Florida Hospital - Now, hospitals are obvious places in need of volunteers. And with so many programs at West Florida Hospital the volunteer opportunities are tremendous. Did you know that West Florida Hospital provides free memory screening? They also have numerous support groups and a healthy living membership organization. All of these programs need volunteer help.  To learn more about the volunteer opportunities at the West Florida Hospital call 494-4188.

So, get to it! Volunteer, Pensacola Needs You!

Robin Sherman Realtors, Coldwell Banker United Realtors, We're Meeting Real Estate Needs in Northwest Florida. Contact us at www.PensacolaForYou.com

Environmental Concerns in the Real Estate Transaction, from air pollution to the safety of the drinking water to traffic counts, today's savvy buyers demand answers. And Realtors calling themselves experts need to be prepared to provide added value by understanding the issues, and by knowing where to find additional information and expert advice.

Most of us sell throughout our market areas which, in less populated parts of the country, can cover several counties. Knowing every aspect of the neighborhood, from price points to industrial density can be a stretch, but in order to remain competitive and give consumers what they demand we MUST know where to get the answers to the exceedingly diverse questions coming our way.

Due diligence, particularly concerning potential environmental issues, has always been a part of the commercial real estate arena. But residential real estate has been slow to follow. It was only in 1992, that the federal government began requiring lead-based paint disclosure on all sales of homes built prior to 1978. Today most states have numerous recommended and required disclosures relating to environmental issues and potential issues. However, it is usually up to the buyer to determine what is important to them and to seek out additional information.

While it is beyond the scope of an agent's responsibility to conduct environmental investigations, it is crucial that we know where to direct clients for information. My growing interest in energy efficiency and general environmental awareness led me to complete the EcoBroker designation. Through the course work I realized the value of the unique perspective on energy, environment and green market issues that the designation affords agents. This, along with a strong focus on on-going education to keep up with the changing technology, allows EcoBroker designated agents the ability to provide clients with the real benefit of professional guidance during the real estate transaction.

For more information on the EcoBroker designation visit EcoBroker International

Related Articles and Resources on Environmental Concerns and the Real Estate Transaction:

"A Citizen's Guide to Radon: The Guide to Protecting Yourself and Your Family from Radon" 

"Testing Your Home for Lead: In Paint, Dust, and Soil."

Your Drinking Water - Howe Safe is It?

Mold Resources

Asbestos Resources

Historic Contamination - "Where You Live: Search Your Community"

Robin Sherman Realtors, Serving the Greater Pensacola Bay Area, Visit my website, www.PensacolaForYou.com