October 21, 2009
3rd Quarter Recap for the Condo Market in the Gulf Shores Area
As we move into the fall season, I thought it would be interesting to do a recap of the first 9 months of the Condo Market in the Gulf Shores area. I know that my business has been better this year and the statistics bear out that the same was true for the market as a whole.
The 2009 numbers reflect a 36% increase over 2008 while the average Days on Market remained almost identical. You will notice that I included two Average Sold Price entries. One for all of the Gulf front listings and another figure in which I backed out the Phoenix West sales. Phoenix West is an upscale Gulf front complex that completed construction in 2008. The developer began closing units in 2008 and has continued into 2009. While these are certainly legitimate sales, most are pre-construction transactions that were agreed upon 3 years ago. There were 7 Phoenix West sales listed in MLS in 2008 and 25 in 2009.
I found it interesting that the Average Sold Price of Gulf Front Condos (without Phoenix West) has only dropped about $31,000 in the period. Gulf front condos have closed at about 93% of list so far in 2009. It is anybody’s guess if prices will continue to go down in the condo market in the Gulf Shores area. When I look at the prices in which some of the properties have been closing lately, it is hard to imagine that they can go much lower.
If you would like to discuss these figures or get specific information regarding properties in the Gulf Shores area, please give me a call at 251-978-7118 or shoot me an e-mail.