This is one of those times when I just want to put my head in the sand or at least lay on top of it and totally zone out. The weather is hot, hot, hot, the real estate market is cold, cold, cold and the threat of hurricanes is breathing fire down on us. Let’s start with the hurricanes.
Every hurricane prediction is in agreement that this will be an above-average season in the Atlantic Basin. The one I always look for is the Colorado State University forecast because I love that we’re getting our hurricane forecast from a landlocked mountain state. Nevertheless, their prediction is for 23 named storms, 11 hurricanes and five major hurricanes.
Before you put your head in the sand along with mine, remember that the Eastern Seaboard coastline is very long from as far north as Massachusetts to the southern tip of Florida and around into the Gulf of Mexico. My point is the hurricanes have a lot of area to choose from, but as they say, it only takes one and you have to be ready.
Anyone reading this lives either on the water or close enough to it that will require knowing your evacuation route, including emergency shelters and/or hotels or friends and relatives to evacuate to.
Get your three days’ worth of supplies for each family member where it is easily accessible. Nonperishable food, water, medications, first aid kit, flashlights, batteries, radio, cash, some clothing and important documents.
Secure your property, hopefully not the day before a storm is due, but how about right now? Window and door protections are at the top of the list.
Put away any outdoor projectiles, chairs, tables, toys, tree branches. If you have a garage, use it or move your vehicles to a more protected area. Get a backup power source, a generator, if you can arrange that. Turn off utilities, especially gas, and if you evacuate, leave your refrigerator and freezer free of raw meat or anything else that will go bad and damage your refrigerator if the power is off for several days.
Getting ready for hurricanes is one thing, getting ready for the real estate market is another thing. Let’s see what the May sales statistics show, released by the Realtor Association of Sarasota and Manatee:
Single-family homes closed 0.2% fewer properties than last May. The median sale price was $525,000, 1.9% lower than last year, and the average sale price was $709,406, up 3.4%. The median time to contract was 45 days compared to 32 days last year and there were 24.8% more new listings. The month’s supply of available inventory is 4.1 months compared to 2.7 months last year.
Condos closed 25.8% fewer properties compared to last year. The median sale price was $361,495, 5.5% lower, and the average sale price was $412,368, 32% lower than last year. The median time to contract was 56 days compared to 37 days last May, and new listings were down 5.3%. The month’s supply of available listings is 6.3 months compared to 3.4 months.
As you can see, the report of fewer sales and generally increased inventory is shifting the market to a potential buyer’s market. Condos are feeling the effects more than single-family, I believe partly because of the summer season, where potential buyers for winter condo retreats has declined. We’ll have to wait until the fall to see if this is the case; in the meantime, the condo market may continue to decline the further we get into hurricane season and warmer weather.
Meanwhile, be prepared for storms, stay alert and enjoy the warm Gulf waters.
