June 2015 market update

Loan rates for condominiums edged up one-quarter of a point last week following an unexpectedly strong May jobs report that caused bond yields to go up. Rates were briefly at 4.5% on a five-year ARM before falling back to there normal range.  I think interest rates will have to go higher before we see any effect on Panama City Beach's condominium market.  You can get more detailed loan information in my condominium loans in Panama City Beach article.

Condo prices

2br-psf-060915

Condominium prices have increased 6.1 percent since last year. Two-bedroom condos built since 2001 are selling at an average of $252 per square foot. This is basically unchanged from the $249 per square foot price seen in the fourth quarter of 2014. The graph doesn't tell the whole story since most floor plans are experiencing 10 percent annual price increases. The catch is there is stronger absorption of floor plans with below average prices per square foot.

Condominiums such as Shores of Panama still are selling at slightly less than $200 per square foot. However, condos such as Palazzo, Aqua and Calypso have floor plans selling for more than $300 per square foot. An identical trend is occurring to condominiums built prior to 2000. Absorption in that market is much stronger than previous years. To get an idea of the histories of individual floor plans, check out the condominium sales history articles below.

Calypso sales history

Ocean Villa sales history

Sales volume for Panama City Beach condominiums

Annual sales volumes for condos built prior to 2000 versus condos built since 2001

june-sales-volume-060915

Looking at the current sales for older condos versus newer ones exposes opposing trends: Condos built prior to 2001 show a 20% increase in sales volume compared to the previous year. Condos built after 2001 show a 4% drop in sales volume.

The figures display a move toward absorbing older condominiums. This new trend can be attributed to large price increases in the newer condominium market.

Condo price comparison (older versus newer)

psf-comparison-060915

Older and newer Panama City Beach condominiums still have significant price differences.

Tags: Real Estate Market Updates, Panama City Beach condos for sale, Panama City Beach real estate

People in this conversation

  • Darlene Hatch

    Chris,

    Thanks for the update. We are half way there - sold our Ruidoso, New Mexico home in one week and close mid-July. We have to sell our
    Rockport, Texas home before we can consider anything in PCB. We did see one that really interested us - 320 at Shores of Panama BECAUSE OF THE SAME FLOOR PARKING ON A LOW LEVEL, ACROSS THE STREET FROM WAL-MART AND A BUNK ROOM I COULD TURN INTO A WALK-IN CLOSET. THIS WOULD BE OUR PERMANENT HOME. It certainly is not nicely decorated and not interested in many of the furnishings though. It has not been rental property. However, my husband says we would probably gut anything we buy, so that isn't a big draw to us on this condo. It is priced higher than most L units and that's probably because of the lower level. $294,500

    We kind of want to wait and see if the new spring break rules by the city wlll either increase or decrease the sale of condos if people can't rent them because the kids won't come there any more if they can't party on the beach. Personally, I think they should all go to Cuba and help rebuild their economy.

    We'll be in touch when we're sincerely serious about buying.

    Short URL:

Leave your comments

Post comment as a guest

0

Waterfront Panama City Beach Real Estate

Waterfront homes in Panama City Beach Florida can be more of an adventure than a search. We have simple easy to view listings in the Panama City Beach area that give you more of you are looking for and less of what you are not. We have separate and distinct searches for Panama City Beach houses, Bay Front homes, Panama City Lake Front homes, and Panama City Gulf front homes in the area. We also have Panama City waterfront real estate lot searches that will be very helpful. This should help you in your search for Panama City Beach Real Estate.

Panama City Beach condos for sale

Looking for condos for sale in Panama City Beach can be a daunting task. We can help you in a number of ways. Our website provides a host of information including listings, floor plans, pictures, and more. We also have agents that are true experts in condominiums. With a little information, they can give suggestions on which buildings may best suit you.