As times change, so do condominium loans in Panama City Beach. The reason is because most buyers are people who purchase these properties as secondary residences or investment properties. The type of loans that banks grant for secondary residences are different from those offered for primary residences especially after the mortgage meltdown of 2008. Before the mortgage crisis, most lenders sold their condominium loans to Fannie Mae, Freddie Mac and any other bank or financial institution that was willing to take them on the secondary market.

Condominium Special Assessments

Special assessments are extra charges levied on property owners for unforeseen or non annual costs. In 2025, the frequency of these assessments has increased due to the implementation of the Structural Integrity Reserve Study (SIRS) and Milestone Inspections.  With a capable buyer's agent, special assessments shouldn't be a concern. Simply deduct the assessment from your offer price and negotiate for the seller to cover it at closing. Special assessments are actually one of the most straightforward methods for addressing:

• Inflation gaps in reserves
• The need to update elevator and fire system electronics well before their expected lifespan.
• Dramatic rise in insurance premiums (that are now going down again)
• New structural requirements mandated by law
• Milestone Inspection Report Deficiencies

They're an effective way to align regular association fees with the true cost of annual condo maintenance.

Looking at the entire sales history of Ocean Villa, I compared the two bedrooms there with four other buildings that were constructed by the same developer and had identical floor plans. The graphs show a comparison of recent sales. Condos on the west side of the beach tend to demand a slight premium to those located in central Panama City Beach.

Condo sales volume this year remains sluggish, trailing 29% below 2024’s 20-year record low. Average condo prices have declined by 6.5% compared to 2024’s annual average, with an even steeper drop of 16% when measured against Q1 2024. A deeper analysis reveals a significant split.  Condos built before and after 1990 show a much wider price gap.