View Full Version : Prices dropping in Watercolor
skier
06-14-2005, 01:24 PM
Just looking at some prices in Watercolor and noticed that several lots and homes dropped prices between last week and this week. Looks like the market might be starting to move more toward reality.
Advance The Man
06-14-2005, 03:29 PM
Just looking at some prices in Watercolor and noticed that several lots and homes dropped prices between last week and this week. Looks like the market might be starting to move more toward reality.
Not sure a week determines a trend. Here's the latest release prices for the June 28th release.
skier
06-14-2005, 04:20 PM
One week does not make a trend, BUT this is the first time I have seen prices dropped (versus increased) since the inception of Watercolor.
Also, many of the properties on the current price sheet are priced higher than the prices on the latest release from Arvida. The St. Joe folks probably have a better sense of what will sell and at what price that all the average Joes that are pricing based on what the herd currently thinks property should be worth.
RiverOtter
06-14-2005, 04:29 PM
Just looking at some prices in Watercolor and noticed that several lots and homes dropped prices between last week and this week. Looks like the market might be starting to move more toward reality.
I have been watching the MLS for some time now and have noticed several price reductions BUT (IMHO) those properties were not seriously for sale. The price was set so high as to start a new trend. I've done the same thing. Offer something up for sale that you don't really want to sell and if somebody will pay that price great!
Smiling JOe
06-14-2005, 04:43 PM
I have been watching the MLS for some time now and have noticed several price reductions BUT (IMHO) those properties were not seriously for sale.
Thank you RiverOtter. Well said. If we look at only the change of price, we should be concerned. If you take into account, the people selling and listing the property, their motivation, and their knowledge of market, things don't look so bad. If the sellers and agents were placing "realistic" prices on the properties, we would see great demand, and sales. As it stands, Buyers are taking a step back to evaluate rather than purchase. Just my two cents.
skier
06-14-2005, 06:35 PM
I disagree with you about the intent of the sellers dropping prices. Two recent decreases were by builders that can't afford to carry the property long term versus owners that are merely testing the waters. Bottom line--no one really knows at this point in time if the market is softening or not. But, it certainly looks like a bubble to me with huge amounts of inventory and only a small percent of people in the US that can afford $1.5 million plus for a second home. I would be willing to bet that there is now a 3 or more year supply on hand of lots and homes and maybe a bigger supply of condos.
RiverOtter
06-14-2005, 07:38 PM
I disagree with you about the intent of the sellers dropping prices. Two recent decreases were by builders that can't afford to carry the property long term versus owners that are merely testing the waters.
Isn't this the same thing? The builder / developer may have $350/sq.ft. (I'm guessing here, I don't know the actual #'s) in a project (lot and house) and has listed the property for $550/sq.ft. Buyers aren't willing to pay $1,100,000 for a 2,000 sq.ft. house that is 1+miles to the beach so the builder/developer drops his price to $525/sq.ft.
Buckhead Rick
06-16-2005, 08:22 PM
Also do not forget the "short fuse" on some Watercolor property, like a stock option, the shorter time until expiration the less the option is worth. The last time I was getting a free cookie in the St Joe office a builder was discussing with the saleperson how much he should "low ball" the seller since there was only a few months to go before building had to start, they decided to offer $100m less that the $700m list- don't know the outcome. Like a golf shot, each one makes someone happy.
phdphay
06-16-2005, 09:21 PM
I was talking to someone here in Georgia tonight, and he said that he is putting his One Seagrove Place condo on the market just for the heck of it because he thinks the bubble is about to burst. A lot of people I know feel that way, whether it's true or not. I know some people who paid too much for a lot thinking that prices could only go up, yet construction costs are so high that they feel that if they built, they could never get their money back. So they're thinking about selling the lot. I think they might make a small profit on it, but it's minuscule compared to the profit made by the previous two owners.
RiverOtter
06-17-2005, 08:36 AM
Had some friends stay at Watercolor and were not happy. Said it was horrible crowded and the beach area is so small that if you didn't get there early enough no place to sit. :(
Had some friends stay at Watercolor and were not happy. Said it was horrible crowded and the beach area is so small that if you didn't get there early enough no place to sit. :(
Were thay just there? Their accesses are closed now so they may have been herded to one area.
RiverOtter
06-17-2005, 08:44 AM
Were thay just there? Their accesses are closed now so they may have been herded to one area.
Last week.
GraytonBound
06-17-2005, 08:44 AM
I wouldn't say they "weren't happy"....overall, that is. They thought the service was great.
But they did say they had to get there early & put their chairs in seaweed to get a spot. They were there first week of June.
Buckhead Rick
06-17-2005, 10:53 PM
My wife and friends just returned and said the same thing, the beach is now VERY small, and the vendors put thier chairs in the prime spots, so the rest have NOTHING left. Kurt, when will the beach come back to its pre-Ivan width?
My wife and friends just returned and said the same thing, the beach is now VERY small, and the vendors put thier chairs in the prime spots, so the rest have NOTHING left. Kurt, when will the beach come back to its pre-Ivan width?
Impossible to say because of future weather.
My wife and friends just returned and said the same thing, the beach is now VERY small, and the vendors put thier chairs in the prime spots, so the rest have NOTHING left. Kurt, when will the beach come back to its pre-Ivan width? Hurricane Ivan and Tropical Storm Arlene, Rick. Where were you? The Weather Channel is in Buckhead, no?
"Fear is the key to your soul" - The Who
skier
06-21-2005, 06:26 AM
ALys Beach is apparently having problems with its sealed bid process. Not getting the response that they anticipated.
RiverOtter
06-21-2005, 06:47 AM
ALys Beach is apparently having problems with its sealed bid process. Not getting the response that they anticipated.
How do you know this? I'm glad you do know but just wondered how you know.
skier
06-21-2005, 07:25 AM
Talked with several folks. Many folks dropping out of the bidding process and Alys is actually calling people to find out why they didn't bid. Camp Creek Kid, who seems to be tied in to Alys, also posted about this same phenomena of people passing on making bids (see the Alys Beach thread). They have been very slow in moving along and I believe the sealed bid process was a bad decision. Also, the architecture at Alys seems to turn a lot of folks off. In Rosemary, Seaside, and Watercolor some folks might not be enamored with the architecture, but they aren't turned off by the style of the homes. I have heard folks say they could never get used to the all white structures and zero lot line homes in Alys.
For some it will be heaven, but the unsusual architecture style will likely give them a smaller market to choose from than the other developments along 30A. It just seems to be too far outside the box for some people.
georgiaboy
06-21-2005, 09:28 AM
It doesn't look like the prices are dropping, I have been following the sales in Watersound and the actual sales keep rising. I think what has happening is that people listed their property earlier this year expecting a 20% increase and didn't see it so they are having to lower their asking price.
RiverOtter
06-21-2005, 09:48 AM
I have been watching a Bay front house in Niceville for several weeks / months now. The price was $990,000. Guess I shoulda made a bid cause after not selling for months the realtor raised the pirce to $1,250,000 :roll: . I don't get it :idontno:
Camp Creek Kid
06-21-2005, 10:39 AM
Camp Creek Kid, who seems to be tied in to Alys, also posted about this same phenomena of people passing on making bids (see the Alys Beach thread). .
I am not "tied in" to Alys Beach! I live about 1/2 mile away and I do know many of the people involved with the development. I also know many people who have been interested in buying there and a few who have acutally bought. We were interested in buying a lot at Alys Beach and perhaps running a veterinary clinic there. However, we're not interested in buying at the prices they're asking.
As I said in the Alys Beach thread, they have always planned to have a sealed bid process, and they have released properties privately as well. The intention of the sealed bid process is to give everyone who is interested an equal opportunity.
The Watersound sells office said that they've had 12-20% appreciation per month and they are expecting that to slow to 20-25% per year.
As far as Watersound goes, I've been told by several different people that prices will be dropping on lots because the build-out time is coming up on many of the first lots. Investors who are trying to dump the lots will come down on their prices.
Camp Creek Kid
06-21-2005, 10:42 AM
I have been watching a Bay front house in Niceville for several weeks / months now. The price was $990,000. Guess I shoulda made a bid cause after not selling for months the realtor raised the pirce to $1,250,000 :roll: . I don't get it :idontno:
RO, around here, if a house doesn't sell it is commons for realtors to raise the price. Don't know why, maybe someone can explain. I do know that it is a strategic move that usually works and the property will sell.
RiverOtter
06-21-2005, 12:27 PM
RO, around here, if a house doesn't sell it is commons for realtors to raise the price. Don't know why, maybe someone can explain. I do know that it is a strategic move that usually works and the property will sell.
I'll keep watching it. Who knows?
beachmouse
06-21-2005, 12:40 PM
The reasoning is something like- people only look at homes in very specific price bands, and won't look higher or lower than that, even if what they want is available at a lower price point. Raise the price, and you get a different group of potential buyers who might go for the house even at the higher price because it now fits within the parameters they gave their agent.
Niceville/Bluewater is also seeing people floating a higher price for a few weeks to see if anyone bites, then usually dropping it by 10% if no one does. Though even with a 10% reduction, prices are still significantly higher than they were this time last year. The under $350K homes there still sell pretty quickly if they're move-in ready and priced right. The typical area buyers- military officers and GS-13s- can still afford those homes even if they can't get as much square footage as they used to. But the over $450K homes tend to sit on the market much longer.
RiverOtter
06-21-2005, 12:51 PM
The reasoning is something like- people only look at homes in very specific price bands, and won't look higher or lower than that, even if what they want is available at a lower price point. Raise the price, and you get a different group of potential buyers who might go for the house even at the higher price because it now fits within the parameters they gave their agent.
Niceville/Bluewater is also seeing people floating a higher price for a few weeks to see if anyone bites, then usually dropping it by 10% if no one does. Though even with a 10% reduction, prices are still significantly higher than they were this time last year. The under $350K homes there still sell pretty quickly if they're move-in ready and priced right. The typical area buyers- military officers and GS-13s- can still afford those homes even if they can't get as much square footage as they used to. But the over $450K homes tend to sit on the market much longer.
Just proving Americans are Sheeple :biggrin:
WaterSound dropping too.
Sorry I should have specified "asking" prices. Actual sales prices will probably keep going up.
I have been watching a Bay front house in Niceville for several weeks / months now. The price was $990,000. Guess I shoulda made a bid cause after not selling for months the realtor raised the pirce to $1,250,000 :roll: . I don't get it :idontno:
This has been the norm over the last few years for folks who don't have to sell right away and are content to wait for top dollar. In order to do this you have to raise the price every 3-6 months or so, or your asking price will fall behind the market price. :wink:
vBulletin® v3.7.2, Copyright ©2000-2008, Jelsoft Enterprises Ltd.