The beginning of February, our Broker pulled statistics for North Myrtle Beach Oceanfront Condo pending Sales. Much to our surprise, that number was 24%...... Wow, 24% of our current inventory was Pending a sale (having Contracts to purchase in place) Our average number is normally 2.5%, so you can see that a Tenfold increase is a big deal considering how tough the market has been lately.

My major concern with this information was that the majority of these offers were contingent on Financing (meaning the buyers are applying with a Lender and the offer is only accepted if they are approved) So, out of that 24% of pending sales, how many will actually close?

The increasing restrictions that Lenders are placing on Financing Investment Property, 2^nd homes or even a regular purchase are making it harder and harder for people to buy. The interest to buy may be there, but the money is becoming increasingly harder to come by. Take an example: Want to buy a Condo in Myrtle Beach, SC? Oceanfront, Oceanview or even Second Row condos require quite a bit from you before you will be approved to Finance your new property. First, prepared yourself to put anywhere from 25% to 50% of the Purchase price as a Down Payment. Second, the Money used as a Down Payment, typically, must be seasoned (have been sitting in an Account of yours) for well over 60 days. You will need to have a Credit Score very close to 700 or even better and they will prefer you to have had Liquid assets(Money in Checking /Saving Accounts, 401Ks, Stocks, Bonds, Mutual Funds or IRAs) in your account for 12 months or longer. The days of 100% financing for investors is very long gone!!

Let’s go over some figures.. All these figures below are based on Oceanfront Condos only!! The main reason for that, is simply that Oceanfront properties set the tone for our market. Let's face it, that where everyone wants to be and the reason your looking here!!

• Current number of Active Listings for sale: 474 Avg. Which is 28% of our Whole Associations inventory

• Current number of Listings that are Pending a Sale: 111 That’s 23% of our Inventory

• Current number of Condos that have Sold since Jan.1^st : 20 That’s only 4% !!! Ouch!

Now, lets pull Statistics for the Entire Grand Strand ( from Georgetown up to North Myrtle Beach)

• Current Active Listings for sale: 1675

• Current number of Listings Pending a Sale: 143 This is 9% of the Inventory

• Current number of Condos that have Sold since Jan. 1st: 45 This is 3% of our full inventory

Next, let's pull the Myrtle Beach Proper area only (majority of our Condo market share at 60%)

• Current Active Listings for sale: 1008

• Current number of Listings Pending a Sale: 27 That is only 3%

• Current number of Condos that have Sold since Jan. 1st: 24 That is only 2%

Now, after pulling all the Statistics above, I thought it would interesting to see what numbers were like in past years. What I found was that we were seeing prices on Oceanfront condos reverting back to 2003 . That is a major shift in Market values and an even larger buying opportunity. Take a look at what I found:

• Jan-Feb.2009 Myrtle Beach Area Avg. List price:$192,119 Avg Sold Price: $176,399
  • There is an 8% difference in price between Listed and Sold
• Jan-Feb. 2003 Myrtle Beach Area Avg. List price:$165,712 Avg. Sold Price:$159,433
  • There is only a 4% difference between Listed and Sold
    • Roughly, comparing 2003 to 2009 , Avg. List prices are only different by 13% ; Sold Prices were off by 10% . Those are small margins considering how high prices were in 2005-2006

• Jan-Feb. 2005 Myrtle Beach Area Avg. List price:$247,824 Avg. Sold Price:$243,626
  • Only 2% difference between Listed and Sold prices
    • • The Avg. Sold price Soared 53%!!! from 03
• Jan-Feb. 2006 Myrtle Beach Area Avg. List price:$271,709 Avg. Sold Price:$267,932
  • Just 1.3% difference
    • • The Avg. Sold price increased another 10%!! from 05
• Jan-Feb. 2007 Myrtle Beach Area Avg. List price:$330,617 Avg. Sold Price:$312,114
  • Here we see a Difference of 6%!
    • • The Increase from 06 to 07 was yet another 16%!!
• Jan-Feb. 2008 Myrtle Beach Area Avg. List price:$262,048 Avg. Sold Price:$239,642
  • With the prices just now being to fall, the difference is 9%!
    • For the first time in Seven Years, we see a decrease of 23%!!! from 07 to 08
      

• • The Average Sold price increase from 03 to 05 was 53%!! , 03 to 06 was 68%!! 03 to 07 was a whopping 96%!!!! HUGE
  • Looking from 03 to 08 we see a change of only 50%!! and to come full circle, form 03 to 09 we see it just at 11%!!!
    

Yep, it's official! We have certainly come full circle in prices!! The question that will continue to be on everyones mind is, how much more will prices continue to drop? How much longer do you think you should wait??

Well, if you are still waiting to see if the prices will drop any further? Be careful, if you wait too much longer, you very well may miss the boat and find yourself in that large category of people who will have said

Baywatch Resorts, 1Br Direct Oceanfront Condo

Units that SOLD in 200

I Became interested in the Statistics over the past five years for Oceanfront Condos in the conversations I had between me and my fellow local Relators! I noticed a common theme! More and more I would here "we are dealing with 2003 pricing" or "prices have reverted back to 2003"!

Fully intriuged, I thought the best thing to do would be to dive in and do a little research myself and see if there is any validity to all this!! Above, you will see that all the 1 Bedroom Oceanfront condos that sold within 2003 averaged at a price point of about 147K. The list is decending from the first of the year down to the the last.

I plan the make this a muti-part blog, breaking them up by each year unitl we come full circle, to the present! Check back from time to time to see how the numbers come out!

Pulling current listings, the lowest priced 2br/2ba condo in Barefoot is $124,900, fully furnished and a little over 1000SqFt in living space. It's not a Short sale and they are very motivated. Up from that there is one Listed for $174,900 and is larger at about 1500SqFt. It's being offered furnished as well but be sold as a Short Sale. The POAs between both of them run either 289 or 354 per month. I'm not sure what all you get with the POAs other than the usual pool/rec. facility and some basic utilities; Pretty standard compared to others. Barefoot does offer a degree of privacy being a bit separate from Hwy 17 yet being very close to all the Shopping and Attractions Barefoot has to offer. I know that the resort has a membership but I'm not sure if it would be included in your POAs or a Separate fee all together. In regards to Investment, most units pull close to $10-11,000 gross per year.

In comparison , Baywatch Resorts, a Direct Oceanfront condo complex, has 2Br/2Ba Direct Oceanfront condo listed for as low as $234,000. They run about a1000 SqFt and the HOAs run about 490 per month. They have fully amenities, Pools-indoor and Outdoor, Onsite Property Management and they are still close to all the Shopping at Barefoot. Oh, and did I mention that the other amenity is the Atlantic Ocean! Investment wise, they pull in and average $25,000 annual gross. There is a good chance you could pick on up for close to 200K and see a great return on your investment down the road. Not to mention when you use it, you would be right there on the beach. If that price point is too high, you could get an Oceanview, Large 1Br/1Ba condo suite for under 200K with HOAs fees at 280 or a Direct Oceanfront 1br/1ba condo for close to 125K, it's about 600 SqFt and can sleep Six people. The annual gross income on these units is anywhere between $15,000 to $20,000. We're seeing Oceanfront prices as low as when they were selling in 2000 when the building was built!! I guess the choice is really yours. It depends what's more important to you!

What would you do? Appraised in 2007 for 1.1Million. It's been on the market for over a year, tried to sell it well below appriased value and now; They simple MUST SELL!!

Beautiful, fully custom home that dons 6Br / 6Ba, 5000SqFt. Has a Swimming Pool, Carolina Room and a Mother-in-Law Suite/Guesthouse and a huge Three Car garage; All sitting on a Double Lot!!!

"MOTIVATED SELLER in Murrells Inlet, SC Goregeous Custom Home MUST sell!!!" Pretty much says it all.

Good Day,

My name is Thomas Cunningham. I am a Realtor that currently covers the South Carolina Coastal areas: from North Myrtle Beach all the way down to Charleston! Due to my profile on ActiveRain.com and my personal Website; the producers of the Reality Show "House Hunters" have recently approached me to do a Shoot in the Simi-Charleston area.

After speaking to the producer for some length, she informed me that they could shoot anywhere from about Murrells Inlet to about 30 minutes to an Hour outside of Charleston.

Have you ever watched the show? Did you ever think to yourself, "it would be cool if I was one of those people, on the Show?"? Well, now is your chance! If you are an Active Buyer and would like to be feature on "House Hunters" please give me a call and let's discuss the details.

I want this to be foremost in your thoughts before you consider this opportunity; my profession is a Real Estate Agent! My sole desire and upmost responsibility is to help people make the best decisions possible when Buying or Selling Real Estate! If you contact me, helping you make the smartest purchase is my First Priority!! The show would come second!!

This is an Opportunity that has been presented to me and I am both honored and greatly appreciative!!

Thomas Cunningham

Buyers' Choice Realty

Cell (843) 814-1078

Email homesbythomas@gmail.com