Slowdown

After breaking sales records every year for the last ten in Cocoa Beach and Cape Canaveral the recent sales numbers are hinting that the skinny inventory may be starting to overwhelm the strong demand. With February's lackluster numbers we now have three consecutive months of lower year over year condo sales. December lagged the previous year by 13 units, January - two less and February came in 22 units less than February 2015, slightly more than half the activity of a year ago. Single-family home sales were similarly slow with only eight homes closed in our two cities in February. Inventory has recovered somewhat (up about 40% since Jan. 1) so I suspect this slowdown will be short-lived. There are 98 condos and 28 homes currently under contract awaiting closing.

Home sales of note included a nine year old 6475 square foot, 7 bedroom Cocoa Beach canal home that closed for $550,000 ($85/sf) and a brand new waterfront 2414 square foot Key West style two blocks from downtown that closed for $655,000 ($271/sf).

In a departure from recent months, activity in the higher priced condo market was absent. Only one unit sold for more than $400,000, a 2140 square foot three bedroom direct ocean unit in a small three unit building in south Cocoa Beach that closed for $425,000. Only four of the 28 closed condos were oceanfront. Four of the sold units were bank-owned, all less than $206,000. Nineteen or 68% of the condo sales were cash.

The forecast for the next week and a half is looking good. Cocoa Beach is packed with snowbirds, day riders escaping Bike week and early spring  breakers. Drive carefully and look out for the other guy.

"The truth is, everyone is going to hurt you. You just got to find the ones worth suffering for." _______________Bob Marley