2022 was another busy, crazy, and memorable year in the real estate market for Cape San Blas, Indian Pass and the CR/SR 30-A corridor. We started the year with a limited inventory and high demand, which escalated into a buying frenzy with a depleted inventory in the spring and early summer. Our extreme sellers’ market shifted in the second half of 2022 to a more balanced market with higher inventory levels and decreased buyer demand as interest rates rose along with inflation and economic concerns, and we finished the year with some adjusted expectations. Let’s take a closer look at some of the statistics and numbers from the past year, which are all from our MLS and do not include FSBOs.
Starting with residential sales, there were a total of 168 residential properties sold in 2022 on all of Cape San Blas, Indian Pass, and the CR/SR 30-A corridor, which is an 18% decline from our 2021 total of 205 residential transactions. While the number of sales were down, our residential sales volume actually increased over 5% to $187,866,000. Obviously values are up a good deal, with a 28% increase in our average home sale price from $870,295 in 2021 to $1,118,250 in 2022. The median home sales price for 2022 was also up about 29% from $680,000 last year to $877,500 this year. Properties were still selling for an average of 97% of their list prices this past year, which matches what we saw in 2021, while the average days on the market was down from 61 days in 2021 to 36 days in 2022. Median days on the market was a bit more indicative of our actual market conditions for the majority of the year, which was also down from 22 days in 2021 to 19 days in 2022.
Some more surprising numbers demonstrate how much our vacant land market has changed in the past 12 months. In 2021, there were a whopping 338 lots sold on all of Cape San Blas, Indian Pass and the CR/SR 30-A corridor, and in 2022 there were 172 lots sold, which is just under half of the previous year’s total. The total vacant lot sales volume was a closer comparison, as 2022 came in at just under $49,000,000, which is down about 25% from the $65,000,000 we saw in 2021. The average price of a vacant lot sold in our comparative market this past year was $282,264, which is up 48% from the 2021 average sales price of $192,000. The median sales price for a vacant lot in 2022 was $175,000, a 60% increase from the 2021 median price of $110,000. The list price to sales price ratio is up one percentage point to 94% for 2022 for lot sales, with an average days on the market dropping from 112 to 103 in the past year, while the more telling median days on the market for 2022 was also slightly down from 53 days in 2021 to 48 days.
Inventory levels continue to be a significant factor in our local market, as we saw totals in both residential and vacant lot inventory climb and fall in the year 2022. We started the year with 28 homes and 75 lots for sale on our MLS in the first week of January. Our market was very active at this time last year, and our residential inventory was shaved all the way down to 14 homes for sale in late February, the lowest seen all year. Vacant land inventory was slightly behind, dropping down to it’s annual low of 67 lots for sale in early April. More and more sellers decided to list as the buying frenzy was on in spring and early summer, and our levels spiked to the 2022 peak of 66 homes available in mid-July, and again vacant lots lagging a bit to the peak of 119 lots for sale in mid September. Our market shifted from an exaggerated sellers’ market for the first half of the year to a more balanced market in the past 6 months, with interest rates rising and increased economic concerns with high inflation. As of January 10, 2023, there are 36 residential listings available and 89 vacant lots for sale on all of Cape San Blas, Indian Pass and the CR/SR 30-A corridor on our MLS. Despite comparable inventory levels, our market conditions feel much different than they did a year ago with less buyers and more buyer uncertainty. The upcoming spring market should be a good indicator for what we can expect for the rest of this year. Most national experts are predicting a flat market in 2023 with zero or much slower growth compared to what we’ve seen over the past 2 years. It’s important to keep things in perspective as we’re coming out of one of the best real estate markets in history with historically low interest rates, and the levels of demand and appreciation were just not sustainable. I do believe that our local market should hold values more than most due to the fact that we have a nice balance of second homes and primary residences. We are also a bit more insulated with a higher concentration of cash buyers with a continued strong vacation rental market to support the recent appreciation. Properties are worth quite a bit more than they were 1-2 years ago, and while sales may not bring quite as much as they would have last spring and early summer, our values are still impressive. Most of 2021 and the first half of 2022 were historic outliers that made the second half of 2022 seem less impressive than it really was. 2023 could be better than many are expecting in our local real estate market, especially without the recent year over year comparisons. It’s still a very good time to sell, and buyers should have plenty of good opportunities in the year to follow, with more inventory and negotiating power. Regardless of market conditions, Gulf County remains a wonderful place to visit and reside thanks to our small-town community with beautiful beaches, bays and natural surroundings.
Here’s to another great year at the beach! Let me know anytime I can assist with your real estate needs – call or text (850)899-8765 or email [email protected]