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Market Update: Local agent says Marco bucks national real estate trends
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The recent news on the national real estate market seems somewhat daunting. When you take a short-term perspective, there may be concerns for homeowners who are currently trying to sell or plan to in the near future. While no one can predict the future of the real estate market with 100 percent certainty, several factors bode well for property owners on our beautiful Island paradise.
First, Marco Island is bucking the national trend in year-to- date comparisons (Jan. 1, 2006, to July 25, 2006 against Jan. 1 to July 25) with a 3.5-percent increase in sales. This shows a consistent trend of gradual, yet sustained growth, in our local real estate market. At the same time, inventory is following suit with decreasing levels over the past two months.
Second, Marco Island just reported its highest-priced sale on record at $8.4 million. This sale is consistent with national reports on the continued sales in the high-end real estate market across the country.
Third, the exchange rates are favorable for our European and Canadian counterparts as they continue to enter the local real estate market. In April 2003, $1,255,000 U.S. dollars converted to $1,827,154 in Canadians. In May 2007, this same $1,255,000 U.S. dollars converted to $1,380,851 Canadians.
Fourth, even as the market continues to experience its inevitable cycles, one constant is evident: property appreciation. Long-term appreciation on Marco Island continues to show promise even in light of the shift from the extraordinarily high sales activity of 2004-05 to today’s more traditional sales activity. Take into consideration a tip lot home in the Tigertail area built in 1982. This home recently sold for $2,350,000. The home previously sold in 1995 for $345,000. Another home, built in 1974 in the Marco River area, sold in the fall of 2006 for $1,900,000. The same home sold in 1996 for $390,000.
Fifth, a May 2007 report by Inc. Magazine rated Naples- Marco Island as No. 7 on its top Boomtowns for 2007. Growth reports are further substantiated by the U.S. Census Bureau which rated Collier County the seventh fastest growing city in the United States.
How can they predict such growth for your area? The first of the 78 million Baby Boomers are starting their retirement and many are considering Marco Island for a vacation or retirement home.
When making your decision to buy or sell in this beautiful paradise, consider the overall factors of growth. Marco Island offers a unique, desirable lifestyle not found in many parts of Florida and the United States. When reviewing national statistics and trends, remember that Marco Island is not the same as the average town in the United States from a price, lifestyle and desirability standpoint.
Enjoy our unique features that set us apart from most of the nation. If you are planning to buy, consider the growth predictions and make your move before inventory levels dwindle further, and you miss your chance to purchase your dream home in paradise.
Look for my next article on the real estate market Aug. 17.
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Natalie Kirstein, MBA, Realtor, works for Premier Properties of Southwest Florida Inc., office (239) 642-2222, toll-free (800) 260-9081, e-mail NatalieK@premiermail.net. Office located in The Esplanade, 760 North Collier Blvd., Ste. 101, Marco Island. To receive a copy of my article delivered to your inbox, please send an e-mail to NatalieK@premiermail.net, with Real Estate Article in the subject line, or call Natalie Kirstein at (239) 642-2222.

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