Marshfront home inventory was drastically lower in Q1 2017 (8 listings) than it was during Q1 2016 (21 listings). If this trend continues, we expect marshfront home pricing to increase in the future.
Looking at pricing, you’ll notice that average and median prices decreased in Q1 2017 as compared to Q1 2016, while prices per square foot increased. There were a few reasons for this. First, in Q1 2016, 9 Sound Point Court sold for $1,955,000 and was 8,126 square feet. This size home is unusual on the Plantation and drove overall pricing up while brining price per square foot down. A second factor that influenced the trend of higher prices per square foot in Q1 2017, was the sale of 123 Long Point. This particular home sits on a 0.86 acre lot with deepwater-potential access on Long Point Drive. The water access as well as the size make this lot very valuable and increased the price per square foot.
Average price per square foot with land value excluded, decreased from $132 in Q1 2016 to $90 in Q1 2017. (Look below the table for a description of how we calculate this statistic.) This decrease reflects the fact that some of the homes sold in Q1 2017 either were in need of updating or had unusual floor plans.
Sales Price Per Square Foot (With Land Value Excluded): This is an interesting statistic that most people do not consider. We wanted to get a better understanding of how age, level of updates/upgrades, and floor plan affect sale prices. This is difficult to do when including a major variable like land value, which can range between $150k and $1 million. So we decided to compare prices per square foot, excluding land value. To do this we subtracted the lot price from the sale price and then divided this number by the square footage. For example, lets say a golf course home sells for $750k. It is 3,000 square feet and its lot value is $300k. The price per square foot with the land excluded would be $150 or $750k – $300k, divided by 3000. To determine lot values, we referenced the county’s assessed value for the land of each property. We assumed the assessed value to be 80% of the actual market value. Using assessed values is not a perfect formula and does not always reflect true market value, but it does provide a reference point that allows us to compare home characteristics across all properties.
New Listings: This counts listings that were added to MLS during the referenced time period. It does not count re-listed properties that were previously listed without a successful sale.