Perdido Key Condo Market

May 12, 2008 at 7:40 pm · Filed under Condos, Gulf Shores, Pensacola, Perdido Key, Seasonal Rentals and tagged: Beach Rentals, Condos, Gulf Shores, Ono Island, Orange Beach, Pensacola, Perdido Key, Real Estate

Perdido Key Condos Seeing More Activity

The condo market on Perdido Key Florida has been hit hard by the recent woes in the economy. What was once a sizzling hot investment and vacation market slowed down considerably in the last year and a half or so. But there are signs of life again.

One of the sure tests of the health of a vacation community is the “grocery store test”. During a holiday weekend or spring break you don’t have to know the exact statistics of the rental market to know what is actually going on. You may not be tuned into all the real estate companies and rental managers, but you can take a trip to the local grocery store around 12:00 and get a good idea of how the market is doing.

If the majority of people shopping are wearing bathing suits and desperately looking for aloe, you can tell that the vacationers are here. To take it a step further, look at the shelves. If the normal vacation staples of beer, frozen pizza, sun block, and aloe are virtually wiped out then you know that things are going well.

Another indicator is to drive by the condos and take a look at the parking lot. If the lot is full, there are a lot of people here having a good time on the beach.

Now, I realize this is a very simple set of things to look for. But the significance lies in the fact that it has not been this busy in a while. Vacationers spend money, and that is a great boost to the local economy. In addition, many vacationers don’t realize how good the prices are on the beach until they come down here and take a look for themselves. This stimulates showings on properties, and showings stimulate sales.

We are in no way seeing a boomtown again like it was 3 years ago. But with prices going down, and interest rate staying down, the buyers are once again becoming interested in buying a slice of paradise. If Spring Break is an indication of what the summer will look like, we may see a significant increase in activity.

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