At present, active listings in Pensacola Multiple Listing Service are declining. Will this trend continue? The state of the economy and time will tell us.

Our marketplace began its rise in 2001 and peaked in 2004. After Hurricane Ivan there were few homes for sale. Sales began dropping beginning around January 2005 with continued decrease until May of this year, 2000 when indicators showed a turn upward.

In 2002 the average appreciation was about 5% with waterfront condos and homes averaging higher. As of July 4th on Perdido Key there are 184 Gulf front condominiums ranging from $229,000 to $5,500,000, 29 on the River starting at $184,900 to $900,900 and 29 on the Intracoastal Waterway starting at $159,900 to $1,500,000 with various others off the water.

Properties for sale after September, 2004 were few and far between. This definitely created a seller’s market for a long while thereafter. An increase in active listings began around the early part of 2006 and hit a peak around the fall of 2008 as foreclosures and short sales burst onto the marketplace.

A short sale indicates an owner owes more to the lender/lenders than the home is worth and can no longer afford to make their payments. If anyone is interested in purchasing a short sale property, know up front it can take up to an average of 6 months before getting an answer from the bank whether it be yes or no. There are a few instances where a bank has approved a short sales price while the property is on the market. If there is no hurry to purchase a home and move in, you may want to consider putting an offer in on a home in a short sale situation. Buying a foreclosure is more straight forward and normally faster, depending on the Investor and Lender. Both types are “AS IS” sales. Inspections can be done but no repairs will be made. Some lenders are easier to work with than others. I have done both for my buyers/sellers and each scenario has been unique.