The Market & Ocean Walk Wyndham Resort in Daytona Beach

By
Real Estate Broker/Owner with Daytona Condo Realty, 386-405-4408

The Market & Ocean Walk Wyndham Resort in Daytona Beach

Ocean Walk Resort in Daytona BeachThe market looks as if nothing changes, but this is a false impression. Yes, prices are still good, and some are just incredible… Sellers are still outnumbering the buyers.

Sellers are more and more coming to terms with the reality, and you can see properties not on short sale, priced competitively, while buyers often become unreasonable in their expectations of freebies, and become feeling more and more deserving… a dangerous notion…

What many do not notice is that inventory is decreasing. Take condo-hotels. About 2 years ago we had 366 units for sale in al condo-hotels in Daytona Beach area. Today there are 172. The number is so close to “normal” market of 2004 when we had about 160 units for sale and the market went crazy.

Can it happen now? Who knows… maybe any minute now…

Look at sales of one-bedroom units in the best condo-hotel in Daytona BeachOcean Walk Wyndham Resort. We only look at sales in 2010 and 2011. Prices varied from $132K to $155K. Would you think that about $140K is a fair price? Think again. There are two units for sale and both are priced at $209K. My buyer looks at the numbers, does not believe me and offers $161K.

Units sold in Ocean Walk in Daytona BeachThere is no counter. My Buyer is frustrated. I explain that no counter simply means that he is too far of acceptable offer. But he can’t not look at what the sales were there. Another offer at $168K. I warned that it was very unlikely he would get a better reception this time, but he insists. Within hours we receive an e-mail, asking us not to send offers, which are not at least very close to the asking price.

And they are asking me to make sure that Buyer knows about the request. A bit unusual, but it is in writing, so I am forwarding it to the Buyer. He is understandably upset, but he has hard time accepting the reality. He again and again tells me how much similar units were selling a year and even 4 months ago.

It does not matter. The Seller is no obligated to accept anything except what he wants. You do not have to offer him more, but he is not obligated to accept less even if you can justify it based o all the numbers…

Call the seller stubborn, but he does not owe the buyer anything. What people were selling their units for was their business, not his. If someone sold a unit for $132K, it does not mean that this seller will do, or has to do, something similar.

What are the options? Wait? It is quite possible. Until the market start moving fast, there is still a chance that someone else puts a unit on the market and would be more agreeable on the price. But this option is only good in a slow market. The minute it starts moving, the prices start escalating, and there is nothing but frustration for people who waited a minute longer than needed.

Units sold in Ocean Walk in Daytona BeachThere is still time and there are still units. In Ocean Walk Wyndham Resort and in other condo-hotels and residential condos. But good deals are not steals, they are reasonable deals. Working with reasonable Sellers and Buyers, not with dreams magic.

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Topic:
Home Buying
Location:
Florida Volusia County Daytona Beach Ocean Walk
Tags:
ocean walk
ocean walk resort
ocean walk resort in daytona beach
ocean walk wyndham
daytona condohotels
cheap daytona oceanfront
cheap daytona condos

Anonymous
Post a Comment
Spam prevention
Spam prevention
Show All Comments
Rainmaker
134,577
Vadim Zolotarevskiy
FunCoast Realty & Management, LLC - Daytona Beach Shores, FL

It is about how easy to miss the train of opportunity waiting for a cheaper ticket. Penny tickets were last century

May 30, 2011 11:17 AM #1
Rainer
38,773
I Pike
Ormond Beach, FL

$132,000 in Ocean Walk? It is less than what they were presellingit for back in 2000. I could buy a unit for $138,000, but I thought it was too expensive.

Now I know that it is very cheap, but I can't afford it now. O'well

May 30, 2011 11:22 AM #2
Ambassador
1,344,362
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Selling Daytona paradise for heavenly good prices

Vadim -Good analogy

May 30, 2011 11:25 AM #3
Ambassador
1,344,362
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Selling Daytona paradise for heavenly good prices

Inga - I could say the same for myself

May 30, 2011 11:25 AM #4
Rainmaker
340,749
Lloyd Binen
Certified Realty Services - Saratoga, CA
Silicon Valley R since 1976;408-565-8177

I've never been to Florida, but that's a nice looking building.  I understand your buyer's frustration and I like your cool-headed, honest explanation. 

Is there an ocean view in that one bedroom condo?  Can they be rented?  How much rent and how much vacancy and how much HOA dues.

May 30, 2011 12:37 PM #5
Ambassador
1,344,362
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Selling Daytona paradise for heavenly good prices

Lloyd - it is direct oceanfront with a balcony. Yes, there is a front desk and they are renting them. Rent per night varies depending on the event and the season. Units gross (before the split, which is 60 to the owner and 40 to Wundham) about $38K, but after every expense is subtracted, including maintenace fees (about $450 a month plus electric) and taxes, the owner will profit just a bit over $7,000 a year.

Not a cash cow, but considering that their price was over $400K just a few years ago, it sounds like a solid deal.

May 30, 2011 03:14 PM #6
Rainmaker
340,749
Lloyd Binen
Certified Realty Services - Saratoga, CA
Silicon Valley R since 1976;408-565-8177

Jon, Thank you for that analysis.  I appreciate the detail.  We're not accustomed to cash cows around the San Francisco Bay.  And, the probability of those prices increasing seems a lot greater than decreasing. 

One more question, is hurricane or/and flood insurance included in the HOA dues? (I don't mean to be a pest)

May 30, 2011 07:36 PM #7
Ambassador
1,344,362
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Selling Daytona paradise for heavenly good prices

Lloyd - Master insurance covers damage from hurricane. However, you would be surprised that there is no mandatory flood insurance for buildings that are directly o n the ocean. The reason is t hat  they are all sitting on a high dune - 14' to18'.

You still need to have content/liability for inside your unit, b ut it is only a few hunderd dollas a year

May 30, 2011 09:39 PM #8
Anonymous
Post a Comment
Spam prevention
Show All Comments
Ambassador
1,344,362

Jon Zolsky, Daytona Beach, FL

Selling Daytona paradise for heavenly good prices
Ask me a question
*
*
*
Spam prevention

Additional Information