Wednesday, November 11, 2009

Myrtle Beach Condos and Homes Sell With Cash

The local Board of Realtors reports that October broke records for the numbers of Myrtle Beach oceanfront condos and real estate sold in cash transactions.

Agents all over the Strand have complained that getting a condo financed now is extremely difficult. Banks are so tight on investment-only purchases that resorts known more as "condo-hotels" are nearly impossible to sell except as a cash deal.

As foreclosures become less in numbers, HOA fees should stabilize, which may make rental income more adequate to pay expenses. This should help bring more investors in, even paying cash - if monthly expenses are met from vacation rentals.

The MLS statistics for October showed home sales had increase 8 percent for the month and 31% over October of 2008. These kinds of numbers are phenomenal for an off-season month as well. Cash purchases increased from the normal 15% to a whopping 41% of the total purchases for the month.

Prices for Myrtle Beach real estate have continued to drop, but only in the 10% range. Single-family home prices dropped another 12%. September saw prices dropping much less than last year, but again, that was the final month of summer tourism. The prices of Myrtle Beach oceanfront property is almost always higher during vacation season.

Buyers with a good credit record and bank relationship can usually get a home equity line on their primary homes when they want to buy an vacation condo, and with prices so low, they really should do it now. Intracoastal waterway condos in Myrtle Beach are going to be another best-bet for long-term investing, and SC homeowners insurance should be more reasonable for waterway property that isn't so vulnerable to hurricane damage.

Buyers everywhere are going to see some huge profits over the coming years as real estate prices return to a normal high, and those that can buy beachfront property now will be awfully happy they did!