Nosara Real Estate 2014 Predictions

We are already a couple weeks into 2014. What do I think of the Nosara real estate markets this year? Well – the fact that it has taken me this long to update the blog stems from one reason and one reason only – I have been busy with clients all day, every day. The market is extremely active and buyers are out in force. The landscape is changing with new construction, and more on the way.

The current trends and future predictions for the rest of the 2014 year are:

1) Tourism is off the charts – The article in CNN referencing Nosara as a Top 11 Worldwide Destination to Visit absolutely super-charged the numbers of visitors to start the season. Sunsets are no longer just a couple dozen people, by any means – Nosara is a changing place and a major tourism center.  In 2012 it was NY Times – This year, CNN hit the “turbo” button. Real Estate, in general, tends to follow the trends in tourism. 2014 could prove to be one of the busiest seasons and compare to 2004-2006 growth levels.

2) Buyers are aware that they have less options and that all of the “good deals” are gone. They rarely come up, and due to the lack of these “good deals” buyers are more open to paying the asking price if a property is priced correctly. In some cases, properties are selling for higher than original asking prices. This is not quite a trend, but by the end of the year, I have a feeling this will be the norm. Especially on the choice lots or homes that enter the market – when priced correctly, they will seller at ask or higher..

 

3) Sellers are less willing to negotiate. When sellers get realistic about selling a property – they are still hesitant to negotiate due to the public awareness of market activity. Property owners, many of whom did not have a property on the market, may decide to enter the market and test out the waters, but not have much flexibility in prices as well, with no real motivation to sell.

 

4) Continued improvement in construction techniques and building materials.

 

5) As construction prices rise – lots may become less popular as buyers find value in renovation projects, especially those with exceptional locations. Combine this fact with the recent surge in prices of lots – it makes many “project” properties more palatable to buy and renovate, instead starting from scratch. Concrete and Rebar has become much much more expensive.