A somewhat recent large assessment, coupled with pending litigation has caused a depressed market in the Shipwatch Villa community of Wild Dunes. Condo sales since the assessment was announced are proof as the difference in list price to sale price is astounding. Going back to July 1st, 2012, statistics show owners getting only 76.54% of what they were asking (does not include price reductions). This is significantly lower than when you combine all condo sales in Wild Dunes since that time (87.82%).
Below I have listed the last five to sell with the asking price and sale price:
122-D Shipwatch $525,000 > $440,000
420-C Shipwatch $725,000 > $475,000
318-C Shipwatch $699,000 > $525,000
413-B Shipwatch $740,000 > $535,000
405-A Shipwatch $675,000 > $600,000
These numbers show that buyers are taking advantage of the opportunity presented and doing well with it. The owners knowing of the assessment just want out and are ready to negotiate big time because of it (if they can). Now, there is a catch. In most cases, the buyers are agreeing to take on the current assessment, therefore taking on an additional $40K +/- to what they are getting the property for. On top of that, usually, with condo litigation, lenders are wary and will not loan. Therefore, more times than not, 100% cash becomes necessary to purchase. Still, the deals are there and for the savy investor, with interest in Shipwatch or owning a condo in Wild Dunes, it could be time to make the jump. Additionally, with the assessment comes repairs, and with repairs comes improvement only helping property values.
So, if you are interested, check out the list below of current Shipwatch Villas available (last updated on 1/16/2014).
1222688 – Details: 323 SHIPWATCH VILLA, #D, ISLE OF PALMS, SC – $515,000
1303800 – Details: 205 SHIPWATCH VILLA, #A, ISLE OF PALMS, SC – $565,000
This unit hit the market since my post – 1305055 – Details: 208 SHIPWATCH VILLA, #B, ISLE OF PALMS, SC – $575,000
As of today 109-B is off the market.
Hi Donnie.. Great article and good information for anyone looking to buy on IOP.