We in the office condo arena were living high in the early 2000's.There weren't many of us in that arena because nobody wanted to "mess with those little deals." It was actually easy to show potential buyers that they could buy for less than they could rent andhave something to show for their efforts in the form of equity in something, rather than just paying rent that they would never see again.
As things slowed somewhat in the commercial arena and agents were looking for anything they could find, the small deal market became very crowded. Then, when developers quit building office condos for the main part in the 2007-2008 time frame, the tempo to sell the remaining inventories peaked. Loans were easy to get. Life was good. Prices spiked. Condos were selling all over Jacksonville for over $200,000 a pop.
Then came the "Bubble Bursting Years". People were unable to pay their mortgages that had been too easy to obtain and they began going underwater, bailing from their businesses and giving the units back to the banks or short selling them at big losses. That chaos went on for almost five years.
We, at Jim Akers & Associates, Inc. have worked to try and rebuild this segment of the market. We began by encouraging people to lease their units rather than sell them, a strategy that we still recommend in many cases. This has resulted with the help of other agents to reduce the currently office condo leasing market in Jacksonville to less than 20 units. From sales prices that were in the middle $90k, they are recovering to the $135k's in the Mandarin Market, $150k's in the Southside area, and in the $160k-$170k in the units east of Southside Blvd.
Now may be the time for condo owners who are ready to sell, to put them on the market again. Units that have tenants with longer leases are once again catching the attention of investors. They realize the prices are coming back and want to get back into the market for they get too high. If you are thinking about putting your unit on the market, we would like the opportunity to help. Just give us a call. There are actually very few units are the market for sale or lease. Now is a SUPER time for investors to get into the office condo market. Prices have not climbed as high as they were and there are very few lease units available so the rents have climbed.