MARCO ISLAND — With twice as many condominium units as single-family homes, Marco Island is seeing the effects of a slow condo real estate market caused by past hurricanes, high interest rates and a new state inspection and safety law.
Total real estate sales were down 8% in August versus a year ago, according to the Marco Island Association of Realtors . Condos are staying on the market 120 days, up 79%, compared to 69 days for single-family homes, which is down 7%.
Marco Island resident Marc Creach is a loan officer at Wesson Group’s Cross Country Mortgage who covers Marco Island, Naples and Bonita Springs.
“The biggest issue with condos on Marco and like Naples, a lot of it, without a doubt, has to do with the past storms,” Creach said. “We’ve had Irma in ’17 and then ’22 of course, September of ’22, so the deferred maintenance aspect of it, like when a lender wants to see if there’s any, you know, maintenance that is being deferred.”
The law that allowed associations to defer critical maintenance was eliminated after the collapse of Surfside’s Champlain Towers in June 2021 that killed 98 people. A state law, SB 4-D, went into effect this year in July that was designed to ensure the safety of condo buildings. Engineering inspections are being required for condos of three stories and higher when they reach 30 years of age and again every 10 years after. Any future repairs must be fully funded.