The Agency Turks & Caicos 2020 End of Year Report

Page 1

The Agency Turks & Caicos 2020 End of Year Report


Notable Listings


+ TABLE OF CONTENTS

01

TRITON LUXURY VILLA

03

A YEAR TO REMEMBER

05

LUXURY IS OUR STANDARD

07

SINGLE-FAMILY HOMES

11

CONDOMINIUMS

15

VACANT LAND


+ THE AGENCY TURKS & CAICOS 2020 EOY REPORT

Triton Luxury Villa LONG BAY

$19,000,000 | 7 BEDS | 7 BATHS 10,000 SQ. FT. | 87,120 SQ. FT. LOT


NO. 1


+ THE AGENCY TURKS & CAICOS 2020 EOY REPORT


A Year to Remember None of us will ever forget the events of 2020. As the world changed around us, it was clear our Turks & Caicos team was ready to adapt to whatever came our way. Already armed with virtual tours, meeting software and digital contract services, we were ready from the start to embark on the unprecedented nature of the year ahead. Our engagement through digital marketing and social media meant we did not miss a beat as we hunkered down in March and reemerged with offers in hand at the beginning of May. As expected, the Turks & Caicos market ebbed and flowed throughout the year. A strong Q1 stalled as we sheltered in place, before an active market took hold at the end of Q2, encouraged by a Government stamp duty concession. Q3, typically our slowest quarter as it coincides with the peak of hurricane season, saw the market stagnate as a smaller number of visitors, combined with speculation on a further stamp duty concession, meant there were fewer transactions. Turks & Caicos then had a strong Q4, which has propelled us into 2021 with fervour. The overall market saw a 4% reduction in average price and a 12% reduction in the number of sales. It is evident that while the United States was undertaking the “Great Migration� from urban to suburban areas, the closure of the Turks & Caicos borders meant our engagement was somewhat limited. This, coupled with the restrictions on Canadian travel, account for much of the reduced market activity. That being said, the market data and the proliferation of private aircraft frequenting our FBOs are evidence that despite the challenges, Turks & Caicos remains a top destination. As we look back on the year, we want to express a heartfelt thank you to the frontline workers who kept the country going, our brilliant PR and Marketing teams who kept us at the forefront of the industry, our agents who worked tirelessly all year, and our clients, many of whom we now share a closer bond with given our shared experiences. We look forward to a fresh start in 2021 and an exciting year ahead with renewed energy and commitment to serving one another, our clients and our community. - SEAN O'NEILL

NO. 3


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Sing A Song Villa TURTLE TAIL

$7,490,000 | 7 BEDS | 7 BATHS 7,500 SQ. FT. | 28,750 SQ. FT. LOT


Luxury Is Our Standard 2020 reinforced the strength of the Turks & Caicos real estate market—we are the preeminent luxury market in the Caribbean. Despite a reduction in overall sales in the luxury market, sales above the $1M price point increased. Our favourable tax provisions and motivational tax concessions meant that property investors, most of whom are based in foreign jurisdictions, kept the faith in our market and our product. Nowhere was this more evident than in the confidence of purchasers who bought sight unseen, reliant upon digital technology and the advice of their trusted advisors. With a number of high-value transactions under contract or under negotiation over the holiday period, we expect to see this trend continue into 2021.

KEY STATS

2019

2020

Total # of Sales Total Volume Average Price Median Price

313 $286,484,626.00 $915,286.35 $315,000.00

352 $335,142,000.00 $952,107.95 $302,000.00

Luxury Market KEY STATS

2019

2020

Total # of Sales Total Volume Average Price Median Price

72 $217,108,720.00 $3,015,398.89 $2,050,000.00

70 $256,019,500.00 $3,657,421.43 $2,297,500.00

NO. 5


Single-Fam


mily Homes

NO. 6


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13 Hope Street PROVIDENCIALES

$649,000 | 2 BEDS | 3 BATHS 2,065 SQ. FT. | 7,405 SQ. FT. LOT


Quietly Confident Turks & Caicos operates a slower market compared to our North American colleagues. With the average list to sale period longer than 18 months, it’s not surprising a market shock like the pandemic would slow sales. Couple this with our seasonal tourist market and it’s clear the islands would need time to reset. An influx of visitors in late 2020 has led to a flurry of market activity, particularly in the single-family home sector. The number of sales and average sales price fell, mostly during Q2 as the market reacted to the shock of the pandemic, but sales began to rally as the year continued. With the return of visitors, the single-family home sector remains in high demand, as buyers consider both their current position and plans for the future with an increased value on space.

KEY STATS

2019

2020

Total # of Sales Total Volume Average Price Median Price

80 $152,149,269.00 $1,901,865.86 $804,000.00

98 $215,483,000.00 $2,198,806.12 $725,000.00

Luxury Market KEY STATS

2019

2020

Total # of Sales Total Volume Average Price Median Price

36 $132,797,720.00 $3,688,825.56 $2,550,000.00

41 $191,939,500.00 $4,681,451.22 $3,000,000.00

NO. 9


Condom


miniums


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West Bay Club 310/311 PROVIDENCIALES

$1,295,000 | 3 BEDS | 3 BATHS 2,895 SQ. FT.


Who Would Have Guessed? If you listened to the news in 2020, you heard reports of people moving away from vertical properties. While this may have been true in urban areas, a “vertical� investment in Turks & Caicos is relative given our generally low density. The condo sector, particularly the luxury condo market, saw a resurgence in 2020. Volume, average prices and median prices all increased over the year. With 21 sales above $1M, the market for luxury condominiums in Grace Bay Club and The Palms was exceedingly active. The Agency was proud to represent the buyer of the largest condominium sale of the year at Bianca Sands. With a renewed growth in tourist numbers, we expect to see condo sales remain active in 2021, reinforced by inquiries received over the holiday period.

KEY STATS

2019

2020

Total # of Sales Total Volume Average Price Median Price

58 $58,898,500.00 $1,033,307.02 $575,000.00

68 $51,133,000.00 $751,955.88 $445,000.00

Luxury Market KEY STATS

2019

2020

Total # of Sales Total Volume Average Price Median Price

21 $43,586,000.00 $2,075,523.81 $1,550,000.00

18 $29,805,000.00 $1,655,833.33 $1,487,500.00

NO. 13


Vacant


t Land


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Bambara Beach MIDDLE CAICOS

$16,000,000 30 ACRES | 1,500 LINEAR FT.


The Elephant in the Room As part of the global economy, Turks & Caicos must look at what market leaders and economists are discussing on a macro level and consider the effects on our local market. In 2020, there was one word discussed by experts weighing the effects of Government decisions—inflation. In order to circumvent the possible effects of inflation, we have seen an increase in vacant land investments. Turks & Caicos remains an ideal market for those seeking to invest in stable land assets, with no annual property tax, continued development and land prices increasing year over year.

KEY STATS

2019

2020

Total # of Sales Total Volume Average Price Median Price

139 $49,054,000.00 $352,906.47 $134,000.00

150 $39,914,500.00 $266,096.67 $110,000.00

Luxury Market KEY STATS

2019

2020

Total # of Sales Total Volume Average Price Median Price

11 $23,675,000.00 $2,247,500.00 $2,575,000.00

7 $16,635,000.00 $2,376,429.00 $1,750,000.00

NO. 17


Your Move. THEAGENCYRE.TC

DISCLAIMER: While all reasonable effort is made to ensure the information in this publication is current The Agency Turks and Caicos does not warrant the accuracy or completeness of the data and information contained in this publication and to the full extent not prohibited by law excludes all or any loss or damage arising in connection with the data and information contained in this publication. The property sales data is compiled using information provided by the Turks and Caicos Real Estate Association effective January 2nd 2021. Any person using or relying upon such information does so on the basis that The Agency Turks and Caicos accepts no responsibility or liability whatsoever for any errors, faults, defects or omissions in the information supplied. AN INDEPENDENTLY OWNED AND OPERATED FRANCHISEE OF THE AGENCY REAL ESTATE FRANCHISING, LLC