Ginn makes Beach Club and Golf Club memberships available to Ocean Hammock and Cinnamon Beach residents until May 31st.

Deadline may motivate sellers, creating a buying opportunity for investors or for those looking for a building lot with Ginn amenities.

 April 16, 2007 – I’m told that a short window of opportunity is open for Ocean Hammock and Cinnamon Beach property owners to join the Ginn Club at Hammock Beach as well as the Ginn golf courses, including Ocean Hammock by Jack Nicklaus, Tom Watson’s Conservatory course, and the yet to be constructed Gardens course designed by Fred Couples. This is a welcome opportunity for some who had passed on the chanced to join the Ocean Hammock course earlier. Those holding lots as an investment are struggling with a choice. Either pass up the opportunity, perhaps locking themselves out forever – reducing future marketability, or coming up with $20K (Beach Club only) to $40K (Beach Club and Golf) now to protect their investment. Another $20K will be required for Golf members at a later date – total $60K – plus monthly dues. Much of the initial payment may be returned, minus a transfer fee, in the future if the property is sold. Obtain details from the membership director.

All vacant lot owners are responsible for taxes. Owners of lots in private communities are additionally responsible for Homeowners Association fees and assessments. If they decide to opt in on the membership, they will begin paying monthly dues, over and above the initiation fee. Unless they feel that the eventual upturn in the market will allow them to recoup, or unless they live locally and can enjoy the membership now, this could be a costly move. At 6%, the opportunity cost of a $60,000 payment is $3,600 annually.

Based on MLS data, only two lots have sold in Ocean Hammock and Cinnamon Beach in the last six months. These sold at $312,000 and $315,000. As of April 16^th, there were 62 lots listed for sale. The median listed price is $492,000, well above the current market. Only three are listed below $312,000. If someone wants to sell, they will need to be ready to look at offers well below their asking price.

The table below lists currently available lots in Ocean Hammock and Cinnamon Beach. With each listed property, I’ve shown the original listing price, the current listing price, the most recent resale price, and the original purchase price. By examining this table you may be able to spot some potential motivated sellers. For instance, a price reduction from the original listing price signals a potentially motivated seller.

Current owners paid either the most recent resale price, if applicable, or the original price. A listing price at or near the sellers cost may indicate motivation, but someone upside down in their property may not have a lot of room to negotiate downward. An owner with a low acquisition cost has much more wiggle room. They may not be happy with less profit than anticipated before the market correction but they can at least get out with a comfortable gain.