Our rental department foresees a decent year in 2008. However, as has been the case the past couple years, many renters are waiting until closer to their desired date to rent, hoping to get a better price. They may get a better price, but the better selection of properties will not be there. Another factor in a possible downturn in rentals is tied to the rising cost of gas.
As the inventory rose in OC since the fall of 2005, we have seen sale prices declining. I projected in my annual market analysis for Ocean City condos in 2007 that before we see the bottom of the market as it adjusts back to a more traditional, single digit annual appreciation, the sales prices will reflect 2003 more than 2005 which was the peak of the market in OC. Currently, inventories have seemed to stabilize a bit indicating that the worst is behind us. If you purchased your condo prior to 2003, you should have some decent equity built in to protect you from realizing a loss if you decide to sell. Price the property at or slightly below its current market value and you should be able to sell it.