Real Estate Report – June 2011 – Sarasota, FL

Prepared by Michael Moulton, CRS, Broker-Associate
Michael Saunders & Co

As I have reported in my last several Monthly Real Estate Reports and blogs, the overall listed inventory of residential properties for sale locally is maintaining a steady and healthy decline toward the equilibrium level of six months, which is a well-balanced condition and considered neither a Buyers nor Seller’s market. Our current monthly average of 692 closed residential properties indicates we have just over six months of inventory, a good sign that the marketplace is on a positive and stable course. The overall inventory is lower than the end of 2010 by 1,269 listed properties, a 22% decline and 1,642 listed properties less than the end of 2009. It has been a long tough road but our local market is showing every sign of a recovery.

During June, 697 properties sold vs. 735 in the same month last year. There are 721 pending sales from June vs. 646 pending sales at this same time last year. As a result of the past month’s closings activity, there is just a 5.1 month inventory for properties listed under $500,000 – the market that has had the most activity in the last several months, compared with 7 months at the beginning of the year and 11 months at the beginning of 2010. In the segment between $500,000 and $1,000,000, there is currently an 11.5 month inventory, certainly an improvement from the 19 months at the end of 2010. For inventory over $1,000,000, there is 24 months of inventory, equal to the number of months inventory at the end of 2010. At the close of 2009 there was a 45 month supply of inventory at the over $1,000,000 price-point.

In Michael Saunders’ recent blog she wrote, “Now is an opportunistic moment to list your home for a potentially faster and more satisfying outcome.” Of course, the same can be said for buying! Add to the current diminished inventory the steadied mortgage rates, and this is clearly a most advantageous time for our market and parties on either side of the table. With the absorption of properties reducing our inventory and the strong gains in contracts, the next outcome can only be an uptick in home values.

Distressed sales, which are either a bank owned property or a short sale, are going to affect pricing locally for the short-term. However, the percentage of total sales in the distressed classification is trending downward each month, and significantly fewer than 2010. Studies show that Sarasota is below both Florida and the US in terms of foreclosure activity. The majority of these are under a $500,000 list price. Of the listings in our market at that price point, 19% are distressed sales. Listings priced from $500,000 to $1,000,000 only 57 or 7.5% are distressed sale listings and over $1,000,000 there are only 25 or 4% of the listings. Of the properties sold year to date, 44% were distressed sales – 1,830 of the 4,155 properties sold year to date. All but 62 of these were under $500,000 and only 11 were over $1,000,000.

The following statistical data is provided through the Multiple Listing Service (MLS) of the Sarasota Association of Realtors. The table summarizes what happened in each price segment. The Sold (Closed), Pending and Listings columns are sales and listings for the month of the report, and the Pending and Listed are the current totals of each in the MLS system. The Sold YTD column is the total sales for 2011 and 2010 Year-to-Date. The Listed YE ’10 (Year-End) column shows the listing inventory at the end of 2010.

This pdf report contains statistical data is from information provided through the Multiple Listing Service of the Sarasota Association of Realtors.

We are always available to answer any questions you may have regarding market conditions and the optimum time to buy or sell your property. Please contact us with any questions.

Real Estate Report – May 2011 – Sarasota, FL

Prepared by Michael Moulton, CRS, Broker-Associate
Michael Saunders & Co

As I have reported here over the last few months, the overall available inventory of homes has been steadily declining. We currently have just under six months of overall inventory based on the May closings activity, a good sign that the marketplace is maintaining a positive and stable course. This is the first time in a long while that Sarasota has gotten under the magical threshold. The overall inventory is approximately 500 properties lower than the end of April and 21% better than year-end 2010, or 1,233 less listed properties. Six months of inventory is established as the benchmark for a “neutral market”! A recent “Metrostudy” report, the leading provider of market research for more than 35 years, says that our market ranks at the top of those that “posted the largest decreases in our finished/vacant inventory” year-over-year.

In the month of May 2011, a total of 781 properties sold vs. 746 in the same month in prior year. There are 676 pending sales in May, which is similar to the pending sales from May 2010. As a result of the past month’s closings activity, there is just a 4.7 month inventory for properties listed under $500,000 – the market that has had the most activity in the last several months. The supply is lower than the 5.5 months documented in April, 7 months at the beginning of the year and 11 months at the beginning of 2010. In the segment between $500,000 and $1,000,000, there is currently a 10 month inventory, down from 16 months at the end of April and certainly an improvement from the 19 months at the end of 2010. For inventory over $1,000,000, there is 28 months of inventory, equal to the months inventory the end of 2010. The months of available inventory does vary on a month to month basis based on that month’s closed sales.

Unfortunately, sellers continue to be faced with the challenge of having to be competitive with the heavy inventory of distressed sales listings and the fear of a glut of product entering the market as the supply of foreclosure units works its way through the system. Distressed sales, which are either a bank owned property or a short sale, are definitely affecting pricing locally and will continue to do so. The majority of these are in the under $1,000,000 list price. Of the 4500 active listings in our market, approximately 22% are distressed sales. The luxury market clearly has the advantage with only 23 or 4% of the active listings being distressed property listings in the over $1,000,000 group. Of the properties sold year to date, 52% were distressed sales – almost 1550 properties of the approximately 3558 properties sold. 44% of the sales under $1,000,000 and just 4% of the sales over $1,000,000 were distressed sales. There is evidence, provided by Moody’s Analytics, that the distressed trend is on the verge of subsiding, but when that will happen consistently is still uncertain. Other experts claim that in markets such as the luxury end, where foreclosures and distressed sales are minimal, it is expected that pricing will begin gaining.

The following statistical data is provided through the Multiple Listing Service (MLS) of the Sarasota Association of Realtors. The table summarizes what happened in each price segment. The Sold (Closed), Pending and Listings columns are sales and listings for the month of the report, and the Pending and Listed are the current totals of each in the MLS system. The Sold YTD column is the total sales for 2011 and 2010 Year-to-Date. The Listed YE ’10 (Year-End) column shows the listing inventory at the end of 2010.

This pdf report contains statistical data is from information provided through the Multiple Listing Service of the Sarasota Association of Realtors.

We are always available to answer any questions you may have regarding market conditions and the optimum time to buy or sell your property. Please contact us with any questions.

Real Estate Report – April 2011 – Sarasota, FL

Prepared by Michael Moulton, CRS, Broker-Associate
Michael Saunders & Co

There has been a plethora of great news reports released regarding first quarter 2011 real estate activity. And, the good tracking continued through the month of April. We currently have just seven months of overall inventory based on the April closings activity, which is consistent with March, a good sign that the marketplace is maintaining a positive and stable course. The overall inventory is lower than this past January and February and 25% better than year-end 2010, an excellent market indicator considering that six months of inventory is established as the benchmark for a “neutral market”!

In the month of April 2011, a total of 726 properties sold vs. 749 in the same month in prior year. There are 802 pending sales in April, which is almost identical to the pending sales from April 2010. As a result of the past month’s closings activity, there is a 5.5 month inventory for properties listed under $500,000, compared to 7 months at the beginning of the year and 11 months at the beginning of 2010. In the segment between $500,000 and $1,000,000 there is currently a 16 month inventory, down from 20 months at the end of March and certainly an improvement from the 27 months at the end of February. For inventory over $1,000,000 there is 18 months of inventory, down substantially from the 28 months at the end of 2010. The months of available inventory does vary on a month to month basis based on that month’s closed sales.

The current listing inventory is 5% lower than a month ago, 13% lower than the end of 2010 and 15% (over 900 listings) less than 12 months ago, very positive gauges of our recovery progress. Showings have definitely increased over the prior year and “right-priced” properties are selling. Savvy buyers are returning to see what price adjustments sellers are making after the peak winter selling season. When I compare the past data from the year-end 2010 and data from 12 months ago, all categories are heading in encouraging directions.

Unfortunately, sellers continue to be faced with the challenge of having to be competitive with the heavy inventory of distressed sales listings. Distressed sales, which are either a bank owned property or a short sale, are definitely affecting pricing locally and will continue to do so. The majority of these are in the under $1,000,000 list price. Of the 5008 active listings approximately 20% are distressed sales. There are 205 bank owned properties and 767 short sales currently listed. The luxury market clearly has the advantage with only 25 of the distressed property listings in the over $1,000,000 group. Of the properties sold year to date, 45% were distressed sales – almost 1200 properties of the approximately 2700 properties sold.

The following statistical data is provided through the Multiple Listing Service of the Sarasota Association of Realtors. The table summarizes what happened in each price segment. The Sold (Closed), Pending and Listings columns are sales and listings for the month of the report, and the Pending and Listed are the current totals of each in the MLS system. The Sold YTD column is the total sales for 2011 and 2010 Year-to-Date. The Listed YE ’10 (Year-End) column shows the listing inventory at the end of 2010.

This pdf report contains statistical data is from information provided through the Multiple Listing Service of the Sarasota Association of Realtors.

We are always available to answer any questions you may have regarding market conditions and the optimum time to buy or sell your property. Please contact us with any questions.

Real Estate Report – March 2011 – Sarasota, FL

Prepared by Michael Moulton, CRS, Broker-Associate
Michael Saunders & Co

“March Madness” can be applied to real estate, too! This year’s results for the month across the “boards” showed remarkable positive movement. The “brackets” were what we all hoped for…more sales, lower inventory, an increase in pending sales, and sustained improvement for year-to-date activity. We currently have just seven months of overall inventory based on the March closings activity, which is lower than each of the past two months of this year and considerably below year-end 2010, an excellent market indicator considering that six months of inventory is established as the benchmark for a “neutral market”!

During March, 51 properties – or 7% more were sold than during the same month a year ago. There are also approximately 100 more pending sales than a year ago. As a result of the past month’s closings activity, there are 5.5 months of inventory for properties listed under $500,000, compared to 11 months at the beginning of 2010. In the segment between $500,000 and $1,000,000 there is a 20 month inventory, certainly an improvement from the 27 months at the end of February. For inventory over $1,000,000 there is 14 months of inventory, down substantially from the 28 months at the end of 2010 and the 48 months at the end of January. The months of available inventory does vary on a month to month basis based on that month’s closed sales.

The current listing inventory is 8% lower than the end of 2010 and 21% (over 1400 listings) less than 12 months ago, very positive indicators. Though it would be expected that peak tourist season would bring many prospects to the area, all the top agents around town are telling me showings have definitely increased over prior year and that April is shaping up to be a busy month as well. When I compare the past data from the year-end 2010 and data from 12 months ago, all categories are heading in positive directions, listing inventory is decreasing, pending contracts are increasing and closed sales have increased.

The following statistical data is from information provided through the Multiple Listing Service of the Sarasota Association of Realtors. The table summarizes the activity in each price segment. The Sold (Closed), Pending and Listings columns are sales and listings for the month of the report and the Pending and Listed are the current totals of each in the MLS system. The Sold YTD (Year to Date) column is the total sales for 2011 and 2010 year to date. The Listed YE ’10 column shows the listing inventory at the end of 2010.

This pdf report contains statistical data is from information provided through the Multiple Listing Service of the Sarasota Association of Realtors.

We are always available to answer any questions you may have regarding market conditions and the optimum time to buy or sell your property. Please contact us with any questions.

Real Estate Report – January 2011 – Sarasota, Florida

Prepared by Michael Moulton, CRS, Broker-Associate
Michael Saunders & Co

Though progress in reducing inventory appears somewhat measured in January, do not be alarmed by the seemingly moderate sales performance, as this is very typical after traditionally high activity at year-end. With an aggressive winter affecting many of our feeder markets, the tourism industry projecting a strong spring season, and local economic indicators offering a positive outlook, the tiny steps that appear to being made are signs of a strengthening real estate market.

We currently have 11 months of overall inventory based on the January closings. Based on this past month’s closings there are now 8.7 months of inventory for properties listed under $500,000 compared with 11 months at the beginning of 2010; in the market for property between $500,000 to $1,000,000 there is a 33 month inventory, which has increased from 15 months at the end of 2010; and, in the market over $1,000,000 there is a 48 month inventory. The available inventory does vary on a month-to-month basis depending on that month’s closed sales. The current listing inventory is consistent with the amount at the end of December. As a benchmark, six months of inventory is considered a neutral market meaning it is neither a buyers nor seller’s market.

This pdf report contains statistical data is from information provided through the Multiple Listing Service of the Sarasota Association of Realtors.

We are always available to answer any questions you may have regarding market conditions and the optimum time to buy or sell your property. Please contact us with any questions.

Real Estate Report – December 2010 – Sarasota, Florida

Prepared by Michael Moulton, CRS, Broker-Associate
Michael Saunders &Co

We currently have 9 months of overall inventory based on the December closings. Based on the December closings there are 7 months of inventory for properties listed under $500,000 compared with 11 months at the beginning of 2010, between $500,000 to $1,000,000 there is 15 months of inventory which is the down from 22 months at the end of 2009 and over $1,000,000 there is 28 months of inventory. The months of available inventory does vary on a month to month basis based on that months closed sales. The current listing inventory is down 6% from 2009 year end. Six months of inventory is considered a neutral market meaning it is neither a buyers nor seller’s market.

The following statistical data is from information provided through the Multiple Listing Service of the Sarasota Association of Realtors. The following table summarizes what happened in each price segment. The Sold (Closed), Pending and Listings columns are sales and listings for the month of the report and the Pending and Listed are the current totals of each in the MLS system. The Listed YE ’09 column shows the # of listings at the end of 2009. In this report I further segregated the $1m to $2m and the $2m and above segments of the market from my previous monthly statistics and cannot go back to obtain the segregated data for the active listings at the end of 2009.

I have included a second table showing the past six years sales history. The unit sales in 2010 have increased approximately 10% from 2009. Fortunately we have seen an increase in unit sales each of the past four years.

Six Year Sales History

Real Estate Report – October 2010 – Sarasota, Florida

Prepared by Michael Moulton, CRS, Broker-Associate
Michael Saunders &Co

We currently have 13 months of inventory based on the # of October closings in all price categories. Based on the October closings there 10 ½ months of inventory for properties listed under $500,000 compared with 10 months at the beginning of 2010, in the price bracket of $500,000 to $1,000,000 there is 24 months of inventory up from 22 months at the end of 2009 and over $1,000,000 there is 81 months of inventory based on the October closed sales. The months of available inventory does vary greatly on a month to month basis based on that months closed sales. The current listing inventory amount is almost identical to where is where it was 2009 year end. The listing inventory has remained fairly consistent each month of this year. Six months of inventory is considered a neutral market meaning it is neither a buyers nor seller’s market.

The following statistical data is from information provided through the Multiple Listing Service of the Sarasota Association of Realtors. The following table summarizes what happened in each price segment. The Sold (Closed), Pending and Listings columns are sales and listings for the month of the report and the Pending and Listed are the current totals of each in the MLS system. The Sold YTD column is the total sales for 2010 year to date, the Sold YTD ’09 is the closed sales year to date in 2009 and the Sold 2009 column are the closed sales for the total 2009 year in each price category. The Listed YE ’09 column shows the # of listings for each price category at the end of 2009.

Real Estate Report – September 2010 – Sarasota, Florida

Prepared by Michael Moulton, CRS, Broker-Associate
Michael Saunders &Co

The following statistical data is from information provided through the Multiple Listing Service of the Sarasota Association of Realtors. The following table summarizes what happened in each price segment. The Sold (Closed), Pending and Listings columns are sales and listings for the month of the report and the Pending and Listed are the current totals of each in the MLS system. The Sold YTD column is the total sales for 2010 year to date, the Sold YTD ’09 is the closed sales year to date in 2009 and the Sold 2009 column are the closed sales for the total 2009 year in each price category. The Listed YE ’09 column shows the # of listings for each price category at the end of 2009.

We currently have 11.2 months of inventory based on the # of September closings in all price categories. Based on the September closings there 9 months of inventory for properties listed under $500,000 compared with 10 months at the beginning of 2010, in the price bracket of $500,000 to $1,000,000 there is 21 months of inventory down from 22 months at the end of 2009 and over $1,000,000 there is 117 months of inventory based on the September closed sales. Please bear in mind that September is typically the slowest month for sales of luxury properties within Sarasota. The months of available inventory does vary greatly on a month to month basis based on that months closed sales. The current listing inventory is 3% less than where it was at the end of 2009. The listing inventory has remained fairly consistent each month of this year. Six months of inventory is considered a neutral market meaning it is neither a buyers or sellers market.

Real Estate Report – August 2010 – Sarasota, Florida

Prepared by Michael Moulton, CRS, Broker-Associate
Michael Saunders &Co

The following statistical data is from information provided through the Multiple Listing Service of the Sarasota Association of Realtors. The following table summarizes what happened in each price segment. The Sold, Pending and Listings columns are sales and listings for the month of the report and the Pending and Listed are the current totals of each in the MLS system. The Sold YTD column is the total sales for 2010 year to date, the Sold YTD ’09 is the closed sales year to date in 2009 and the Sold 2009 column are the closed sales for the total 2009 year in each price category. The Listed YE ’09 column shows the # of listings for each price category at the end of 2009.

As the statistics relate to listed properties vs. sold properties we have 10.4 months of inventory overall based on the August closings. Based on the August closings there 8.4 months of inventory for properties listed under $500,000 compared with 10 months at the beginning of 2010, in the price bracket of $500,000 to $1,000,000 there is 21 months of inventory down from 22 months at the end of 2009 and over $1,000,000 there is 38 months of inventory based on the August closed sales. The months of available inventory does vary greatly on a month to month basis based on that months closed sales. The current listing inventory is 4% less than where it was at the end of 2009 and we have 654 more listings then at the end of July. Six months of inventory is considered a neutral market meaning it is neither a buyers or sellers market.