A Positive Start for 2012 Sarasota Real Estate Sales

The overall inventory has declined 22% since the end of 2010, with 1,275 less properties for sale, and there was an increase in pending sales of considerable proportions at more than 54% from December 2011 and 22.3% compared to last January. When using this data to establish inventory, there are just 4.3 months of available properties after taking into account the number of pending sales for the month. The industry has established 6-months of inventory to be a healthy balance between a buyers and sellers market with lower inventory numbers indicating a trend toward a sellers market.

When not applying pending sales to the inventory estimates, there is now just 6.7 months of inventory for properties listed under $500,000, down slightly from the beginning of 2011. In the segment between $500,000 and $1,000,000, there is a 21-month inventory vs. 19 months to begin 2011. The inventory of available luxury properties over $1,000,000 has risen 6% from the end of 2011, 36 more properties, but is down more than 15% compared to January a year ago, now at a level reported to be the lowest since 2003. I see last month’s increase in inventory as a sign that more sellers are entering the market both because they believe now is the right time to sell and also because of the peak tourist season being upon us bringing more buyers into the area.

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 Sale 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 column is the total sales for the stated year. The Listed YE (Year-End) column shows the listing inventory at the end of 2011 and 2010.