The Sarasota Real Estate Market has certainly shifted in the last six months. The attached charts show 10 years of activity in April in the over $1 Million price tier. Available inventory is returning to a more normalized level, at the same time sales have relaxed from their peak in 2021.
While sales slowed starting in the second half of 2022, there has been considerable activity in the luxury market since the first of the year bringing closings in line with historical averages in a healthy market. Pending sales in April fell by double-digits across FL and the US, but in Sarasota the year-over-year decrease was just 6%. With busy spring showings traffic, I am optimistic we will see sales remain steady in the next few months.
New construction continues to fill a void left by fewer existing homes and condos entering the for-sale inventory, and home builders’ confidence that demand will remain strong is at its strongest in 6 months. However, they are still facing supply and labor challenges, along with newly tightened conditions and increases in costs of construction and development loans.
Would-be sellers of existing homes have been slow to list for several reasons including wanting to hang onto their low-rate mortgages, fear of not finding a suitable place to move, their speculation that prices will start to fall, and more. Experts believe that if rates fall to near 5%, those sitting on low interest rate mortgages will begin to list their homes. And while prices are appreciating more slowly than they have over the last two years, they will continue to rise due to the still limited inventory to meet demand.
New luxury listings year-to-date are up 18.8% compared to the same period last year. Even with more inventory, our listings in the upper price points are selling at near list price, multiple offers are not unusual, and properties in good condition and well-located are moving quickly.
I expect the summer months will continue to see strong buyer interest, making now an excellent time to consider bringing a property to market. However, I am seeing a shift away from buyers accepting of some defects because of the urgency needed to “win” a home during the pandemic period. Buyers now are a bit more thorough in their inspections and insistent on repairs or credits for repairs, so sellers will need more time to prepare their properties for sale that in the last few years.
As the Sarasota Real Estate Market continues to show positive signs, conditions are unpredictable due to ever-changing financial, political, and global influences. Partnering with an agent who understands the fluid market, what that means for you and how it impacts your goals is critical. It is more important than ever to work with a highly experienced, locally as well as globally connected agent/broker, skilled negotiator, and advocate.
Having served clients in The Sarasota Real Estate Market for 40 years and carefully analyzing our business conditions, I have developed essential insight to assist both buyers and sellers in achieving their objectives. An understanding of the realities, the ability to evaluate and guide client expectations, and expert management in negotiating the purchase or sale of a home or condo, I ensure that your goals are realized.
It would be my privilege to work with you, your family, and friends in acquiring or selling your property.
Below is a snapshot using data compiled from the Florida Association of Realtors showing all existing homes and condos activity in March 2023 compared to March 2022:
And now for my statistical report on the Sarasota Real Estate Market activity:
- Total market dollar volume in April was $702 million which decreased by $156.6 million or 18% from a year ago.
- The number of properties sold was 1,130, which is 159 less than a year ago. The monthly average of sold properties this year is 954. The monthly average in 2022 was 1,004 and in 2021 1,369.
- Florida’s single-family sales declined 17.2% from last year, and condo sales were 26.8% fewer than last year.
- U.S. sales of single-family homes fell 22.4% and condos were down 29.5% compared to last April.
- Of the April closed sales 107 were for over $1,000,000. In 2022 Sarasota averaged 111 sales per month over $1 million and in 2021 the average was 128.
- Homes sold for in excess of $1 million were 25.3% lower than April 2022 and condos closed at over $1 million fell 30.2%.
- In April 1,220 listings went to a pending contract, a decrease of 81 transactions from a year ago. Year to date there has been an average of 1,159 pending sales per month. There were 968 pending sales per month in 2022 and 1,347 in 2021.
- Florida’s single-family pending sales decreased 7.6% and condos fell 18.1 compared to last year.
- U.S. pending sales in April were 20.3% behind a year ago.
- Single-family homes were sold at a median price of $520,000. The average monthly median price for houses sold is $500,753 this year. In 2022 it was $493,000 and in 2021 $394,000.
- In April, Florida median price for single-family homes was $410,000, virtually equal to last year.
- The national median price for existing homes fell 2.1% to $393,300.
- Sarasota’s condo median sale price was $399,000. In 2022 $383,000 and in 2021 $317,000.
- Median price for a Florida condo in April was $325,000, a 4.8% increase over 2022.
- U.S. median condo price grew .7% to $348.000.
- Sarasota houses sold on average for $652,000 for the month. The year-to-date monthly average is $677,525. In 2022 $683,000 and 2021 $573,000.
- Condos sold for an average price of $562,000, just 4% lower than last April. The year-to-date monthly average is $622,000. In 2022 $563,000 and 2021 $527,000.
- Currently there are 2,722 properties for sale in Sarasota. At the beginning of this year there were 2,431 listings, 829 at the beginning of 2022 and 2,272 at the beginning of 2021.
- The Sarasota market had 1,381 new listings in April. The market averaged 904 new listings monthly in 2022 and in 2021 it was 1,321.
- Current inventory results in 2.9 months of single-family homes for sale in Sarasota and 3.5 month’s supply of condominiums. Sarasota currently has 689 properties selling for over $1 million.
- Florida has 2.6 months of single-family inventory and 3.5 month’s supply of condominiums.
- U.S. inventory of existing single-family homes is equal to last year at this time, and condo inventory is at 3.6 months of supply.