The Sarasota Real Estate Market has been inching toward a buyer’s market, but conditions are currently neither strongly favoring either buyer’s or seller’s sides. July sales of existing single-family homes saw strong growth in all price points, but most noticeably in the greater than $1 million segment where 32 properties sold compared to last year’s 18. In 2019’s first seven months, sales in the single-family luxury market are stable, with just three more selling than prior year’s same period.
Prices of single-family homes have grown consistently this year. Resulting sales volume for the month of July was ahead of last year by more than 24% and up almost 7% year-to-date.
In the condominium market, transactions in July fell more than 10%; 15% in the luxury market. Year-to-date, luxury condominium sales have decreased over 60% according to Trendgraphix, yet inventory has risen 30%. There have been limited new buildings brought to market in 2019, so the growth in inventory is coming from existing – and in most cases – aging product.
With considerable new condominium development underway, we will see increased closings at the end of this year and early 2020. I would encourage condo sellers to work closely with their realtors to ensure units are priced competitively to sell prior to the next wave of new product coming to market.
With talk of a possible economic downturn looming, housing industry experts and analysts point out that, aside from the great recession, traditionally real estate appreciation tends to slow only slightly during recessions, averaging 4% compared to 4.6% on average during economic expansions.
Demand in the Sarasota Real Estate Market remains strong. Home builder and construction of multi-unit projects is robust in our region. Nationwide consumers believe that home prices will continue to grow despite economic fluctuations.
A recent analysis from the Wall Street Journal and Realtor.com reviewing the luxury home market across America determined that Sarasota is the 6th best buyer’s market in the nation. With interest rates hitting just 3.77% for a 30-year fixed rate mortgage last month, strong consumer confidence, a steady flow of traffic from “tax-refugee” buyers, increased inventory and active new construction, I see all of these favorable conditions helping The Sarasota Real Estate Market maintain a steady growth pattern.
And now for my statistical report on the July Sarasota Real Estate Market activity:
- Total market dollar volume this past month was $403.5 million which increased by $41 million or 11% from a year ago.
- Broken down, single-family sales were $309.7 million and condominium sales were $93.8 million for the month.
- The number of properties sold this past month was 1,107, 62 more than a year ago. The sales total includes 802 houses, 98 ahead of last year and 305 condos, 36 below last year. The year to date the monthly sold properties average is 1,091 while in 2018 it was 1,001.
- Florida’s single-family sales increased 10.4% from last year, and condo sales were 4.3% above last year. Homes sold for in excess of $1 million were 17.5% higher than July 2018 and condos closed at over $1 million rose 8.2%.
- U.S. sales with single-family sales increased just 1% and condos down 3.3%.
- Of the closed sales the past month, 43 were for over $1,000,000, 32 were houses and 11 were condominiums.
- In 2018 Sarasota averaged 29 house sales and 17 condo sales per month over a $1 million, a small portion of our overall sales while this year we are averaging 35 house sales and 15 condo sales per month for over $1 million.
- Listings that went pending last month were 1,041 an increase of 43 transactions from a year ago. For 2018 the monthly average for pending sales was 1,031.
- Florida’s single-family pending sales increased 7.4% and condos rose 3.2% compared to last year.
- U.S. pending sales in July have not been released as of the date of this report.
- Single-family homes were sold at a median price of $290,000. The 2018 monthly median price for houses sold was $281,662 and 2019 year to date it is $290,558.
- In July, Florida median price for single-family homes was $268,000, a 5.1% increase over last year.
- The national median price for existing homes grew 4.5% to $284,000.
- The condominium median sale price was $224,000. Year to date the monthly average is $234,504 and the 2018 monthly median average was $230,989.
- Median price for a Florida condo last month was $188,000, a 4.4% increase over July 2018.
- U.S. median condo prices grew 2.5% to $254,300.
- Sarasota houses sold on average for $386,220, where the 2018 monthly average was $384,110.
- Condominiums sold for an average price of $307,526 last month. The condominium monthly average sale price in 2018 was $355,047.
- Currently there are 4,107 properties for sale in Sarasota. This is a decrease of 407 listings from the month before. There were 5,401 listings at the end of 2018 and 4,401 listings at the end of 2017.
- Of the available inventory for sale, 587 properties are listed for over $1 million or only 14%. Of the active listings over $1,000,000, 422 are houses and 165 are condominiums.
- The Sarasota market had 1,078 new listings the past month. The market averaged 1,289 new listings in 2018. Of the new listings the past month 62 properties were listed over $1,000,000.
- Current inventory results in 3.8 months of single-family homes for sale in Sarasota and 4.9 month’s supply of condominiums.
- Florida currently has 3.8 months of single-family inventory and 5.5 month’s supply of condominiums. Inventory of properties selling for over $1 million have increased about 4% over last year.
- U.S. inventory of all existing housing types decreased 1.6% to 4.2 months of supply.
In today’s ever-fluid real estate market, the value of partnering with a highly experienced, locally as well as globally connected agent/broker, and a skilled negotiator and advocate cannot be understated.
Having served clients in The Sarasota Real Estate Market for more than 37 years and carefully analyzing our business conditions, I have developed essential insight to assist both buyers and sellers in achieving their objectives.
It would be my privilege to work with you, your family and friends in realizing your goals in acquiring or selling your property.
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