The Sarasota Real Estate Market experienced continued revival of activity in June as buyers begin to get back on their hunt for new properties in our area. Sales were still just 63 units behind last year’s total of 1,165 for the month. June growth compared to previous month (May 2020) was very encouraging with nearly 37% more single-family homes sold and 38% more condominiums.
Properties that went under contract in June also showed considerable improvement. New pending single-family sales increased 32.9% and condominium signings were up 30.5% over prior year, and up about 18% over prior month. The introduction of virtual tools and services helped buyers and sellers expedite transactions that had been slowed by the distancing protocols put in place over the last few months.
Inventory in the Sarasota Real Estate Market remains low with estimates of just 2.7 months of supply of existing homes for sale and 4.3 months of condominiums, presenting a seller’s market in both categories. Six to nine months of inventory is considered a balanced market favoring neither sellers nor buyers.
With the demand continuing to be strong and inventory slow to recover, prices are steadily growing with existing homes up 5.2% over June 2019 and condos ahead of prior year by 6.8%.
As I have suggested in my last few monthly market updates, now is an ideal time for sellers who have been sitting on the sidelines to get their properties in top condition to bring them to market. I would be happy to do a walk-through with you (in-person or remotely) to offer my suggestions on what improvements will help to expedite the sale of your home or condo.
The market appears to be moving to shorter window of list-to-sale periods with move-in-ready properties at a premium. Waterfront and prime neighborhoods are in great demand and we are seeing activity in the luxury tier especially active. The following image from Trendgraphix shows activity in the market over $1 million.
Nationally, the real estate market also showed growth in June increasing almost 21% from May. “The sales recovery is strong, as buyers were eager to purchase homes and properties that they had been eyeing during the shutdown,” said Lawrence Yun, NAR’s chief economist. “This revitalization looks to be sustainable for many months ahead as long as mortgage rates remain low and job gains continue.”
New home sales also saw considerable improvement in June, pacing well ahead of economist expectations. With building of both single-family homes and condos in all price tiers robust in our region, it is hoped that it will help to fill the unmet demand gap created by historically low inventory of existing properties.
Leading real estate experts and economists are consistent on their bullish outlook on the industry. Between the strong indicators of increased confidence from home builders, expectations of low interest rates to continue, and in our area significant interest from both the local market as well as high tax/high density areas – I agree that we appear poised to remain on a course of improving conditions in our Sarasota Real Estate market.
And now for my statistical report on the Sarasota Real Estate Market activity:
- Total market dollar volume this past month was $453.6 million which increased by $22 million or 5% from a year ago.
- The volume in single-family was up $11.6 million from last year while condo volume was up $10.4 million.
- The number of properties sold this past month was 1,102, an increase of 298 properties closed from May and about equal to a year ago. The sales total includes 768 houses, 53 behind last year; and 334 condos, 10 below last year. The monthly sold properties average was 1,074 in 2019 and in 2018 it was 1,001.
- Florida’s single-family sales increased 1.3% from last year, and condo sales were 10.9% below last year. Homes sold for in excess of $1 million were 17.5% higher than June 2018 and condos closed at over $1 million grew 2.8%.
- U.S. sales of single-family homes declined 9.9% and condos don 22.8% compared to June 2020.
- Of the closed sales the past month 56 were for over $1,000,000, 40 were houses and 16 were condominiums.
- In 2019 Sarasota averaged 32 house sales and 14 condo sales per month over a $1 million, a small portion of our overall sales.
- 1,442 listings went pending last month which was an increase of 220 from last month and an increase of 351 from a year ago. For 2019 the monthly average for pending sales was 1,121.
- Florida’s single-family pending sales increased 23.2% and condos rose 19.8% compared to last year.
- National pending sales grew 16.6% compared to May and 6.3% year-over-year.
- Single-family homes were sold at a median price of $305,000, a 5.2% year-over-year increase. The 2019 monthly median price for houses sold was $288,325.
- In June, Florida median price for single-family homes was $282,000, a 4.4% increase over last year.
- The national median price for existing homes grew 3.5% to $298,600.
- The condo median sale price was $249,990, a 6.8% increase over prior year. The 2019 monthly median price was $236,797.
- Median price for a Florida condo last month was $194,900, a 7.7% increase over June 2019.
- U.S. median condo price grew 1.4% over last year to $262,700.
- Sarasota houses sold on average for $439,655 where the 2019 monthly average was $393,418.
- Condos sold for an average price of $346,991 last month. The condo monthly average sale price in 2019 was $346,755.
- Currently there are 3,315 properties for sale in Sarasota. This is a decrease of 457 listings from May and 771 less than at the start of 2020, a 19% decrease. There were 4,086 listings at the end of 2019 and 5,401 listings at the end of 2018.
- The Sarasota market had 1,170 new listings in June. The market averaged 1,040 new listings in 2019. Of the new listings the past month 86 properties were listed over $1,000,000.
- Current inventory results in 2.7 months of single-family homes for sale in Sarasota and 4.3 month’s supply of condominiums. Inventory of properties selling for over $1 million has fallen 5.7%.
- Florida currently has 2.8 months of single-family inventory, down 27.2% from last year, and 5.7 month’s supply of condominiums which is 5.9% lower than June 2019. Inventory of properties selling for over $1 million have decreased about 13% from last year.
- U.S. inventory of existing single-family homes has fallen 11.6% to 3.8 months of supply. Condos available increased 15.2% and now represent 5.3 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 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.