The Sarasota real estate market has slowed a bit since 2023, but luxury home sales above $1 million have continued to exceed the past six years. Compared to pre-pandemic sales in 2019, high-end home and condo sales in 2024 nearly tripled, with only 2021 coming close during the peak of the COVID buying frenzy.
Year-to-date, home and condo sales in the Sarasota Real Estate Market in all price categories are 5% behind last year. With new listings and home construction increasing, buyers have more leverage in negotiations. The gap between listing and sale prices is slowly widening, and price adjustments from sellers are becoming more common due to increased competition.
Days-on-market is an important factor to both buyers and sellers. A seller is anxious in today’s market as they recall the heady days in 2022 when number of days from listing-to-contract fell to just 17 days. Buyers see the extended listing periods as a sign that there might be something wrong with the property. The reality is somewhere in-between and more likely about buyers having more choices with higher inventory, and sellers not carefully considering pricing set by their competitor properties.
In the charts below, I have compiled data from Trendgraphix to show the changes in the luxury tier. Using 2019 as a base (before COVID) compared to the last 12 months of activity, the numbers are quite remarkable. Inventory has fallen from highs of nearly 1,100 high-end properties for sale in the spring of this year, down to closer to 2019 levels. And the listing-to-contract period has become notably shorter. In 2019, it averaged 139 days; this year, it has been around 70 days.
As many market economists expected, the Fed’s recent 25 basis point reduction did not measurably affect mortgage rates, thus had little effect on housing sales. Financial experts have reduced their projections for the number of rate cuts in 2025. Additionally, the Mortgage Bankers Association has published their forecast, anticipating mortgage rates to remain around 6.5% over the coming years.
Mortgage rates have now hovered over 6% for the last couple of years. Consumers are adjusting to the current market realities and are moving forward with their plans to buy or sell. Historical data reveals that the 50-year average is 7.7%.
Over the past three months, major storms have significantly impacted Sarasota’s real estate market. Office closures, recovery efforts, and water and power interruptions disrupted listings and sales. Combined with political tensions and high mortgage rates, it is unsurprising that the 4th quarter of 2024 isn’t winding down the year on a high note.
As we approach the peak tourism months, I expect demand to remain strong. Inquiries from prospective buyers and sellers have grown over this last month leaving me encouraged for a healthy 1st quarter ahead. However, it is likely that the real estate market will continue to experience unexpected turns. Partnering with an agent who comprehends our nuanced local conditions is essential in navigating these shifts to make informed decisions based on your goals.
Having served clients in The Sarasota Real Estate Market for 40 years, I provide valuable insight to assist both buyers and sellers in achieving their objectives. By understanding market realities, being highly skilled in assessing and guiding client expectations, and expertly negotiating the purchase or sale of a home or condo, I ensure that your goals are realized. I would be honored to assist 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 existing property market activity over $1,000,000 in November 2024 compared to prior year:
And now for my statistical report on the November Sarasota Real Estate Market activity:
Sales
- Total market dollar volume in November was $482.1 million, which decreased by $137.5 million from a year agThe number of properties sold was 675, 161 less than a year ago. The monthly average of sold properties this year is 916. The monthly average in 2023 was 953, in 2022 it was 1,004 and in 2021 1,369.
- Florida’s single-family sales decreased 3.5% from last year, and condo sales were 15.6% below last year.
- U.S. sales of single-family homes rose 7.4% and condos were down 4.9%.
- Of the closed sales in November, 108 were for over $1,000,000. In 2023 Sarasota averaged 126 sales per month over $1 million, in 2022 the average was 111 and in 2021 128.
- Florida homes sold for more than $1 million were 1.8% higher than November 2023, and condos closed at over $1 million fell 33.3%.
- In November 752 listings went to a pending contract, a decrease of 20 transactions from a year ago. Year to date there has been an average of 919 pending sales per month. There was an average of 1,159 monthly pending transactions in 2023, 968 per month in 2022 and 1,347 in 2021.
- Florida’s single-family pending sales increased 12.6%, and condominiums fell 4.9% compared to last year.
- U.S. pending sales in November were 2.2% ahead of a year ago.
Prices
- Single-family homes in Sarasota were sold at a median price of $490,000. The average monthly median price for houses sold is $503,500 this year. The average monthly median price for 2023 was $510,000, in 2022 it was $493,000 and in 2021 $394,000.
- In November, Florida median price for single-family homes was $410,700, a slight decrease from last year.
- The national median price for existing homes grew 4.8% to $410,900.
- The condominium median sale price in Sarasota was $373,700. The average monthly median price for condos sold is $381,400 this year. The average monthly median price for condominiums sold in 2023 was $387,400, in 2022 $383,000 and in 2021 $317,000.
- The median price for a Florida condominium was $311,000, a decline of 5.8% from November 2023.
- U.S. median condominium price grew 2.8% to $359,800.
- Sarasota houses sold on average for $706,400 for the month. The year-to-date monthly average is $713,000. The annual monthly average was $695,000 in 2023, in 2022 $683,000 and 2021 $573,000.
- Condominiums sold for an average price of $724,991 in November. The year-to-date monthly average is $718,800. The annual monthly average was $622,500 in 2023, in 2022 $563,000 and in 2021 it was $527,000
Inventory
- Currently there are 5,063 properties for sale in Sarasota. At the beginning of this year there were 4,426 listings for sale, 2,431 in 2023 and 829 in 2022.
- The Sarasota market had 1,515 new listings in November. The market averaged 1,338 new listings monthly this year, 1,318 in 2023, 904 in 2022 and in 2021 it was 1,321.
- Current inventory results in 5.2 months of single-family homes for sale in Sarasota and 6.3 months’ supply of condominiums.
- Florida currently has 4.8 months of single-family inventory and 8.2 month’s supply of condominiums.
- U.S. inventory of existing single-family homes 16% to 4.8 months of supply and condo inventory is up 27.5% to 5.1 months.
