The Sarasota Real Estate Market experienced yet another remarkable month of growth in number of sales transactions, total dollar volume, percentage of all cash sales, and number of properties that went under contract.
The number of new listings continues to be sluggish so the available inventory for sale, especially of existing single-family homes, is extremely limited – now at only 2.1 months of supply (6 months is considered a healthy market). In the luxury tier, those over $1 million, there are now just 443 properties listed, which is almost 20% below last year at this time.
With only 2,765 total properties (homes and condos) listed in the Sarasota Real Estate Market, an average of 1,110 selling each month, and 1,254 contracts being written monthly, my mantra remains the same – if you are thinking of listing your home, there is no better time than – NOW.
Year-to-date, Sarasota’s sales have now exceeded last year’s same period by 2.4% and total inventory is down more than 38%. The gap between list and sale price is narrowing, as is the time between signing a contract and closing. This is another effect of limited inventory and buyers wanting to ensure they can lock in a purchase when they find something they love.
Preliminary data collected by one of our trusted real estate resources, Trendgraphix, projects that October’s sales stats will show another growth spurt of 25% over prior year and more than 1,300 sales contracts signed. It appears that our market will remain an unshakable seller’s market for the foreseeable future.
Cash transactions remain strong in Sarasota with about 35% of all sales being closed without a mortgage, compared to the national figure of just 18%. Buyers are fleeing more densely populated areas with higher tax burdens and harsh winters and choosing our wonderful community. Despite mortgage rates being at an all-time low, those especially in the higher price points believe that real estate remains one of the most secure investments in today’s uncertain financial markets.
While in the past the motivation for moving more often revolved around work, today’s buyers are redefining their priorities and instead focusing on wellness, privacy, and space. Where second homes tended to be in “resort” areas such as ours where climate, recreation, entertainment, culture and the outdoor lifestyle are key attributes – those are now some of the key drivers for buyers of primary residences in our area.
Home builders surveyed last month revealed their confidence in demand for new homes and condominiums is at an all-time high. Though new home building is brisk, it is not enough to meet the total demand from wannabe buyers in our market.
And now for my statistical report on the Sarasota Real Estate Market activity:
- Total market dollar volume this past month was $564.6 million which increased by $212.9 million or a staggering 60% from a year ago.
- Broken down, total single-family sales volume was $394.8 million (a 50.2% increase over prior year) and condo sales were $169.8 million, up more than 91% for the month.
- The number of properties sold this past month was 1,296, 292 more than a year ago. The sales total includes 880 houses, 191 ahead of last year (up 27.7%) and 416 condos, 81 above last year (up 35.2%). The monthly sold properties average this year is 1,110, it was 1,074 in 2019 and in 2018 it was 1,001.
- Florida’s single-family sales increased 22% from last year, and condo sales were 25.3% over last year.
- U.S. sales with single-family sales rose 21.8% and condos were up 13.6%
- Of the closed sales this past month 81 were for over $1,000,000, 58 were houses (more than double last year) and 23 were condominiums (more than triple Sept 2019). In 2019 Sarasota averaged 56 sales per month over a $1 million.
- Florida homes sold for more than $1 million were 130% higher than September 2018 and condos closed at over $1 million rose 75%.
- Listings that went pending last month were 1,368 an increase of 421 transactions from a year ago – 31.4% more single-family homes and 43% more condos went under contract compared to last September. For 2019 the monthly average for pending sales was 1,121 and this year is averaging 1,254 per month.
- Florida’s single-family pending sales increased 31.4% and condos rose 43% compared to last year.
- U.S. pending sales in July were 20% ahead of a year ago.
- Single-family homes were sold at a median price of $318,500, an increase of 6.9%.
- In September, Florida median price for single-family homes was $300,000, a 13.2% increase over last year.
- The national median price for existing homes 15.2% to $316,200.
- The condo median sale price was $252,240. The 2019 monthly median price was $236,797.
- Median price for a Florida condo last month was $217,500, a 12.7% increase over September 2019.
- U.S. median condo price grew 9.9% to $272,700.
- Sarasota houses sold on average for $448,619 where the 2019 monthly average was $393,418.
- Condos sold for an average price of $398,575 last month. The condo monthly average sale price in 2019 was $346,755.
- Currently there are 2,765 properties for sale in Sarasota. This is a decrease 44 listings from the month before and 1,057 from a year ago. There were 4,086 listings at the end of 2019 and 5,401 listings at the end of 2018. We are definitely in a strong seller’s market.
- Of the available inventory for sale, 443 properties are listed for over $1 million or only 16%. Of the active listings over $1,000,000, 296 are houses (18% fewer than a year ago) and 147 are condos (5.8% fewer).
- The Sarasota market had 1,395 new listings the past month. The market averaged 1,040 new listings in 2019 and 1,315 this year.
- Current inventory results in 2.1 months of single-family homes for sale in Sarasota and 3.5 month’s supply of condominiums.
- Florida currently has 2.2 months of single-family inventory and 5.1 month’s supply of condominiums. Inventory of Florida properties selling for over $1 million have decreased about 15% from last year.
- U.S. inventory of homes and condo for sale has fallen 19% year-over-year to just 2.7 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 overstated.
Having served clients in The Sarasota Real Estate Market for 38 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.