The Sarasota Real Estate Market recorded a considerable increase of 34% in closed sales of existing homes and condominiums when compared to September 2022. This is the first year-over-year double-digit increase since the pandemic surge. Though it is important to recall that last year Hurricane Ian made landfall late in the month, possibly affecting closings in that last week. In the several months following Ian, sales and new listings were slow to recover as most of the southern portion of the North Port/Sarasota region was in recovery from the devastating impacts of the storm, which will create additional deviations from “normal” data in the months ahead.
There was good news in the new listings numbers with 46% more existing homes and condos coming on the market in September than the prior year. Over the last five months new listings have recorded a steady flow of new properties as opposed to typical seasonal peaks and valleys. Pending sales also grew at a 7.8% higher rate when compared to last year, again the highest year-over-year growth since 2021.
Listing to sale periods have been steady this year. In the market over $1 million though, it appears time to contract is growing a bit. The patterns of new listings and pending sales seem to be in sync, but the luxury properties are taking a bit longer to sell in these last few months. Prices in our market continue to grow, but the pace of appreciation has calmed.
New home sales maintained strong market share due to limited inventory for sale in existing homes. Since September of 2021 the number of available new homes and condos selling for more than $1 million has more than tripled. The number of days from list to sale for new homes and condos has grown from a low in April of 26 days to a high of 108 days recorded in August.
Industry experts report that the affluent buyers are not only driven by location, experiential factors, home amenities, and technology, but also by the condition of the home or condo. Luxury buyers prefer move-in ready to minimize taking on anything more than simple updating projects before being able to enjoy their new purchase. In addition, affluent see vacation properties as a necessity to feed their desire for diversity in lifestyle from their primary home, as well as potential for investment return.
Activity from buyers in the luxury market tends to accelerate in the fall and winter as the affluent search for second and third homes in resort markets, as opposed to families relocating typically is more active in spring and summer, as moves are most likely to occur after a school year ends and the new one begins. With 50% more properties listed for more than $1 million currently on the market when compared to last year, I am expecting the Sarasota Real Estate Market to have a strong selling season ahead.
As we near the busy winter selling season, those considering bringing their property to market need to begin the process of finding a seasoned real estate professional, have them give you an assessment of potential pricing and improvements to consider prior to listing, as this can take several months to accomplish.
Please reach out if you are considering selling your home or buying another – it would be my pleasure to meet with you to discuss your goals. 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 sellers and buyers 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.
Below is a snapshot of the Florida Association of Realtors data showing Sarasota’s existing homes and condos activity in the price tier above $1 Million in September 2023 compared to September 2022:
And now for my statistical report on the September Sarasota Real Estate Market activity:
Sales
- Total market dollar volume in September was $604 million which increased by $150 million.
- The number of properties sold was 930; 237 more than a year ago, a 39.3% increase. The monthly average of sold properties this year is 1,098. The monthly average in 2022 was 1,004 and in 2021 1,369.
- Florida’s single-family sales increased 6.1% from last year, and condo sales were down just 0.2%.
- U.S. sales of single-family homes fell 15.8% and condo sales were down 12.2%.
- Of the September closed sales 112 were for over $1,000,000, a 32% increase over prior year. In 2022 Sarasota averaged 111 sales per month over $1 million and in 2021 the average was 128.
- Florida homes sold for more than $1 million were 26.7% higher than September 2022 and condos closed at over $1 million rose 23.9%.
- 715 listings went to a pending contract in September, an increase of 52 transactions from a year ago. Year to date there has been an average of 995 pending sales per month. There were 968 pending sales per month in 2022 and 1,347 in 2021.
- Florida’s single-family and condominium pending sales were nearly equal to last year.
- U.S. pending sales in September were 11% behind a year ago.
Prices
- Single-family homes were sold at a median price of $494,000. The average monthly median price for houses sold is $509,00 this year. In 2022 $493,000 and in 2021 $394,000.
- In September, Florida median price for single-family homes was $409,243, a 1.3% increase over last year.
- The national median price for existing homes grew 2.5% to $399,200.
- The condominium median sale price was $395,750. The average monthly median price for condominiums sold is $356,000 this year. In 2022 $383,000 and in 2021 $317,000.
- The median price for a Florida condominium last month was $324,990, a 5.8% increase over last year.
- U.S. median condominium price grew 6.8% to $353,800.
- Sarasota houses sold on average for $691,00 for the month. The year-to-date monthly average is $696,000. In 2022 $683,000 and 2021 $573,000.
- Condominiums sold for an average price of $557,000 in September. The year-to-date monthly average is $581,000. The 2022 monthly average was $563,000 and in 2021 it was $527,000.
Inventory
- Currently there are 3,348 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 1,243 new listings in September. The market averaged 904 new listings monthly in 2022 and in 2021 it was 1,321.
- Current inventory results in 3.5 months of single-family homes for sale in Sarasota and 3.8 months of supply of condominiums.
- Inventory of homes and condominiums selling for more than $1 million has grown more than 50% compared to September 2022.
- Florida currently has 3.2 months of single-family inventory and 4.1 month’s supply of condominiums. Inventory of properties selling for over $1 million have increased about 20% over last year.
- U.S. inventory of existing single-family homes has declined 9.1% and condo inventory fell 1.5%.
