Buying Choices Are Limited By Those Uncertain About Selling
Since 2015, single-family houses and condominiums in both Manatee County and Sarasota County have been continually increasing their sale prices. Manatee condos and single-family houses, in particular, have reached medium prices of $185,250 and $279,250 respectively; the former value has increased 21.9% and the latter by 11.7% since this same time last year. Meanwhile, the median sale price of Sarasota County condos has reached $205,000 - a 7.9% increase - while the median sale price of single-family houses in the same county has reached $242,500 via a 10.5% increase.
Real Estate Transactions In Manatee & Sarasota Counties
Prices aside, the number of transactions are growing as well in Manatee County. Here, the number of condo transactions grew by 11.5% and single-family home transactions grew by a slight 0.7%. Comparatively, Sarasota County experienced a marked decrease in sales over last July, with 24.6 fewer condo sales and 21.7% fewer single-family home sales.
However, new occurrences of pending sales for both types of homes in both counties have decreased by 18.5% since last July, a decline that began since May. In contrast, the rate of new pending sales was stable through August 2015. These observations tend to be valued as a gauge for closed sales that can potentially occur in the future.
What To Expect Of The Real Estate Market In The Coming Months
The Realtor Association of Sarasota and Manatee's president as of 2016, Linda Formella, has stated a belief that the continued trend of steadily climbing median prices for the two kinds of housing will stabilize within a matter of months. In regard to the decline of pending sales, Formella noted that the decline transpired continuously throughout the first seven months of this year, while noting that July was the sixth out of all the months in 2016 thus far in which listing inventory was higher than in the corresponding month during 2015. Formella shared her perspective that the potentiality of the prices adjusting to the decreasing demand for the housing would be reasonable to anticipate.
Jonathon Smoke, chief economist of Realtor.com, recently released a report about the results of a survey in which home buyers were asked about what was most likely to prevent them from buying a home. Roughly 40% of those surveyed identified the unlikelihood of finding a home that suited their needs as the primary reason. The report also illuminated that a larger proportion of home buyers would be more inclined towards selling their home - commonly seen as a potential risk - if the inventory readily available were broader in its selection.
Formella explained that she had recently seen the emergence of a highly unusual process in which the typical procedure of selling one's current home and then buying contingent has essentially been reversed; now, as a response to limited available inventory, sellers purchase a home before making a sale contingent on their previous home.
It’s Still A Stable Market For Buyers and Sellers
Concerns over inventory may diminish over time as inventory has been steadily increasing in both counties as of late. Since last year, the inventory of condos in Manatee County has risen 12.2%, leaving it with 4.1-months’ worth of supply, while Sarasota's condo inventory has risen 44.5%, leaving it with 5.1 months’ worth of supply. Meanwhile, the inventory of single-family houses in both counties have both increased by 19.5% since July of last year, leaving Manatee and Sarasota Counties with 4.4 and 4.2 months' worth of supply, respectively. The market for these homes in these counties is clearly not a buyer's market at present, though, as there would have to be more than six months’ worth of inventory remaining in order to earn that distinction
It's a great time to be in the market for a Sarasota home or condo for sale. If you'd like to find out more about the Sarasota-Manatee real estate market, contact the Key Solutions Real Estate team at (941) 894-1255 or send them a message today!