The Sarasota Real Estate Market continues with more good news of activity. Please find below the most recent report as published by the Sarasota Association of Realtors for closed January 2012 business.
The up-tick in our market continues with properties that are priced correctly being seen quickly by serious buyers who are ready to own a piece of sunny Sarasota. I personally had 3 properties in the past 2 months that I brought onto the market and within days had serious offers and moved quickly to the closing table. I included with this update a link to a video clip interview done by Al Roker of the Today Show with Barbara Corcoran. Barbara chooses Sarasota. To see the clip please visit
#1 Biggest Market Sale.
This positive National news continues to help Sarasota rebound.
Lastly, news broke this week that Palmer Ranch will be opening some new neighborhoods.
Trader Joe's is coming to Sarasota this year, along with the start of construction for the up scale shopping mall at University Towne Center.
The following information and statistics were taken from the Sarasota Association of Realtors dated February 16, 2012.
Pending sales spike in January 2012; prices also rise
The new year started with a 38 percent jump in pending sales from the previous month, as reported by members of the Sarasota Association of Realtors® - a strong indicator for a
successful 2012 season for real estate agents and firms.
Newly Signed Contracts
In January 2012, a total of 963 contracts were signed for property transactions. The breakdown was 723 single family homes and 240 condominiums. Pending sales is considered a major indicator for the next two or three months of closed sales, as the statistic reflects current buyer activity. Local agents are reporting a high volume of showings, heavy foot traffic at open houses, and numerous cases of multiple offers for homes.
While actual closings declined in January from December, the lull is typical due to the holidays which tend to redirect the attention of potential buyers for a few weeks.
Sales ended the month at 513, with 365 single family homes and 148 condos changing hands. This compared to 644 in December 2011, and 537 last January 2011. This pattern of a January decline has repeated for several years.
In January 2011, sales dipped to 537 after 681 sales in December 2010. The previous year, January 2010 sales slowed to 506 after hitting 648 in December 2009.
Prices
Median sale prices were also up for both single family homes and condos in January, with condos seeing a 20 percent leap from December's $150,000 to $180,000. Last January, condo prices were at $142,500, about 26 percent lower than this year.
For single family homes, prices have remained fairly stable for several months and rose slightly to $162,000 in January from last month's figure of $160,000. In January 2011, single family homes sold for a median price of $138,700 - more than 17 percent lower than this year.
The median sales price rise from last year is very striking, and probably has a lot to do with the lower inventory of available properties and the improved national economic picture. Our primary feeder markets in the northeast are starting to see improved buyer incomes and purchasing power. This also drives local sales, and competition can trigger price appreciation.
Inventory Levels are LOW
The inventory for January stood at 4,711, and last year at this time it was 6,047. This 22 percent drop means the law of supply and demand will likely start to take hold in the Sarasota market, which may in time push asking prices higher.
The inventory hit a 10-year low of 4,408 in August 2011,and has remained at or close to this low level since then. As the inventory has slid, the months of inventory has also dropped. The figure now stands at 8.3 months for single family homes (compared to 10.2 months in January 2011) and 11.3 months for condos (compared to 14.1 months last January). A figure of 6 months is considered equilibrium between a buyer's and a seller's market.
Distressed Property Sales
Distressed property sales continued to represent a higher percentage than normal in the local market. In January 2012, distressed sales (bank-owned properties and short sales) stood at 40 percent of the total (207 out of 513). This figure was slightly lower than the 41.6 percent in December 2011, and the 41.7 percent in the fourth quarter, and still far below the market high of over 50 percent in the second quarter of 2010.
Sarasota was recently ranked number five in the Realtor.com top ten list of Turnaround Towns in the United States. The study measured factors like year-over-year median price appreciation, inventory reduction levels, and the improving unemployment rate. The report said we are leading America's housing sector towards a general recovery.
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