Sarasota Real Estate Information

Sarasota Market Nearing 4th Best Year Ever

The following is the Sarasota Real Estate Market Report for closed busines in November of 2012.  The following statistics and charts come from the Sarasota Association of Realtors report that was published for the public on December 16, 2012.

The Sarasota Association of Realtors® is on pace to see the fourth highest number of annual sales in SAR’s 90-year history in 2012, after members sold 764 properties in November 2012, a robust 29 percent increase over last November’s figure of 602 total sales. The sales total was also 8 percent higher than in October, when 719 properties changed hands.

SALES
The category totals were 556 single family homes and 208 condos sold, compared to last November when only 435 single family and 167 condos were sold. This summer and fall, the market has remained extremely active, with open houses experiencing heavy foot traffic and multiple offers reported on many available properties. The available inventory remains near the lowest level in a decade, and the improving economy and employment picture have also helped fuel the real estate market recovery.

“We are truly experiencing a very fortunate time for the Sarasota real estate market,” said SAR President Laura Benson. “Interest rates remain near all-time lows, quality properties are affordable, and the economy is recovering at an improved pace. We’re in the middle of a great market, and the traditional buying season is only just getting started.”

INVENTORY
The available inventory of homes on the market remained near the decade low, rising slightly to 3,543 from last month’s 3,517. In November 2011, the inventory was at 4,253 properties for sale – more than 18 percent higher than the current total.

PENDING SALES
Pending sales (which represent properties that went under contract during the month) dropped in November 2012 to 905 from the October 2012 level of 954, but were 14 percent higher than last November, when there were only 782 pending sales reported.

“With pending sales still relatively high, and asking prices remaining stable, we should see a continuation of these impressive sales statistics for the foreseeable future,” said Benson. “The biggest potential rain cloud on the horizon is the so-called fiscal cliff, and the potential impacts on the real estate industry.”

MEDIAN SALES PRICES
The median sale price for single family homes in November 2012 was at $174,450, down slightly from the October 2012 figure of $176,000, while condo prices remained at $160,000, the same as last month’s figure. Last year at this time, median prices were at $162,000 for single family homes and $127,000 for condos. Prices are 8 percent higher for single family and a 28 percent higher for condos.

The median price for single family homes for the past 12 months was at $172,500, and for condos the figure stood at $174,700. Last year at this time, the 12-month rolling median prices were at $156,074 for single family homes and $158,000 for condos. The numbers continue to indicate a gradual upward price trend.

MONTHS OF INVENTORY
The months of inventory remained near 10-year lows.  “We’re in the middle of a great market, and the traditional buying season is only just getting started.”- SAR President Laura Benson

The November figures were 4.1 months of inventory for single family homes and 6.1 months for condos. Months of inventory represents the time it would take to deplete the current inventory at the current sales rate. Last November, there were 6.9 months of inventory for single family homes and 9.8 months of inventory for condos. At the worst point of our market in November 2008, there were 24 months of inventory for single family homes and 41.7 months for condos.

DISTRESSED PROPERTIES
Currently, only 472 properties for sale in the MLS are listed as short sales or foreclosures, down 9 percent from last month’s figure of 519 properties. This represents about 13.2 percent of available properties, down from last month’s figure of 14.8 percent and down from the start of the year when the figure represented 17 percent of the market.

Looking forward to potential market conditions in 2013, NAR has been pushing federal lawmakers to leave the mortgage interest deduction in its current form. But the deduction has been mentioned as a potential target for cutting the federal budget deficit – part of the ongoing “fiscal cliff” negotiations – which might put a damper on sales.

On the “good news” front, the U.S. Census Bureau reported in December that more people are moving from state to state now than in 2011, when mobility levels hit hear records lows. The state experiencing the largest influx of new residents has been Florida, with New York residents making up the largest segment of those relocating here.

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