Sarasota-Manatee County Real Estate Market Update: October 2023

The Latest Trends in the Sarasota-Manatee Real Estate Market

Are you interested in the current state of the Sarasota, Lakewood Ranch, and Bradenton real estate market? We’ve got you covered with all the essential information you need for your buying and selling needs. In this month's real estate market update, we'll delve into key statistics and trends that can help you make informed decisions.

Closed Sales

Let's kick things off with closed sales. This time around, we witnessed a significant increase, with closed sales soaring by a whopping 43% compared to the same period last year. It's important to note that the previous year saw a drop in sales due to Hurricane Ian. When we examine the month-over-month numbers, they have remained relatively consistent, hovering around 1,250 home sales over the last four months. While this number appears stable, we must stay vigilant as the holiday season approaches.

*Statistics from* *https://www.floridarealtors.org/*

Median Sales Price

One of the most critical factors for both buyers and sellers is the median sale price. Concerns about home affordability have been at the forefront of many minds. Surprisingly, we observed a 1% drop in the median sale price from last year, bringing it down to $499,945. When we look at the month-over-month figures, there was a more noticeable decrease from $520,190.

However, it's essential to recognize that this number tends to fluctuate from month to month. We haven't seen a definitive trend of prices consistently rising or falling. If inventory levels increase, we might see a slight decrease in prices, but if inventory remains limited, expect the prices to stay relatively steady.

It’s also important to note that around 37% to 40% of all home sales in the area are cash transactions. As mortgage rates rise, it's worth monitoring if this percentage also increases, providing insights into the prevalence of cash sales.

Median Percentage of Original List Price Received

For buyers, understanding the median percentage of the original list price received is crucial for determining how to structure their offers. Currently, this figure stands at 96.8%, which is a 0.6% increase from last year. This might come as a surprise considering the slight drop in median sales prices. However, this can be attributed to sellers adopting more strategic pricing approaches. When they sense a slower market, they don't want to be the ones left with properties on the market in their neighborhood. Correct pricing leads to quicker sales, ensuring that homes are sold swiftly.

Median Time to Contract

The median time to contract has increased by 40% compared to last year. However, don't let the 40% figure alarm you; it translates to an increase from 20 days to 28 days. Homes are still selling remarkably quickly, with the median time to contract staying below 30 days. Some properties may take longer to sell, while others are snatched up within a short period, particularly when priced right and presented well.

New Pending Sales

When considering what next month's data will reveal, we find an 8.1% increase in new pending sales compared to the previous year. In September, approximately 1,000 homes went under contract, indicating that closed sales should remain consistent. Nonetheless, it's essential to keep a watchful eye on this.

New Listings

The number of new listings has experienced a 26% jump compared to the previous year, reaching 1,545. This increase is somewhat expected as the previous year saw a hurricane, causing homeowners to delay listing their properties in September. The month-to-month numbers have also remained fairly steady.

Inventory

Finally, let's discuss the total inventory. It has increased by approximately 33% compared to the previous year, resulting in a 3.2-month supply of homes on the market. This figure reflects how long it would take for all the homes currently on the market to sell if no new listings were added. While this number has risen, it's essential to consider that the market still leans towards being a seller's market.

Conclusion

If you're a seller, your home remains a valuable asset. There hasn't been a significant drop in prices, and homes are still selling relatively quickly. However, be mindful of the increasing inventory and the rising competitiveness of new construction. Pricing your property strategically to stand out is vital!

For buyers, the key is to maximize your investment. Work with a knowledgeable agent who can help you identify the best opportunities, whether in the resale or new construction market. Remember that your home is a significant investment, so it's crucial to consider its resale value in the long term!

If you need more information or have specific questions about the Sarasota real estate market, don't hesitate to reach out to your House Match agent or contact Matt Bohanon directly. Your real estate decisions should be informed and strategic, and staying updated with market trends is a crucial part of that process. Thank you for tuning in, and we'll be back next month with more insights!

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