Enjoy the View, With More to Come
If you have been following the real estate market and tracking the stats, I’m not telling you anything you don’t already know. If you haven’t, then try finding a realtor who doesn’t already have their day booked up with appointments showing properties, attending inspections, appraisals, or closings. Thirteen may be an unlucky number to some, but if you’re in the real estate field, 2013 has been a busy and promising year – breaking records and showing substantial activity. In fact, this month has proven to be a very eventful time for members of the Sarasota Association of Realtors with sales numbers again reaching 4 figures!
During 2004-2005, we saw 9 months where sales remained at 4 figures, but in 2013, the market has already demonstrated 2 months at this level. There is no indication of this market even stopping to breathe with the projected figures for the month of June.
May has not been a “sit back and relax” month for Sarasota realtors, as they are out with clients and meeting with professionals to move toward closings and listing properties.
May Stats in Sarasota
Sales Volume Increases
May has produced a total of 1,020 sales! Single family homes make up 737 of this figure leaving 283 of them as condominiums. This is almost identical to the amount of sales from the previous month of April with a total of 1,017 sales. The Sarasota market has reached a steady incline of sales for 2013, and we hope to see it maintain the progression as the year continues.
Looking at last year’s number of 854 total sales for the month of May 2012, sales have increased by a whopping 19.4%. Realtors have finally been presented with a market where buyers are making quicker decisions to make offers and move to the closing table faster. Sellers are also taking action, especially when they see that prices are increasing and they can get closer to their asking price. This allows SAR’s members to stay busy with their clients buying and increasing the amount of listed properties.
Home & Condos Prices Rise
The Association has reported similar findings, stating that the median sales price for single family homes are reported at $220,000. This is a significant 18.8% increase over last May’s figure of $185,000 – the highest it has been since August 2008!
Condos are following the same trend with a median price of $194,250, an 8% increase from last May’s figure of $180,000.
Sarasota Needs Houses for Sale
With all the commotion in the sales aspect of the real estate market, we still are not seeing the inventory catching up and is actually decreasing as the months go on. The association has reported that available inventory has hit a new decade low of 3,297 properties for sale in our region. This equates to 3.0 months of inventory for single family homes and 3.9 months for condominiums. Months of inventory represents the time is would take to deplete the current inventory at current sales rates.
Pending Sales
Looking ahead to the number of sales expected to close in the following months, we review the pending sales to give us a little insight as to what to expect. During the month of May there have been a total of 1,157 pending sales, and they have topped 1,000 every month this year thus far. With this information there is no sign that sales are going to slow down in the months ahead. What a great gift to our real estate season to have busy summer months!
I am not the only one who believes so; looking at a statement from our SAR president Roger Piro, “There hasn’t been any let up to this to this very strong Spring market. With the continuing high level of pending sales, it appears that June will continue to show a very high level of closings. This Spring surge appears to be poised to continue into the summer months.”
Foreclosures & Short Sales
Taking a look at the distressed properties, the good news keeps rolling in. There were only 333 properties that were listed in the MLS as short sales or foreclosures. The continuous decline of distressed properties in our area, means that we are seeing less financially stressed homeowners looking at their options for financial relief.
There are 43 less distressed property listings this month, compared to last month, and they also equated to 23% of total sales for the month of May. We do love to see that there are less people having to use the option of a short sale, or even worse, a foreclosure situation. Buyers on the other hand, feel as if they are getting more bang for their buck on these properties due to the lower selling price on the homes that are in great condition.
Record Breaking Months Ahead
If the Sarasota market remains headed in the same direction, we will be looking at the second highest year for sales in SAR’s 90 year history! Maybe with a little luck and a lot of hard work we can push that goal farther than the first year of 2004 and make 2013 the number one year for sales. Realtors are reporting that this is their busiest year for sales and that buyers are flocking to this area to obtain their own piece of this paradise we like to call “Sarasota”.
Even local residents who are still renting, have been out with their real estate professionals to secure a more permanent home. In the recent market, we are seeing the tight inventory causing prices rise slightly, and perhaps creating a sense of urgency for buyers. They tend to move quicker now, when it comes to placing an offer and executing a contract, so as to not lose their deal in the hot and busy market.
For more information about the Sarasota real estate market, or available listings, please don’t hesitate to Contact us at 941.284.4474 or Toll free 941.404.4737. One of our qualified Sarasota agents will gladly get back to you.