SARASOTA COUNTY:

How’s the Market? Polish Your Pennies.

Home & Condo Sales Report for the month of August 2019

Robert Goldman

September 11, 2019

I’m always asked … How’s the Market?  That question is always followed up with the second, real question: If I was going to buy or sell today, how would I fare”?  Let’s break it down.

The “Market” is an exchange, and an exchange is always in a state of flux based on market conditions.  Your home, its improvements, the neighborhood, its amenities, the extended community, new builds, when you purchased, that is what is going to affect its viability, its Fair Market Value in a direct way.  Is it a good time to sell?  It depends.  Are you motivated?  Have you made the necessary improvements to keep up with homes in your community?  Have you done your maintenance to keep it up?  How does the home show? Buyers will exploit these issues if you have not addressed them.  And then on a macro level GO politics, economics, culture, interest rates, volatility, instability, local inventory levels, neighborhood movement, etc., will weigh in and be a foundational catalyst in affecting your home’s value.

If you are readying your home for resale in this market, as tight as it is, and particularly competing with new construction, it better be the shiniest penny on the block, IF, you want to get top dollar.  If you are not prepared to make your home the shiniest penny on the block, then adjust your expectations.

As I predicted in February, the “Market” in Sarasota County began to shift from a Seller’s Market to a Neutral Market.  That shift, particularly for single family homes, continues through August, with modest downward pressure on prices.

Single Family Homes:

• Average Sq. Ft. Sold Price: $188,000; down 5.1% from July, and down 4.1% from last year.
• Median Sold Price: $283,000; down 2.4% from July, and down 0.7% from last year.
• Average Sold Price: $364,000; down 6.7% from July, and down 5.5% from last year.

There are signs that Sellers are beginning to take notice of the Market Shift.  In August, for the first time since February, rather than going up, the Average List (asking) Price for single family homes went down, from $766,000 in July to $736,000 in August; down 3.9% from July, and down 0.4% from last year.  The result is that August was a super strong month for homes that went under contract.  788 homes were placed under contract in August, up 9.9% from July, up 39.5% from last year, and up 16% from the same quarter last year.  It preserved the pattern of low inventory with only a 2.9-month supply of homes for sale based on pended sales. This is continued evidence that through studied and learned modest adjustments to current market conditions, Sellers will be successful in positioning their homes for sale and Buyers will buy.

So, how’s the Market?  It is good, really good.

See below for August 2019 single family and condo stats:

Single Family Homes

For the month of August 2019

• For Sale Listings NEUTRAL @ 2,247 units: Down 7.7 compared to prior month (July 2019); Down 9.6% compared to last year (August 2018).
• New Listings NEUTRAL @ 799 units: Up 1.8% compared to last month; Down 1.5% compared to last year.
• Closed Sales NEUTRAL @ 714 units: Down 7% compared to last month; Same as last year.
• Pending Sales RISING @ 788 units: Up 9.9% compared to last month; Up 39.5% compared to last year.
• Months of Inventory Based on Closed Sales NEUTRAL @ 3.1 months: Down 2% months compared to last month; Down 11.5% compared to last year.
• Average Sold Price per Square Foot FALLING @ $188/sq. ft.: Down 5.1% compared to last month; Down 4.1% compared to last year.
• Median Sold Price is FALLING @ $283,000: Down 2.4% compared to last month; Down 0.7% compared to last year.
• Average Sold Price is FALLING @ $364,000: Down 6.7% compared to last month; Down 0.4% compared to last year.
• Average For Sale Price is NEUTRAL @ $736,000: Down 3.9% compared to last month; Down 1.9% compared to last year.
• Average Days on Market is STEADY – 79 days: Up 2.6% compared to last month; Up 6.8% compared to last year.
• Sold/Original List Price Ratio is STEADY @ 93%: Up 1.1% compared to last month; Up 1.1% compared to last year.

Condominiums

For the month of August 2019

• For Sale Listings NEUTRAL @ 1,041 units: Down 8.5% compared to last month (July 2019); Up 1.6% compared to last year (July 2018).
• New Listings NEUTRAL @ 229 units: Up 2.7% compared to last month; Down 4.6% compared to last year.
• Closed Sales RISING @ 224 units: Up 27.3% compared to last month; Up 32.5% compared to last year.
• Pending Sales RISING @ 224 units: Up 27.3% compared to last month; Up 32.5% compared to last year.
• Months of Inventory Based on Closed Sales NEUTRAL @ 4.8 months: Down 14.2% compared to last month; Down 4% compared to last year.
• Average Sold Price per Square Foot RISING @ $303/sq. ft: Up 14.3% compared to last month; Up 10.6% compared to last year.
• Median Sold Price NEUTRAL @ $232,000: Up 8.4% compared to last month; Up 0.9% compared to last year.
• Average Sold Price RISING @ $430,000; Up 22.5% compared to last month; Up 20.1% compared to last year.
• Average For Sale Price NEUTRAL @ $616,000: Down 1.6% compared to last month; Up 4.1% compared to last year.
• Average Days on Market RISING @ 111 days: Up 20.7% compared to last month; Up 19.4% compared to last year.
• Sold/Original List Price Ratio STEADY @ 93%: Up 3.3% compared to last month; Up 1.1% compared to last year.