Alison & Raul Elizalde

Sarasota Realtors

Alison and Raul Elizalde understand the Sarasota real estate market like nobody else. Their unique understanding comes from experience, specialized research, and deep community involvement. Their commitment to client service earned them the prestigious 5-Star Award given to the best real estate agents in Sarasota. Click here to learn more about Alison and Raul.

 

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The real estate market in Sarasota has proven quite resilient in comparison to other areas in Florida. While single-family home sales in Sarasota County declined slightly from 2006 to 2007 from 8,000 to about 7,800 homes, Miami-Dade sales collapsed from more than 8500 to just above 5000 in the same period. Fort Myers dropped from more than 9,000 to about 5600, Collier County from almost 3,000 to just above 2,000, etc.

 

Still, there is no escaping the reality of a market that is still trying to come out of a strong correction. What is in store?

 

Homes and condos on Sarasota and the surrounding Keys offer a mixed picture. While the market for homes and especially condos on Siesta Key, Longboat Key and Lido Key seem to be improving, choice areas in Sarasota Mainland – the waterfront neighborhoods west of US 41 – are still facing some challenging issues.

 

Sales of single family homes in Siesta Key, Longboat Key and Lido have improved over 2007, in particular in the below-$1mm category. However, the number of listings has risen as well. This is dangerous because, as past experience shows, sales trends can change quickly, while inventory goes down very slowly.

 

 

 

Recent sales activity gives reasons to be optimistic, and certainly the demand/supply equation shows that there is a net decrease in inventory measured in years needed to clear the listing load (see graph below).

 

 

Sales of condos in Siesta Key, Longboat Key and Lido show a much more clear recovery pattern, in particular in the tricky below-$1mm category. The number of listings has also stabilized and seems to be declining (ever so slightly).

 

 

 

The inventory measure is encouraging for these Sarasota Keys waterfront condos, except for the high-end bracket (above $3mm). Given the number of sales versus the number of listings, it would take now twice as long to sell a luxury condo in one of the keys compared to just a year ago. Given the thinness of this market, a few sales would have a great impact in this category. Still, it seems that contrary to the SF luxury market, high-end condos face difficulties in the immediate future -- a boon for buyers in this particular bracket. Conversely, at prices below $3mm the outlook seems quite improved since a year ago.

 

 

The outlook on Sarasota mainland is not very encouraging. The number of listings has increased steadily, and sales do not seem to be recovering at any appreciable rate.

 

 

 

This leads to an increase in the time that it would take to clear out the current inventory, as the graph below shows. This of course can change if the sales activity picks up in this particular area. For now, however, it appears that the real action is to be found in the surrounding keys. For buyers, this may be a good opportunity to explore the waterfront neighborhoods West of the Trail and take advantage of a situation that seems tilted on their favor.

 

 

When it comes to knowing the Sarasota real estate market, Alison and Raul Elizalde have the expertise and knowledge to help you see where you stand when negotiating your real estate transaction, whether you are buying or selling a property. Our track record, added to the unsurpassed reputation of Michael Saunders & Company as the premier real estate company in Florida's Gulf Coast, give you the peace of mind you deserve. Alison and Raul have been named Best in Customer Satisfaction by an independent research company.

 

Call us today at 941-350-7904 for a consultation, and visit our website, www.ExclusiveSarasota.com, for monthly updates on the Sarasota real estate market.