Rising home prices in this fast-paced real estate market are nothing new and falling supplies and oversupply drive prices. November 2021 represents a record high average price in two county areas, according to data compiled by Sarasota Magazine.
The average single-family home in Manatee County has risen 28.5 percent to $450,411 since November last year. And in Sarasota County, it rose 19.9 percent to $419,225. A similar increase was seen in condo prices, with Sarasota increasing 28.6 percent to $ 349,900 and Manatee 26.4 percent to $ 300,000. Despite the price increase, all the listings got 100% of their list price.
The sales of existing homes and condominiums across price points have increased to 17.5% over the prior year, inventory of properties for sale reduced to 40%, the price paid increased 27%, and listing prices jumped 50% from year-end 2020. In December 2021, the number of days on the market before going into the contract was just seven days!
In 2022, the number of inquiries is increasing, and experts expect that the first quarter of 2022 will maintain the momentum of 2021.
As many new luxury condominium projects in downtown Sarasota and Lakewood Ranch have been finished between 2020-2021, the price growth has been incredibly high for the higher average-priced properties. This would remain stable as luxury developments in process are planning to deliver later this year or 2023.
Home buying may seem like a gamble in today’s seller market, experts say that the house prices will go up. Due to higher demand, experts see four times more domestic demand and lower inventory than in previous years. In March 2020, for example, buyers owned about five times as many homes as in March 2021.
However, some trends will limit price increases. The first is that housing construction will accelerate. The pandemic has led to factory closures, supply chain disruptions, and a sharp rise in material prices. Developers temporarily stopped building because of these issues, and they could not reduce their profits.
If homeowners looking to build don’t know the full cost, they don’t want to leave the pre-guaranteed home. Once the supply chain is reopened, and prices change, they will be able to do more to increase market demand and keep it back to normal, which is more than six percent a year in Florida.
Sarasota has been ranked as one of the strongest “emerging” markets for lifestyle, cost of living and economic vitality, versatile housing types, climate, and attractive cuisine and tourism. These are the key driving factors for attracting buyers from Northeast, Midwest, and Western states in America.
Jennette Properties provides the best real estate search for homes, condos, land, and future assets available. If you’re looking to buy a house in Sarasota and Manatee, contact us at one of our offices in Sarasota, Lakewood Ranch, or Manatee County, or Call Us at 941-953-6000, 941-359-3435 or 941-792-6900.
