Sarasota-Manatee Real Estate Market Slows, Favoring Buyers

A view of a Sarasota-Manatee neighborhood highlighting the real estate market conditions.

News Summary

The real estate markets in Sarasota and Manatee counties have undergone significant changes, with median sale prices decreasing and signs of a slowdown in buyer activity. Sarasota County saw an 8.1% drop in single-family home prices, while Manatee County reported a 15.2% decline. The overall market trends indicate a shift towards a more buyer-friendly environment, with increased inventory levels contributing to longer sales cycles. As buyers and sellers adjust to these new dynamics, stabilization in the market may be on the horizon.

Sarasota-Manatee Real Estate Market Slows in June 2024, Favoring Buyers

The Sarasota-Manatee area experienced a noticeable slowdown in its real estate market during June 2024, reflecting changing conditions that are increasingly advantageous to homebuyers. According to recent reports, both Sarasota and Manatee counties saw declines in median sale prices across various property types, illustrating a cooling trend from previous periods.

Market Prices Decline Across Property Types

Median sale prices for single-family homes decreased significantly in both counties. In Sarasota County, the median price dropped by 8.1%, from $495,000 in June 2023 to $455,000 in June 2024. Similarly, Manatee County saw a notable decline of 15.2%, with the median price falling from $518,950 to $440,000.

For townhomes and condos, the decline continued but was less pronounced. In Sarasota County, median prices decreased by 3.2%, from $384,000 to $371,020. Meanwhile, in Manatee County, the drop was larger at 9.2%, decreasing from $344,495 to $312,900.

Sales Volume Fluctuations

While the number of sales remained steadier in Sarasota County, a decline was evident in Manatee County. Sarasota County experienced a slight 1% increase in single-family home sales compared to June 2023, suggesting some resilience. Conversely, Manatee County saw a decrease of 3.2% in the same category.

In terms of townhomes and condos, sales increased by 2.5% in Sarasota County but decreased by 5.3% in Manatee County. These shifts highlight a market that is adjusting to new dynamics, with increased favorability towards buyers as inventory levels grow.

National Trends Contrast with Local Market

On a national scale, the housing market presented different trends, with home prices increasing by 1% year-over-year, and homes sold rising by 3.8%. The overall supply of homes nationally remains at roughly three months, indicating a balanced market, contrasting with local trends of increasing inventory and longer sale times.

Inventory and Market Stabilization

Inventory levels in Sarasota and Manatee counties show signs of stabilization. Sarasota County’s supply of single-family homes is at 6.3 months, representing a 26% increase compared to the previous year. The supply for condos and townhomes is at 8.3 months, a rise of 31.7%. In Manatee County, the supply of single-family homes is at 5.2 months, increasing by 30%, while condos/townhomes are at 7.4 months, a rise of 27.6%.

Market Duration and Time to Sale

The median time to contract and time to sale have also shifted. In Sarasota County, the median time to contract for single-family homes increased by 20% to 60 days, and the median time to sale was up by 6.5% to 99 days. Conversely, in Manatee County, the median time to contract decreased slightly by 1.8% to 56 days, and the median time to sale decreased by 5.2% to 109 days.

For townhomes and condos, Sarasota County experienced a 22% increase in median time to contract, reaching 72 days, with time to sale rising by 6.5% to 114 days. In Manatee County, these durations decreased: the median time to contract fell by 6.8% to 68 days, and time to sale decreased by 3.5% to 111 days.

Implication for Buyers and Sellers

This evolving market indicates a shift toward favoring buyers, with increasing inventory levels and longer sales cycles. Sellers are being encouraged to adjust expectations in pricing and sales strategies as their properties remain on the market longer and competition increases.

Summary

Overall, the Sarasota-Manatee real estate market in June 2024 shows signs of cooling, with falling median sale prices and rising inventory. While some local sales volumes remain steady or see slight growth, the trend favors buyers more than prior months. National data highlights a contrasting growth in home prices, emphasizing regional differences in market dynamics.