The Real Estate Markets in Manatee and Sarasota Counties End 2020 with a Strong Performance
Sales increases of Single Family Homes in both counties and Condo/Townhouse Properties in Manatee County average around 40%.
Single Family Home Sales Continued to Grow
December marked another outstanding month of sales where the number of Closed Sales reached 831 units in Manatee County. That represents an increase of 41.6% over the 587 units sold during December of 2019. Sarasota County was even stronger posting 1,038 Closed Sales, an increase of 39.1% over the same period last year. It is interesting to note that 27.9% of these Closed Sales in Manatee County were Paid in Cash. This is surprising in light of the historically low mortgage rates currently available.
Prices paid were a mixed bag however. The Median Sale Price of Single Family Homes in Manatee County grew by a modest 6.8% to $357,900. However, in Sarasota County, the Median Sale Price of Single Family Homes grew by 17.8% to $350,000. Discounting was nearly absent with the Median Percentage of Original List Price Received reported as 98.5% and 98.2% in Manatee and Sarasota Counties respectively.
Sales Velocity continued to accelerate as well. The Median Time to Contract in Manatee County was a mere 15 days(!) which was a 68.8% decrease over December of 2019. Properties sold quickly during this period in Sarasota County as well with properties selling within 18 days of being listed on average.
There was some good news on the Supply side in Manatee County. New Single Family Home Listings actually increase in December by 20.9% over last year. This is a bright spot for buyers in what has been a tight inventory market in Manatee County. However, new Listings increased by a modest 8.8% in Sarasota County. But the number of Active Listings (that is, properties available sale) continued to plummet in both counties with Inventory falling by 50.1% and 50.4% in Manatee and Sarasota Counties respectively. This contributed to the over 50% decrease in the Months Supply of Inventory available in both counties such that there is only a 1.5 month and 1.6 month supply in Manatee and Sarasota Counties respectively.
You may view the full report by clicking on the appropriate graphic.
Condo/Townhouse Sales Grew Dramatically in Manatee County
338 Condo and Townhouse properties closed in Manatee County during December, a 45.1% increase over the same period last year. Sales of this property type in Sarasota County during the same period rose to 498 units, an increase of 19.4% over December 2019. Here again we see a surprising number purchase in Manatee County Paid in Cash (41.7%). Discounting was more in evidence here than in Single Family Home sales. Prices saw a healthy increase in Manatee County with the Median Sale Price increasing to $239,000, an increase of 19.5% over the same period last year. Comparatively, price increases were a bit muted in Sarasota County where the Median Sale Price was reported as $276,745, an increase of just 7.3% over the same period last year. The Median Percentage of Original List Price Received was 96.6% in Manatee County while in Sarasota County this same measure was 96.3%.
On the Supply Side, the number of new listings in December was rather anemic. Manatee County reported 267 new Listings, an increase of 8.1% over last year while Sarasota County reported just 387 new Listing for an increase of just 4.9%. This is surprising as December typically heralds the start of the "selling season" for these property types.
Inventory continued to decrease in both Manatee and Sarasota County. The total number of Active Listings was just 524 units in Manatee County, a drop of 42.5% over last year. Sarasota County reported 1,019 Active Listings, a 347% drop of the the1,560 Listings active during December of 2019. The corresponding Months Supply of Inventory fell also to just 2.0 months in Manatee County and 2.6 months supply in Sarasota County.
You may review the full reports by clicking on the appropriate graphic.
Uncertainly Pervades the Market
The combination of a new administration in Washington DC as well as continuing concerns over the current health care crisis makes the current market difficult to predict. The hope is that the current low mortgage rate environment will continue but this can not be assured with a new Fed Chief willing to increase the money supply. So we suggest that both buyers and sellers review their plans and take action as soon as possible. Should you need advice, just give us a call today at (941) 799-1234 and we would be happy to discuss your real estate plans with you.