In Sarasota and the USA in general, we see that houses are selling faster. This lively pace feels especially welcome locally. After all, we expect the summer slowdown and, by August, businesses await the return of our Snowbirds.
Contrariwise, this summer the housing market is roaring back in Sarasota & Her Islands well before High Season.
New data from the Campbell/Inside Mortgage Finance HousingPulse Tracking Survey released on August 23, 2013 showed strong results for non-distressed properties in July. This property category registers as the biggest and fastest growing segment of the 2013 housing market.
Let’s look at three key barometers that show a healthy housing market:
- Time on Market fell to a three-and-a-half year low of 8.6 weeks, according to Housing Pulse. Our Midwest (Minnesota, Illinois, Indiana, Ohio and Michigan) feeder markets show a higher rate of 11.3 weeks. Sarasota County dropped to 3.1 months of single family homes (SFH) and 4.6 months of condos — close to the decade low seen in May 2013 of 3.0 months for SFH and 3.9 for condos. Months of inventory tracks the time to deplete the inventory at the current sales rate. The Sarasota figures are for all property types (non-distressed as well as distressed)
- Number of Offers Received ranks as a second important indicator. For the fourth consecutive months, an average of 2.3 offers were received nationwide for non-distressed properties sold in July 2013. Sarasota’s feeder regions showed fewer multiple offers — around 1.4 — than other regions. Anecdotally, we again are seeing multiple offers in Sarasota County. However, we have not been able to quantify that measurement to our local market.
- The third barometer is the Sale-to-List-Price Ratio, which charts how close a property sale price meets the listing price. According to HousingPulse, the average sales-to-list price ratio nationwide for non-distressed properties nationwide hit 98.0 percent for July 2013 sales. That’s up from 97.6 percent in May 2013. The Sarasota market lags other areas with a 92.35 sales-to-list price ratio as compared to 95.0 percent for Florida and 101.8 percent for California.
California burns rubber with a 4.5 week time on the market and 4.1 offers on every non-distressed property sold in July 2013, according to Housing Pulse.
For more information, visit http://www.insidemortgagefinance.com/housing_pulse/press_releases.html
For more information about Sarasota & Her Islands, please contact Louis Wery.