The Sarasota real estate market was up 3.7% from the 4th quarter of 2016 and 3% for the year. Here at Investments in Sarasota we had an outstanding 4th quarter and that momentum has carried over into 2018.
For Buyers with money in the stock market, there was a 25% gain in the Dow from January 1 to the end of 2017. Many have taken money from there to invest in real estate. Here are some notable highlights about our local market:
- Prices continue to rise in the affordable market (<200k), shrinking the options in this segment. Only 3 in 10 properties sold are in this bracket.
- The distressed market also continues to shrink. It is about 4% of the total market (about 1 in 25 properties sold)
- The luxury market increased by 30% over the same period a year ago! This is the BANG!
Expecting 2018 to bring in a BOOM!
While past performance is not always an indicator of things to come, I do have some observations moving into 2018.
So far demand continues to be strong. We have received several calls during the first weeks of this year from Buyers interested in making a move. Their primary drivers are weather, wealth gains, and tax savings.
For those active buyers and sellers in the market, here are some interesting factors at play:
- There is consistent migration to new and significantly updated properties. This is a trend that I have shared previously and I believe that will continue.
- Mid-level buyers will have more pronounced tradeoffs. Because of the lack of inventory in this segment, they find themselves needing to prioritize among location, size, amenities, and condition of a property.
- Last spring Vogue magazine posed Sarasota as one of the top places to explore in 2018. They coined the SRQ experience as a great scavenger hunt. And we are about to get a lot more players (i.e., visitors).
Sarasota is about to have more hotel rooms, more destinations, and even a new airline. Allegiant is coming to Sarasota and bringing with it flights to Cincinnati, Indianapolis, and Pittsburgh. Sarasota will seem busier because it will be, and as many of you know once you start visiting, owning a residence here is many times the inevitable next step.
For now, the Sarasota real estate market looks good. If you are eager to buy or make a move to Sarasota you should contact us @ 941.587.0740 sooner rather than later, as I truly believe prices are going to be pushed higher this year.
