For the second month in a row, the Sarasota and Manatee county markets for condos & townhomes are moving in lockstep for homes below $600,000. However, the Manatee market has really slowed down when compared to Sarasota for condos above $600,000.
Currently, the demarcation price point for determining whether the market is a buyer’s market or a seller’s market for both counties is $400,000. If you are buying or selling a condo or townhome below $400,000, you are in a seller’s market. If you are buying or selling a condo or townhome above $400,000, you are in a buyer’s market.
Markets are generally considered in “balance” when there is about six months of inventory for sale at the current pace of sales. When the inventory gets greater than that, buyers tend to have more leverage than sellers in negotiations. When the table below shows a “buyer’s market,” it means there is more than seven months of inventory in the market. If it shows “seller’s market,” it means there is less than five months of inventory. In that situation, sellers should have at least some level of negotiating power in condo and townhome sales. The table below shows a snapshot for market conditions by price point in both counties.
When I look at the top end of the market, or condos & townhomes above $1M, both counties are slowing down. In fact, Manatee County luxury condo sales have pretty much stopped, with less than 1 sale per month over the last three months. For most of the year, Sarasota County was balanced for condos above $1M. However, it joined Manatee County over the last few months by moving well into Buyer’s market territory with almost 11 months of inventory.
I should note that none of this should discourage you from listing your luxury condo. You just have to make sure that you have the right realtor and the right marketing approach to get the best odds of success. If you want more specific details for your condo or townhome, or if you are looking for information on potential places to move, just let me know.