The local market for condos and townhomes is continuing its shift. When compared to last year at this time, the market moved towards a buyer’s market across all price points in Manatee and Sarasota counties, with the most extreme movement happening in Sarasota.
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 more 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 significantly. In fact, Manatee County luxury condo sales have pretty much stopped, with only 1 sale per month over the last three months. That number implies a whopping 30 months of available inventory. At this time last year, Sarasota County was a seller’s market for condos above $1M. However, it joined Manatee County in late 2018 by moving well into Buyer’s market territory. Currently Sarasota county has almost 16 months of inventory of condos above $1 million.
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.