While the luxury single family home markets ($1M+ homes) in both Sarasota and Manatee counties are buyer’s markets, they are both significantly better now for sellers than they were last year at this time.
Markets are generally considered in “balance” when there is about six months of inventory for sale at the current pace of home sales. When the inventory gets greater than that, buyers tend to have more leverage than sellers in negotiations.
Manatee County
In Manatee, there about 9% fewer luxury homes are on the market this year than last year at this time. However, about 45% more luxury homes are selling each month this year. You put those two facts together, and you have inventory decreasing from 13.2 months of sales to 8.2 months of sales. It remains significantly higher than the six months of inventory required to be in balance. The video below illustrates the points above.
Sarasota County
In Sarasota, there are about 18% fewer luxury homes on the market this year than there were last year at this time. However, about 5% more luxury homes are selling each month when compared to last year. You put those two facts together, and you have inventory dropping to 12.4 months of sales this year from 9.7 months of sales last year. It is still significantly higher than the six months of inventory required to be in balance. The video below illustrates the points above.
The bottom line is that it remains a good time to buy a luxury single family home in our area. If you are in the market to sell, you must ensure you position your property to stand out from the competition or there is a very good chance that you will be listing it for the better part of a year.