Sarasota and Manatee Housing Prices Remain Stable Amid a Low Supply

In July 2023, real estate activity in the Sarasota and Manatee region reflects nuanced trends between the two counties. According to data from Florida REALTORS® and compiled by the REALTOR® Association of Sarasota and Manatee (RASM), Manatee County saw year-over-year transaction growth, while Sarasota County maintained higher prices. Additionally, inventory growth showed tempered increases compared to the initial growth that started in 2022, while there were fewer new listings added to the market by the end of the month. 

REALTORS® in the North Port-Sarasota-Bradenton MSA participated in 1,772 sales in July (combined for single-family homes and condos), a year-over-year increase of two percent. Compared to last month, closed sales decreased by a combined 19.7 percent for both property types in the MSA.

Year-over-year, closed sales increased in Manatee County but decreased in Sarasota County. In Manatee County, single-family home sales increased by 10.1 percent to 624 sales and condo sales increased by 22.1 percent to 249 sales. In Sarasota County, single-family sales decreased by 6.6 percent to 633 sales, and condo sales decreased by 8 percent to 266 sales.

“Despite higher interest rates, the housing market in Sarasota and Manatee counties stays strong due to low supply and continued demand. The current situation, characterized by a unique buyer-seller ratio with generally fewer participants on both sides, contributes to fewer transactions but also explains why prices are relatively stable,” said Brian Tresidder, 2023 RASM President and Strategic Growth & Sales Manager at William Raveis Real Estate. “While this general trend holds, it's important to note that transactions in Manatee County have increased with July marking the third month in a row where we saw a positive year-over-year increase in closings for both single-family homes and condos. Sarasota, on the other hand, continues to lag in sales but has a higher median sale price when compared to Manatee.”

Single-family home prices in Manatee County decreased year-over-year by 1.2 percent to $515,000 and increased by 1.9 percent to $535,000 in Sarasota County. Condo prices decreased by 1.3 percent to $350,000 in Manatee and decreased by 0.4 percent to $389,500 in Sarasota.

The number of homes that went under contract last month increased year-over-year for condos but decreased for single-family homes. For condos, pending sales increased year-over-year by 19 percent in Manatee and increased by 2.9 percent in Sarasota. For single-family homes, pending sales decreased by 0.3 percent in Manatee and decreased by 5.8 percent in Sarasota.

July 2023 shows the lowest number of new listings added to the market so far in 2023. At the end of the month, there were 2,051 new listings combined for both property types in the North Port-Sarasota-Bradenton MSA, a decrease of 26.6 percent from last year and a decrease of 10.6 percent from June of this year. Broken down for each property type, there were 1,439 new listings for single-family homes and 612 new listings for condos, representing a year-over-year decrease of 31.2 percent and 12.9 percent respectively.

“We are still dealing with low inventory numbers in our area, and the lack of new listings could be a key factor holding our median sales prices close to where they are or possibly seeing them increase if our inventory levels continue to drop,” added Tresidder. “And while inventory has been growing year-over-year consistently, the initial uptick in supply that started in 2022 could have been part of a short-term adjustment period following our less-than-typical market in 2021. The current growth percentages in inventory might represent a return to a more sustainable and realistic growth trajectory.”

The month’s supply of inventory has increased year-over-year for the 15th consecutive month but is showing more modest increases in July 2023 when compared to the initial rebound of inventory in 2022. In Sarasota County, there was a 3.2-month supply for single-family homes and a 3.4-month supply for condos, a year-over-year increase of 60 percent and 112.5 percent respectively. In Manatee County, single-family home supply increased by only 8 percent to a 2.7-month supply and condo supply increased by 77.8 percent to a 3.2-month supply.

Combined for both property types in the North Port-Sarasota-Bradenton MSA, there were 5,309 active listings at the end of July, a 23 percent increase from the same time last year and a 1.4 percent decrease when compared to last month. Across the two-county region, there were 3,526 active listings reported for single-family homes and 1,783 listings reported in the condo market.

The median number of days from the listing date to contract date continues to increase year-over-year. For single-family homes, Manatee homes went under contract within a median of 29 days, a 222.2 percent increase from last year and Sarasota homes went under contract in 25 days, a year-over-year increase of 150 percent. The condo market is showing the highest number of days from listing date to contract date since 2020, with 47 days reported in Manatee County (a 422.2 percent increase) and 36 days reported in Sarasota County (a 260 percent increase).

Monthly reports are provided by Florida Realtors® with data compiled from Stellar MLS. For comprehensive statistics dating back to 2015, visit www.MyRASM.com/statistics.