May 2026 Real Estate Market Report: Buyer Demand Strengthens as Housing Inventory Declines

The REALTOR® Association of Sarasota and Manatee (RASM) has released its May 2026 real estate market report, showing continued buyer demand, declining inventory and increasingly distinct pricing trends across Sarasota and Manatee counties.

Closed sales increased year-over-year in three of the four major market segments, while Manatee County single-family sales remained nearly even with the previous year. New pending sales increased across every county and property type, indicating that buyer activity remained strong heading into the summer months.

At the same time, active inventory declined by double digits in all four segments. Months supply also fell considerably from May 2025, bringing both single-family markets below the level traditionally associated with a balanced market. Condo and townhome buyers continued to have more options, although available supply also tightened substantially in that segment.

Prices presented a more mixed picture. Median prices increased for both property types in Sarasota County but declined in Manatee County. However, average single-family prices rose in both counties, indicating that higher-priced transactions continued to influence overall market activity.

“We continue to see strong buyer demand alongside lower inventory, but what makes this market unique is that buyers are not rushing into decisions,” said David Crawford, 2026 RASM President and Broker/Owner of Catalist Realty. “They are taking the time to evaluate each property, understand its value and complete their homework before moving forward. Buyers remain active, but they are also disciplined and strategic.”

Key Trends in Sarasota/Manatee May 2026:

• Buyer Activity Remained Strong: Closed sales increased in both Sarasota County property segments and in Manatee County’s condo and townhome market. Manatee County single-family sales remained nearly unchanged. Pending sales rose across all four segments, suggesting that buyer demand remained active.
• Inventory Continued to Tighten: Active listings declined by double digits across every county and property type. The largest decline occurred in Sarasota County’s single-family market, where inventory fell by more than 25 percent compared to last year.
• Prices Split by County: Median prices increased in Sarasota County but declined in Manatee County. This reflects the importance of viewing the region as a collection of separate markets rather than relying on one overall trend.
• Single-Family Supply Fell Below Balanced Levels: Both Sarasota and Manatee counties recorded 4.4 months of single-family inventory. Condo and townhome supply remained higher, at 7.1 months in Sarasota County and 6.3 months in Manatee County.

Single-Family

In Sarasota County, 845 single-family homes sold in May, an increase of 7.2 percent compared to May 2025. The median sale price increased 2.2 percent to $475,000, while the average sale price rose 3.4 percent to $673,741.

Cash purchases represented 42.0 percent of closed sales. Sellers received a median of 94.2 percent of their original list price, compared to 92.8 percent one year earlier.

Buyer activity remained strong, with new pending sales increasing 11.4 percent to 808. New listings also rose 8.7 percent to 924, although the increase was not enough to offset the broader decline in available inventory.

Active listings fell 25.2 percent to 3,099 homes, reducing months supply from 6.6 months in May 2025 to 4.4 months in May 2026. Homes spent a median of 50 days on the market before going under contract and 92 days from listing to closing, both slightly shorter than last year.

In Manatee County, single-family closed sales remained relatively stable, declining 0.5 percent to 782 transactions. The median sale price decreased 3.8 percent to $460,000. However, the average sale price increased 4.5 percent to $667,503, indicating that higher-priced transactions continued to influence the market.

Cash sales represented 27.0 percent of closed sales. Sellers received a median of 95.4 percent of their original list price, up from 94.4 percent in May 2025.

New pending sales increased 19.2 percent to 839, providing a positive indicator for future closings. New listings declined slightly by 1.4 percent to 889.

Active inventory fell 11.8 percent to 2,832 homes, while months supply declined from 5.2 months to 4.4 months. Properties spent a median of 47 days on the market before going under contract and approximately 95 days from listing to closing, both shorter than one year ago.

The difference between Manatee County’s declining median price and rising average price reflects an uneven sales mix. Sales below $500,000 increased modestly, while several upper-luxury categories also recorded growth. Sales from $3 million to $4.99 million increased 83.3 percent, and five homes sold between $5 million and $9.99 million.

Townhomes and Condos

The Sarasota County condo and townhome market recorded 371 closed sales in May, an increase of 8.5 percent year-over-year. The median sale price rose 4.9 percent to $336,829, while the average sale price increased 1.6 percent to $496,451.

Cash buyers accounted for 61.5 percent of sales. Sellers received a median of 91.2 percent of their original list price.

New pending sales increased 13.2 percent to 342, while new listings declined 8.9 percent to 377. Active inventory decreased 13.2 percent to 2,149 units. Months supply declined from 9.2 months to 7.1 months, although the segment continued to offer buyers more selection than the single-family market.

Properties spent a median of 67 days on the market before going under contract, up from 59 days last year, and approximately 108 days from listing to closing.

Higher-priced condo and townhome activity increased considerably. Sarasota County recorded 38 sales of $1 million or more, an increase of 40.7 percent. Sales between $1.25 million and $1.49 million tripled from the previous year, although luxury properties generally required considerably more time to secure a contract.

In Manatee County, condo and townhome sales increased 8.7 percent to 288 transactions. The median sale price declined 5.1 percent to $297,000, while the average sale price decreased 1.0 percent to $341,985.

Cash purchases represented 51.0 percent of closed sales. Sellers received a median of 93.2 percent of their original list price, nearly unchanged from the previous year.

New pending sales increased 4.6 percent to 272, while new listings declined sharply by 23.1 percent to 277. Active inventory fell 16.9 percent to 1,452 units, lowering months supply to 6.3 months.

Properties spent a median of 61 days on the market before going under contract and approximately 106 days from listing to closing. Sales growth was concentrated at the lower end of the market, with transactions below $200,000 increasing 93.9 percent.

Summary

The May 2026 housing market was defined by active buyer demand, declining inventory and significant differences between counties and property types. Pending sales increased throughout the region, while inventory fell across every major segment.

Single-family supply tightened to 4.4 months in both counties, creating more competitive conditions for desirable and appropriately priced properties. Condo and townhome buyers continued to have greater selection, but supply in those markets also declined substantially.

Price trends were not uniform. Sarasota County recorded modest median-price increases, while median prices declined in Manatee County. At the same time, rising average single-family prices demonstrate that upper-price transactions continue to play an important role in the market.

These differences reinforce the importance of reviewing housing conditions at the neighborhood, property-type and price-point levels. Buyers and sellers should work with a REALTOR® who can interpret hyper-local data, evaluate current competition and develop a strategy based on the conditions affecting a specific property.

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.