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Scott Norris, Broker/Associate

Coldwell Banker Residential Real Estate, LLC
201 Gulf of Mexico Drive Ste. 1
Longboat Key, FL 34228

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Timely Information on the Sarasota Real Estate Market

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S&P/ Case-Shiller results indicate broad-based declines

  
  
  

18 of the 20 markets plus both the 10 market and 20 market national composite indices were all lower for September 2010 than August. The only markets for which the September index increased over August were Las Vegas (+.1%) and Washington DC (+.3%). Both Florida markets saw sizable losses with Miami at -1.2% and Tampa at -.8%. The 10 market and 20 market National Composite indices were  down .5% and .7% from August, respectively.

Case Shiller

Generally, the midwest showed the largest declines with Chicago down 1.5%, Detroit down 1.3%, Minneapolis down 2.1%, and Cleveland down 3.0% (worst market of the 20 followed).

Although the nearly every index tracked by S&P was down from from the previous month, all have showed stability since the summer of 2009. In fact, comparing the indices to Sepetmeber 2009, Miami is down only 2.7%, Tampa down 4.3%, and the 20 market national composite is actually up .5%.

Inventory for resale is very low (back to mid 2005 levels) and builders in Lakewood Ranch are getting busy again. Negative equity will also help dampen inventory levels. Lending for single family homes is easy for a reasonably qualified borrower (i.e. someone who can repay the loan). The only nagging problem seems to be high unemployment levels. For the Sarasota/Bradenton market this should be less of a problem, especially for the luxury market, becuase most buyers of these homes are retired. Things are starting to look better.

The S&P/Case-Shiller indices are generally perceived to be the leading authority in measuring price changes in the US housing market. Indices are calculated for 20  seperate markets along with a 10 market and 20 market national composite. The indices are released on the last Tuesday of each month with a 3 month lag (ie September indices are released at the end of November).

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