Manatee and Sarasota Real Estate - July 2011 Update Update Part 2
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Manatee and Sarasota Real Estate Prices - Sales by Price Point - Part 2 of the July Update
Looking at the markets by price point presents a different picture of the market. First, in every category of price except the below 200k level, sales have slowed in the most recent 12 month period compared to the previous 12 month period. Excluding the under $200k price point, both counties sales are down nearly 4% over the past 12 months. Inventory levels , excluding the under $200k price point, are down 22% and 27% in Sarasota and Manatee, respectively.
The under $200k sales category is also home to about two thirds of the distressed property sales in both counties. In fact, distressed sales make up about 60% - 67% of the under $200k price point.
Assuming that distressed sales are reaching their end, it would appear that the only category to really suffer in terms of sales loss would be the under $200k group. However, it also appears that there is about to be a marked slowdown in sales activity across the board as the availability of inventory continues to negatively impact sales. The big question is will the lack of supply give some strength to prices or will the lack of chum provided over the past three years by the distressed property market dampen demand. Or will the much discussed next wave of foreclosures sweep across us and provide more inventory and lower prices. My guess is that there will be a period of slow sales regardless as the market adjusts to the fact that the state is no longer awash in cheap bank owned property AND in reality, most listings are priced to compete with distressed properties out of necessity.
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