Manatee and Sarasota Real Estate Update, Part 3 - July 2011
Read part 1
Read Part 2
The trend in condominiums is similar to single family market with one exception. The reduction in inventory, though steep, has not been sufficient enough to dampen sales. Sales in each of the 3 most recent months exceeded last year in Sarasota County. In Manatee County, May and June 2011 were higher or even with last year while July fell slightly.
Inventory levels at the end of July 2011 were down from last year by 21.5% in Sarasota County and 25.9% in Manatee. In Manatee County, Lakewood Ranch is about to run out of condominiums to sell. The entire area is down to just 30 condos on the market. During 2010, the low point for Lakewood Ranch condominium inventory was 57 residences, nearly twice the current level. At the peak in November 2006, there were 447 Lakewood Ranch condos on the market.
I think this is great news for condo sellers. Lakewood Ranch has the largest concentration of newer (built in the 21st century) condominiums in the 2-county area. It is an extremely popular area to live, especially for winter visitors that like golf (or about 99% of all winter visitors). All condos in Lakewood Ranch are now very affordable with the median asking price in Watercrest (one of the nicest buildings in Lakewood Ranch, most with lake views) averaging around $170 per s.f. Residences range from about 1700 s.f. to 2400 s.f. (click here to see availability). Asking prices are already significantly above the last quarters’ selling price (which averaged about $140/s.f.). If these places start to move up and remain scarce, then the next closest substitute should also start to move.
The resulting months of supply are still higher compared to the single family market at 9.4 months for Sarasota and 8.8 for Manatee. This, however, further illustrates the strength in the Lakewood Ranch market with just 3.6 months of supply – less than half either county average.
Read part 1
Read part 2