Featured Real Estate Article

The Big Fish Have Come Out To Feed

By | July 30, 2013

Last week, the Sarasota Herald-Tribune published a fantastic article about the state of our market and the challenges today’s buyers are facing.  Much of the data in this update is drawn from this article and you can read the entire text here.

The Big Fish Have Come Out To Feed

It’s no big secret that there are a lot of cash buyers out there right now – they’ve always been prevalent in our resort market, but what’s surprising is the overall number of sales going to cash buyers right now.  The Sarasota-Bradenton area is the #4 market in the entire country overall for cash buyers with 59% of all transactions going to contracts without financing contingencies (bested only by Cape Coral [70%], Miami [64%], and Las Vegas [62%).  That’s DOUBLE the U.S. average for cash transactions and it’s making it much harder for buyers who require a mortgage to purchase.

Our summer months tend to be much slower than our winter ones and there’s less competition for the best homes when it’s hot outside.  If you’re thinking about buying, DON’T WAIT until 2014 – you’ll be competing with a massive influx of seasonal buyers who will scoop up the cream of the crop before you even know it’s on the market.

10% Of All Transactions Go To Corporate Buyers

Right now, there are at least three major hedge funds investing unheard of amounts of dollars into our market; one company alone has pledged to spend $1 billion (that’s billion with a ‘b’) between Tampa and Ft. Myers.  These buyers accounted for 10% of all last month’s sales and they purchased almost entirely in the under-$200k range.  Their contracts call for fast closings, quick inspection decisions, and are typically full-price or above cash offers.

Traditional buyers can still get into the market with an aggressive agent and a little bit of patience.  We’ll use every tool at our disposal to make sure you’re able to take advantage of today’s incredible housing opportunities.

Interest Rates Are Going Up, Up, Up

You may have heard the news about today’s record-setting interest rates.  For the past few years, interest rates have hovered in the 3.5%-4% range on 30-year fixed-rate mortgages; rates have never been lower in U.S. history.  Over the past month or so, the Fed has hinted that they’re going to back off the quantitative easing that’s been keeping rates low and rates have jumped substantially as a result.  The chart at right (courtesy bankrate.com) graphs rates over the past six months – in the last 30 days alone, interest rates have gone up almost an entire percentage point.

That rate difference really impacts your monthly payment.  On a $150,000 purchase with 20% down, it would jump your monthly payment from $726.35 (principal and interest only) to $795.52 and cost you $24,900.74 over the life of the loan.

Interested In Buying or Selling?


When you hire Alex Krumm at Re/Max Alliance Group, you’ll get an award-winning expert agent ready to work for YOU!  I’m in the top 2% of active local agents for homes sold and I’m used to selling more homes for more money in less time.  Put the benefit of our area’s #1 brokerage to work and call today!

Alex Krumm, GRI, CDPE
Broker Associate, Re/Max Alliance Group
SAR Professional Development Committee
4-Year Winner, Five-Star Best In Customer Satisfaction – Sarasota Magazine
941-234-3597 Direct
srqbroker@gmail.com

Send Me An E-Mail Today!

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June Real Estate Statistics

By | July 24, 2013

Housing-InventoryThe inventory of available homes in the Sarasota market
fell to only 3,114 in June 2013 – the lowest level in longer
than a decade, and an 18 percent drop from last year at
this time. Declining inventory generally results in greater
competition for available homes and condos and subsequent
price escalation.

Members of the Sarasota Association of Realtors® sold 883
properties in June 2013, a drop from the May 2013 figure
of 1,020 which represented an eight-year high, but up 2
percent over June of last year. The Sarasota real estate market
tallied 642 single family homes and 241 condominiums
in June 2013, compared to June 2012 totals of 603 single
family homes and 261 condos sold in June 2012.

To view the full press release click here

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May Sales in Sarasota Hit New 8 Year High

By | June 25, 2013

business graph in blueMembers of the Sarasota Association of Realtors® sold 1,020 properties in May 2013, the second consecutive month that sales have hit four figures since June  2005. In many respects, April and May were statistical mirror images of each other in terms of total sales, pending sales, steadily increasing median sales prices and declining inventory. There have now been only 11 months in SAR’s 90-year history that sales have topped 1,000, with the other nine occurring in 2004 and 2005.

The spring sales surge in the Sarasota real estate market hit 737 single family homes and 283 condominiums in May 2013. That compared to 591 single family homes and 263 condos sold in May 2012. Sales were 19.4 percent above last May, when there were only 854 total sales. In April 2013, closed sales were at 1,017.

Pending sales were also up in May 2013, with 1,157 combined pendings reported. In April 2013 there were 1,097 pendings reported, and last May there were 1,075 pendings. Pending sales have now topped 1,000 every month this year. This important statistic represents properties that went under contract during the month, and indicates sales in June and beyond could also be at near record high levels.

The high sales volume was accompanied by yet another increase in the median sales prices. The figure for single family homes was $220,000 – the highest level since August 2008 and up 18.8 percent over last May’s figure of $185,000. For condos, the median was $194,250, almost 8 percent higher than last May’s figure of $180,000. The condo figure has continued to fluctuate substantially over the past few months, dropping to a low point of $130,000 in January 2013 before recovering.

Click here for the full press release from the Sarasota Association of Realtors.

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Over 1,000 Sarasota Properties Sold in April

By | May 23, 2013

Members of the Sarasota Association of Realtors® sold more than 1,000 properties in April 2013, the first time sales have hit four figures in a single month since June 2005.  There have only been ten months in SAR’s 90-year history that sales have topped 1,000, and the other nine occurred in 2004 and 2005.

business graph in blueThe spring sales surge in the Sarasota real estate market hit 714 single family homes and 303 condominiums in April 2013, for a total of 1,017 closings. That compared to 589 single family homes and 297 condos sold in April 2012, for a 14-percent increase over last year at this time. The all-time record of 1,223 sales was recorded in April 2004.

The high sales volume was augmented by an increase in the median sales prices. The figure for single family homes was $217,000 – the highest level since August 2008 and up 24 percent from last April’s figure of $175,000. For condos, the median was $185,000, slightly lower than last April’s figure of $191,000. The condo figure has continued to fluctuate substantially over the past few months, dropping to a low point of $130,000 in January 2013 before recovering.

Click here to view the full press release.

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March Property Sales Highest Since August of 2005

By | April 17, 2013

a-housing-graph

a-housing-graphProperty sales in the Sarasota real estate market remained hot in March 2013 and for the first quarter of 2013. The March 2013 sales figure of 887 was the highest total since August 2005, and for the full first quarter, sales were 11.3 percent higher than in 2012.

Members of the Sarasota Association of Realtors sold 628 single family homes and 259 condominiums in March 2013. That compared to 504 single family homes and 29 condos sold in February 2013, for a 21-percent increase over last month and 6.7 percent higher than March 2012.

The huge number of sales coincided with an impressive increase in the median sales price, especially for single family homes. The figure of $210,000 for single family homes was the highest since August 2008 – nearly five years ago. For condos, the median was $182,000. The condo figure has fluctuated substantially over the past few years, dropping to a low point of $127,000 in July 2010 after soaring to $420,000 at the start of 2007.

Pending sales, which predict future closings, were at 1,221 – the highest figure in the past seven years, and one of the highest in SAR’s history. Pending sales stood at 1,138 in February and 1,047 in January, continuing the amazing streak since the start of 2013. The statistic represents properties that went under contract during the month, and indicates sales in April and beyond could also be at high levels.

The available inventory remained near the lowest level in a decade, declining to 3,643 from February’s figure of 3,790. The inventory is 18 percent lower than in March 2012.

To view the full press release along with statistical charts click here.

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February 2013 Sarasota Real Estate Sales Up 24% Over Last Year

By | March 19, 2013

Red Upward Graph

Red Upward GraphThe Sarasota real estate market saw sales leap by 24 percent in February 2013, compared to February 2012. This follows January’s 22 percent increase, and if the rest of the year continues to reflect 20 percent monthly sales increases, 2013 could be one for the record books.

Members of the Sarasota Association of Realtors ® sold 733 properties in February, compared to only 591 sales last February, and 626 closings last month. The breakdown was 504 single family homes and 229 condominiums. That compared to 414 single family homes and 177 condos sold in February 2012. In 2012, sales increased markedly in February, March and April, climbing to 886 closed transactions in April before moderating in the summer months.

Pending sales, which predict future closings, were at 1,138 in February, up from January’s total of 1,047. The figure was the highest since March 2011, almost two years ago. The statistic represents properties that went under contract during the month, and indicates sales in March and beyond could also be at high levels.

The available inventory remained near the lowest level in a decade, declining to 3,790 from the January 2013 total of 3,846 properties on the market. The figure is 17.4 percent lower than in February 2012.

“These statistics continue to demonstrate a healthy, energized real estate market,” said SAR President Roger Piro. “We had the fourth highest sales year in history in 2012, and sales for the first two months of 2013 are already topping last year’s monthly levels by 23 percent. The pending sales figure also indicates strong sales continuing in the near term, so we could see yet another historic sales year.”

To view the full press release along with statistical charts click here.

Courtesy of Sarasota Association of Realtors

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January 2013 Real Estate Sales Up 22 Percent Over Last January

By | February 23, 2013

business graph in blueThe Sarasota real estate market saw sales leap by 22 percent in January 2013, compared to January 2012 – a great start for the new year, and evidence that the 2012 real estate market boom is continuing unabated.

Members of the Sarasota Association of Realtors® sold 626 properties in January – 466 single family homes and 160 condominiums. That compared to 365 single family homes and 148 condos sold in January 2012. The January sales represented a drop off from the December 2012 total of 828 sales. A similar decrease was seen last year from December to January. In 2012, sales increased markedly in February, March and April, climbing to 886 closed transactions in April before dropping off slightly in the summer months.

Pending sales, which predict future closings, were at 1,047 in January – the highest level in nine months, and well above the pending sales reported in January 2012 (963). This statistic, which represents properties that went under contract during the month, indicates the February sales could also be at a healthy level.

The available inventory remained near the lowest level in a decade, but rose somewhat in January 2013 to 3,846 from the December 2012 total of 3,657. The figure was still 1,000 fewer properties than in January 2012.

“We are seeing some sellers returning to the market to take advantage of the spring buying season, so our inventory level has increased slightly,” said SAR President Roger Piro. “The biggest current trend remains the high level of market activity – foot traffic at open houses, competitive bidding for available homes, and tremendous volume of sales.”

To view the full press release with statistics click here.

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Walk To Siesta Key Village From Whispering Sands

By | January 21, 2013

CMS_12512_20003Located just steps away from the Broken Egg, Siesta Key Oyster Bar, and the world-famous #1 Siesta Key Beach, Whispering Sands is a well-kept treasure for seasonal and year-round owners alike.

Whispering Sands is a sprawling complex with attached villas, townhomes, and two highrise condo buildings that directly overlook the azure waters of the Gulf of Mexico.  It backs up to Siesta Key Village and there’s a hidden, residents-only gate for quick access to the local shoppes.

Unique to the community is an 800′ private beach, so competing with the locals for a spot on the sand isn’t a problem.  There are also two community pools, a tiki bar picnic area with grills, two clubhouses, and a shuffleboard court.

Whispering Sands is a 55+ community but owners don’t have to be 55+ if they don’t live in the community full time.  Rentals are possible and in demand; leases must be for a minimum 2-month period.

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Sarasota Market Nearing 4th Best Year Ever

By | December 18, 2012

a-housing-graph

a-housing-graphThe Sarasota Association of Realtors just released the sales figures for the month of November. We are on pace to see the fourth highest number of annual sales in SAR’s 90-year history in 2012, after members sold 764 properties in November 2012, a robust 29 percent increase over last November’s figure of 602 total sales. The sales total was also 8 percent higher than in October, when 719 properties changed hands.

The category totals were 556 single family homes and 208 condos sold, compared to last November when only 435 single family and 167 condos were sold. This summer and fall, the market has remained extremely active, with open houses experiencing heavy foot traffic and multiple offers reported on many available properties. The available inventory remains near the lowest level in a decade, and the improving economy and employment picture have also helped fuel the real estate market recovery.

Click here

<a href=”http://www.sarasotarealtors.com/files/monthlystatistics/Dec2012Stats121214123214.pdf“>here</a>

to view the full press release.

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Sarasota Real Estate Sales Statistics for October

By | November 20, 2012

October 2012 sales jump 24 percent over last year!

The Sarasota Association of Realtors just released the statistics for the month of October which show that members of the Sarasota Association of Realtors® sold 719 properties in October 2012, a robust 24 percent increase over last October’s figure of 577 total sales. The sales total was also 10.9 percent higher than in September, when 648 properties changed hands.

The category totals were 516 single family homes and 193 condos sold, compared to last October when only 412 single family and 165 condos were sold. Over the last several years, the local real estate market has witnessed sales lulls in September and October. But this year, the market has remained busy and healthy in the early fall, following a very active summer. Foot traffic at open houses has remained strong and multiple offers on available properties have become routine. The inventory – at the lowest levels in a decade – is partially responsible for this trend, along with the improving economy.

For the full report and statistical charts click HERE.

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