The Covid-19 pandemic has brought some lessons for players in the real estate trade, which are valuable moving forward the global crisis. The shelter-in-place policy that had been enforced to contain the viral spread was a reminder to everyone on the vital importance of having a superior dwelling for our health and safety.
Mainly for this reason, consumer confidence in real estate has remained strong despite the crisis. Covid-19 has left real estate market values largely unscathed, as indicated in the rise in median sale prices in April.
Price gains stay at healthy pace
For the month, the median sales price of single-family residences in Sarasota rose by 8 percent to $313,250. The median price for Sarasota condos for sale, on the other hand, dropped but by just a marginal 0.4 percent to $234,863.
In Manatee County, a 7.9 percent increase was posted in the median price of single-family houses to $340,000. The April median price of Manatee condos for sale was estimated at $212,000, also up 7.9 percent.
The increases in the median prices of residences for sale in Sarasota and Manatee reflect gains in the state and national levels. The median price of single family dwellings sold in Florida in April rose 6 percent to $275,000, while a 7.7 percent increase to $209,000 was posted for condos. The median price of an existing U.S. home sold in April rose 7.4 percent annually to $286,800, statistics from the National Association of Realtors show.
Market demand remains sharp
Besides these healthy advance in prices, it is quite fascinating to note that buyers have grown eager to engage the market despite the pandemic. In April, there was a significant drop in the days that listed properties stayed on the market.
The median time to contract for single-family homes declined by 45.8 percent to 26 days in Manatee County and by 40 percent to 33 days in Sarasota.
For condos, the time from listing to contract dropped by 34.5 percent to 38 days in Sarasota and by 4.7 percent to 41 days in Manatee.
Significantly, the pricing clout stayed with real estate sellers in the two counties in April, as inventory constraints continued to haunt the local market. Sellers of residential properties in Sarasota and Manatee got as much as 97.2 percent of their original list price.
Local properties stay desirable
Percent of original list price received improved for all residential types in the two counties. This annual gain indicates the sustained desirability of the local market, besides showing the current supply–demand scenario favoring sellers.
The market tilts to your favor in terms of pricing if you’re now selling a condo or a single-family house. Sarasota condo inventory as of April stood at a 4.6-month supply, down 25.8 percent, while the stock of single-family residences is even lower at a 3.5-month inventory, down 30 percent.
A seller’s market also prevails in Manatee County where available condos in April decreased by 6.4 percent to a 4.4-month supply. The county’s inventory of single-family homes fell 17.5 percent to 3.3-months.
Moving forward, the local real estate market doesn’t look that daunting at all even with the Covid-19 pandemic. The players in the property sector appear adjusting well to the new normal of doing business. So, don’t hold back if you’re buying or selling a residence. Contact our Judy Kepecz-Hays team, and we’ll help you facilitate a deal.