Sarasota Real Estate
Sarasota is a small city located on the southwestern coast of Florida. A beautiful waterfront city that sits nestled between Sarasota Bay and the Gulf of Mexico, it offers an eclectic mix of culture & art, fine restaurants and world class beaches. Like most coastal Floridian cities, Sarasota boasts hot tropical summers, mild winters, and the potential for an incredible quality of life are all traits that make Sarasota Real Estate highly desired by investors, vacationers and retirees around the globe.
Sarasota Real Estate Foreclosures
Sadly in the current economy there is no way to discuss Florida real estate without mention of real estate foreclosures. Sarasota real estate listings are dotted with real estate foreclosures and homes of the victims of the subprime mortgage crisis that caused a nationwide recession and forced many individuals and families out of their homes.
As with most things in life, opportunity arises from the ashes of disaster. Whether youíre seeking a new home or investment in new rental properties, there are still many gems to be had with Sarosota real estate in the wake of the subprime mortgage crisis.
The Price of Real Estate In Sarasota, Florida
Despite the still relatively low cost of real estate and availability of foreclosure homes, market indicators show rising trends in the Sarasota real estate market. While news in the American housing industry continues to cause distress and despair for homeowners nationwide, over the past 6 months, the Sarasota real estate market has actually demonstrated a consistent decline in the number of single family homes and condos available for sale. As it stands, current inventory in the Sarasota real estate market actually sits below expected market numbers, meaning home values could be taking a significant upward turn in the near future as lower supply drives up demand.
So what does this mean for investors and home buyers? How can we use market indicators to predict future home values? Real estate inventory is measured by a metric known as the inventory absorption rate. While this may sound like a fancy, complicated investment term, it is actually a very simple concept: The inventory absorption rate measures the number of months of available housing inventory in a local market, given rate of homes sold in the current month. For example: An absorption rate of 4.5 means that in 4.5 months, there would be no more houses available for sale in the market, hypothetically speaking, if the rate of sales remained the same and no more homes were released into the market.
An inventory absortion rate of 6 months is considered below normal. Anything below means higher buyer demand and less supply, and higher demand+low supply is what drives up prices. The absortion rate of Sarasota single family homes currently sits at 5.9 months. Compare this with the absorption rate of 25.3 months back in January 2009, and the fact that there were 14.3% more properties sold this year than last, and you start to get an optimistic picture you would never get simply listening to the media doom and gloom.
Sarasota, Florida Real Estate and Median Condo & Single Family Home Values
Another indication that Sarasota real estate home values are on the rise is the steady increase of median home prices in Sarasota over the past 2 years. Currently, the Median prices for single family homes sit at $175,000 and $185,000. As recently as March 2011 these prices sat at $159,250 and $173,000 respectively.
Whether youíre a sophisticated investor or a casual buyer, this numbers give a clear indication that the affordable Sarasota real estate market is poised to climb upward as supply dwindles and demand continues to increase.
Sarasota Waterfront Real Estate, Discover The Joys Of Sarasota Luxury Real Estate
One of the true joys of owning real estate in a coastal city like Sarasota is the prevalence and availability of waterfront property. Sarasota waterfront homes range from multi-million dollar luxury properties to affordable single family dwellings, all nestled alongside world class beaches. Popular luxury waterfront locations include the barrier islands of Longboat Key and Siesta Key. For those looking for a luxury community a bit off the beaten path, Lakewood ranch is a hot planned community with over 6,000 homes, private golf courses and even a brand new polo club.
Sarisota Condos For Sale
Downtown Sarasota condos are another set of hot properties in the current Sarisota real estate market, and a great alternative to detached houses. For those seeking a low maintenance yet high-end life style, downtown Sarasota condos have a ton to offer. Picture yourself enjoying a relaxing brunch by a bay window overlooking downtown Sarasota, with the sparkling Sarasota bay as a breath-taking backdrop. Within walking distance youíll have access to a selection of fine restaurants, entertainment, shopping and arts. The low maintenance and managed upkeep of Condominiums make them especially ideal if you only plan to make use of your property a few times a year.
Sarasota Real Estate Rentals
While Sarasota real estate makes great investment and vacation property, there are a few things to consider if youíre not planning to live in Sarasota full time. If youíre planning to rent out your Sarasota property, you should consider making arrangements with a local property management company in advance.
There are additional considerations if youíre purchasing a house as a vacation home and plan to leave it vacated for a good portion of the year. Youíll need to disconnect your hot water and other facilities. If your property is vacant when a pipe bursts, your property will be flooded. Given the warm tropical climate, the air conditioning and de-humidifier must also be set appropriately in order to stymie mold growth. There may also be increased insurance costs if your provider is aware that the property will be empty for most of the year. Once again ñ despite the added expense ñ itís highly advisable to seek the services of a reputable property management company.
