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Sarasota, County Housing Market Forecast
The housing market in Sarasota, Florida and its surrounding area is plummeting. After three years of skyrocketing values, homes in Sarasota, Florida are in major trouble. Home prices are expected to plummet 30 to 40% throughout 2024 into 2025. Home prices in Sarasota, County Florida increased 40% to 50% since 2019. The housing forecast of Sarasota Florida through 2025 is expected to wipe out all of the gains it gained since 2019. The housing market in Sarasota, Florida, has experienced several shifts in 2024. The median home price has seen a slight decline, with the average price for single-family homes around $548,000, down by about 4.7% from the previous year. This decline in prices presents opportunities for buyers, especially as the market has seen an increase in inventory and longer days on market.
The average time a home spends on the market has risen significantly, from 26 days last year to about 50 days this year, indicating a slower pace in sales. Additionally, the percentage of homes sold below the list price has increased, with many homes experiencing price drops before selling.
Despite these trends, Sarasota remains somewhat competitive, particularly in the luxury market, which is driven by affluent out-of-state buyers looking for waterfront estates and island retreats. However, the market dynamics are shifting towards favoring buyers more than in the past few years, given the increased inventory and slower sales pace.
For those considering entering the market, now might be a good time to buy, given the lower mortgage rates compared to last year and the slight decline in home prices. However, it is crucial to conduct thorough research and work with real estate professionals to make informed decisions.
If you need more detailed insights or assistance with specific neighborhoods in Sarasota, professional real estate services can provide tailored advice and support.
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2 Replies
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Sarasota County, Florida, has been a hot real estate market, particularly due to its appeal to retirees and remote workers. However, there is a 180 twist to the robust Sarasota, County Housing Market. The housing market in Sarasota is plummeting like never before in history. Here’s a forecast for its housing market in 2024, based on current trends and expert predictions:
Price Moderation:
- After rapid increases in 2019-2022, prices are expected to stabilize or see modest growth (3-5%) at best on median priced homes.
- High-end properties may see more substantial down turn as wealthy buyers are feeling the impact of inflation, high rates, and cost of living.
Interest Rates:
- If the Fed starts cutting rates in late 2023 or early 2024 as some predict, it could reignite demand but as it seems like how inflation is spiraling out of control, expect home prices to plummet.
- Many homeowners are trying to keep the recent gains and selling their homes
- Lower rates would make mortgages more affordable, potentially boosting sales.
Inventory:
- Higher inventory has been a challenge; this is expected to improve slightly in 2024.
- More homeowners may list as they see price growth slowing.
New Construction:
- Developers are active in areas like Lakewood Ranch and Palmer Ranch but are disappointed because they are not selling as fast as they like.
- New homes will help meet demand, but often at higher price points.
Out-of-State Buyers:
- Florida’s tax benefits and warm climate continue to attract buyers from high-tax states but taxes throughout Florida is going up.
- Political climate in some states may further drive this trend.
Remote Work Impact:
- As remote work becomes a permanent fixture, Sarasota’s appeal grows but Sarasota has other cities that offer better lower cost of living.
- Demand for homes with office space will remain high.
Climate Concerns:
- Hurricane Ian’s impact may make some buyers cautious about coastal properties.
- Inland areas like Venice and North Port might see increased interest.
Rental Market:
- High home prices will keep many in rentals, keeping that market strong.
- Investors may focus more on rental properties.
Retiree Influx:
- Baby Boomers continue to retire; many choose Sarasota.
- Communities like The Villages at Sarasota Bay will be in demand.
Economic Factors:
- Florida’s economy is rebounding well post-pandemic but wages are stagnant and inflation is skyrocketing.
- Job growth in healthcare and tech sectors could further boost the market but homes are not at affordable levels.
While growth may not match the frenetic pace of recent years, Sarasota County’s 2024 housing market is expected to remain robust, driven by its lifestyle appeal and Florida’s broader economic strengths.
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The housing market crash is absolutely 💯 going to happen. Many housing market forecast experts are forecasting a huge housing market correction larger than the 2008 financial crisis. Mortgage rrates remains 30 year highs, inflation numbers are skyrocketing through the roof, coat of living are beyond manageable, wages are not keeping up with inflation, and many people with families are having a difficult time to afford supporting the cost of living. You need to make $120,000 to be able to afford a modest house