The chart above represents Sarasota, Florida county inventory, sales and pending figures. It is great to see the decrease in the number of homes for sale. The market is absorbing much of the excess inventory which will lead to a balanced market. Compared to three years ago we have 48% fewer properties for sale, 54% more sold properties and 73% higher pending sales. Right now, based on closed transactions Sarasota has 7.6 months of inventory. Ask anyone who has been around the real estate business long enough and they will tell you that 6 to 8 months is a balanced market.
Shadow Inventory
There is talk about a shadow inventory. This refers to people who want to sell but don't have their homes on the market because they don't like the price at which they would need to sell at. Some believe that this shadow inventory will eventually become real inventory. No one knows for sure whether this will happen or not. As inventories decrease I can definitely see some people putting their homes on the market.
More Than Just An Investment
There seems to be such emphasis on where real estate prices are going. That is completely understandable considering the roller coaster ride we have gone through. However, people need a home. The last time I checked you couldn't sleep in a stock or bond. You need a place to sleep, take a shower, watch TV, enjoy a birthday party, have dinner with your family. There is more to real estate than just making a killing on it. If you think that prices are going to continue to decline then go rent for awhile. There is nothing wrong with that. If you want something to call your own. A place where you can raise a family, create lasting memories and enjoy life then buy yourself a home. I doubt prices will slide much more but if you are planning on owning for several years then this is a good time to buy a house.
Give me a call at 941.812.6272 if I can help you buy Sarasota Fl real estate.
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