‘Hot’ Housing Market Shatters Records in 2021
SARASOTA, Fla. (January 20, 2022) – The 2021 housing market was a record-breaking year of sales in the Sarasota and Manatee counties. According to data from Florida REALTORS® and compiled by the REALTOR® Association of Sarasota and Manatee (RASM), the month of December ended in line with the upward trend that has been visible throughout the last quarter: higher prices, lower inventory, and fewer sales than the same month in the previous year. Median sales prices in the month of December increased beyond the previous record set in November.
“The demand for housing in our region is strong. As expected, the momentum from 2020’s market carried right into 2021, bringing another banner year of sales and prices. On the other hand, buyers are facing a lot of competition. Throughout most of 2021, the monthly supply of homes was less than one month,” said 2022 RASM President Tony Veldkamp, Senior Advisor at SVN Commercial Advisory Group. “We anticipate the price growth and velocity of sales to start leveling off, helping to increase inventory. Now is a great time to consider selling your home if you’ve been thinking about it. Buyers and sellers can trust the guidance of a REALTOR® as they navigate the process.”
December Market in 2021
In the last month of 2021, the combined closed sales of all property types in both counties decreased by 14.3 percent to a total of 2,319 sales. For single-family homes, closed sales decreased year-over-year by 19.4 percent to 837 sales in Sarasota County and by 8.1 percent to 764 sales in Manatee. Condo sales decreased by 17.3 percent to 412 sales in Sarasota and decreased by 9.5 percent to 306 sales in Manatee.
Prices in the last month of 2021 reached beyond any previous records set earlier in the year. December 2021 reports a rise in prices with single-family homes reaching a median price of $435,788 in Sarasota and $460,000 in Manatee County. Condo prices were $360,000 in Sarasota and $302,965 in Manatee in December.
In the two-county market, 100 percent of homes sold at or above the original list price. Homes also sold quickly in December, with the median time from listing date to contract date reported at 7 days for single-family homes and condos within the entire two counties.
The month’s supply of inventory in December was 0.6 months for single-family homes, a 62.5 percent decrease in Sarasota and a 60 percent decrease in Manatee. Condo supply is at 0.6 months in Sarasota, a 76.9 percent decrease from the same time in 2020, and in Manatee County, condo supply decreased by 75 percent to 0.5 months.
At the end of the year, the inventory of all active listings was 1,024 for single-family homes in the North Port-Sarasota-Bradenton MSA, a 53.1 percent decrease from last year. The year-end inventory for condos was at 416, a 73 percent decrease from the same time last year.
Yearly Market in 2021
When compared to 2020, the total number of closed sales in 2021 increased by 14.9 percent to a total of 28,764 sales. For single-family homes, closed sales increased year-over-year by 13.4 percent to 10,798 sales in Sarasota County and by 12.3 percent to 8,607 sales in Manatee. Condo sales increased by 21.6 percent to 5,634 sales in Sarasota and increased by 16 percent to 3,725 sales in Manatee.
The yearly median sales price for single-family homes in 2021 was $395,945 in Sarasota and $420,000 in Manatee. For condos, the median price for 2021 was $315,000 in Sarasota and $260,000 in Manatee.
“The real estate industry is essential to our local economy and gives us insight into the growth of Manatee and Sarasota counties,” added Veldkamp. “This last year brought in $15.7 billion in sales volume which has a tremendous impact on our economy, supporting attorneys, insurance agents, contractors, surveyors, inspectors, and many other professions.”
With an increase in closed sales and higher prices throughout the year, the dollar volume in 2021 increased significantly from 2020. Single-family homes brought in $11.1 billion in volume for the two counties, a 42 percent increase from the previous year. The dollar volume of condo sales increased by 57.9 percent to $4.6 billion.
Cash sales were prominent in 2021, accounting for 57.3 percent of all single-family home sales in the year. Of all condo sales in the two counties, 40.2 percent were closed with cash offers, which is a 34.9 percent increase from the 2020 percentage.
Foreclosures and short sales only represented 0.5 percent of all closed sales in 2021. The two counties combined reported 144 distressed sales (foreclosures and short sales) which is a 59.4 percent decrease from the number of distressed sales in 2020.
Unlike the previous year, the number of new listings was less than the total number of closed sales in 2021. In the single-family home market, 19,318 new listings were added to the market, which is a 4.7 percent increase from 2020. For condos, 8,646 new listings were added, a 3.8 percent decrease from 2020.
Monthly reports are provided by Florida Realtors® with data compiled from Stellar MLS. For comprehensive statistics dating back to 2005, visit www.MyRASM.com/statistics.