SARASOTA - The Sarasota real estate market has hit a new 8-year high. "Our market sales for the month of May were over a 1,000. 1020 to be exact, which is 19% higher than it was a year ago, " said Susan Phelps a relator at Cristell and Company.
She is talking about the record number of homes sold in the area. According to a report by the Sarasota Association of Realtors, May's home sales where the highest they have been in 5 years, marking the second consecutive month that sales have hit four-digit figures since June 2005.
"In 2008 we had 24 months of inventory that was defiantly a buyers market. Now we have 3 months and that's a sellers market," said Phelps.
Having only 3 months of home inventory means it will take an average of 3 months for all the properties on sale in an area to be sold. And, like everything else, high demand results in higher prices.
"The median home sales price right now is $225,000. May of 2012, it was $185,000, so that's quite an average increase," added Phelps.
But there is a negative side to the Suncoast's rapidly rebounding real estate market.
"For my buyers, who I'm having trouble finding the right home for at the right price, it's not that much fun, especially when there are multiple offers."
Phelps say since there are fewer homes on the market, those looking are now having to compete with each other to get their dream property. "It's very stressful for buyers when they see a home, fall in love with it, put the bid in, and someone out bids them. This is one of the reason prices are going up."
And as prices and sales continue to rise one thing is certain..
"It means our market has rebounded faster than any other market I know about," said Phelps.
Many are also concerned the rapid increase could be a sign of a another bubble but Phelps says that's something we will just have to wait and see.