Manatee/Sarasota Current Real Estate News!

Existing home sales fall in 4Q

Bradenton Herald

February 15, 2007

We are seeing an increase in traffic

Existing home sales in the Bradenton-Sarasota market fell 11 percent in the fourth quarter of 2006 compared to 2005, and the median price fell 18 percent to $281,500.

Statewide, Realtor sales were off 28 percent and the median price fell 1 percent to $242,100, according to figures released Thursday by the Florida Association of Realtors.

Those 'more realistic' prices might be just what is needed to jump-start the market, said Ron Cornette, Wagner Realty's marketing and training director.

In addition, there is a greater inventory of homes available for sale now than a year ago, which works to the advantage of buyers, Cornette said.

'You wouldn't want to buy a pair of shoes in a store that only had one pair of shoes to sell, you want a selection,' Cornette said.

The Bradenton-Sarasota condo market also had the fourth-biggest drop in sales throughout the state during the fourth quarter.

Falling prices are a trend that experts believe might be on the way out. The University of Florida's Bergstrom Center for Real Estate Studies' quarterly survey of real estate professionals, scholars and economists found no indication of home prices dropping long-term statewide, according to the Florida Association of Realtors.

Local experts say that prices are stabilizing as sellers are being more realistic about what their home is worth and others have decided to take their home off the market for a while.

'The buyer is going to control the pricing,' said Sue Louis, vice president of Coldwell Banker Residential Real Estate's Sarasota division.

The stabilization of pricing also has another much-desired effect: the return of the savvy investor.

'Investor interest is definitely perking,' Louis said.

West Bradenton's RoseBay Real Estate has found a similar trend. According to broker Lynn Parker, agents dealing solely with investors are seeing an increase in clientele, although those shopping for a vacation home or permanent residence still outweigh them.

'We are seeing an increase in traffic,' Parker said.

In the past month, Wagner agents have seen five to 10 times the traffic at their open houses. A month ago, 20 to 35 potential buyers might come to the open houses but last weekend 320 people came through different homes, Cornette said.

'The phones are ringing and people are coming into the office which will ultimately lead to sales,' Cornette said.

It seems to have already done just that. According to Louis, pending sales are up in almost every price range, adding to the optimism of real estate professionals.

'I wouldn't say that there is a huge influx of sales contracts coming in but it's an improvement,' Parker said.

Melissa Followell, Herald reporter