Sarasota-Bradenton home sales buck national and statewide trends

The Sarasota Herald Tribune reported today that the national and state existing home sales plunged in March of 2007 compared to March of 2006. However, the Sarasota-Bradenton real estate market was a bright spot in an otherwise dismal national and state real estate market during March.

While national sales of single-family homes fell 13 percent and statewide sales dropped by an even larger 28 percent, Sarasota-Bradenton saw a 16 percent increase last month compared with March 2006.

Other important highlights from the article:

Sarasota-Bradenton posted 834 home sales in March of 2007 compared with 721 a year ago.

"It's definitely the time to buy," said John Schaub, a Sarasota investor and author of "Building Wealth One House at a Time." "There are more and more opportunities out there."

Even the hard-hit condominium market saw a turnaround in March. Sales rose 7 percent to 378 from 354 during March 2006.

The median condo price in Sarasota-Bradenton rose 5 percent to $276,200 from $264,000 in March 2006.

"Price is dictating everything, It's all about getting sellers to understand where the market is and getting properties priced where they will sell."

and the best quote of the article:

"I think sellers in our market have a clearer picture of what their properties are worth," said Sky Sotheby's agent Marc Rasmussen. "They had trouble with that in 2006. Now buyers who were on the fence last year are feeling more comfortable about jumping in."


Remember the contrarian investor - they seek opportunities to profit from situations when the crowd mentality leads to unreasonable valuations for assets, either on the upside or the downside. In 2009 will we be saying, "I wish I had bought in 2007 when everyone was selling"?

Best Places to Retire Young

Sarasota, Florida was picked by Money magazine as one of the best places to retire young.

Money magazine - "...you will discover some of the most splendid architecture anywhere in the Sunshine State. It also boasts pure white sands, exotic birds and plants, boating, water skiing, opera, ballets.

It is always good to hear positive news about Sarasota. As prices have dropped over the last few years there are plenty of properties to choose from. Currently there are:

Sarasota Homes

• 1,241 under $300k
• 1,613 from $300k to $500k
• 874 from $500k to $750k
• 488 from $750k to $1,000,000
• 974 over $1,000,000

Sarasota Condominiums

• 1582 under $300k
• 758 from $300k to $500k
• 744 from $500k to $750k
• 367 from $750k to $1,000,000
• 433 over $1,000,000

Just Sold - Longboat Key Condo

I represented the buyer of this gorgeous Longboat Key condo. This 2 bedroom/2 bath Longboat Harbour Tower unit is situated on the beach with totally unobstructed ocean views. It was recently renovated & updated w/20" porcelain tiles throughout, new carpeting in bedrooms, crown moldings, surround sound system, new bar cabinet, new bathrooms, new granite kitchen with G.E. profile appliances, washer/dryer in unit. It also has a large private lanai with 20" new tile. This condo sold for $795,000.

Please contact me if you are looking to buy or sell a Sarasota condo. 941-812-6272

Following the Luxury Market

The red line indicates the number homes and condos over $1 million that were put under contract in Sarasota county. The bar chart represents the number that closed.

Notice the spike in March of luxury properties that have gone under contract as well as the number of closings.

As far as the entire market goes inventories have leveled off. Properties that are priced well will get activity. The trouble we have in some segments of the market is that there are not enough recent sales to come up with a proper valuation.

A client of mine lost out on a house recently that had multiple offers. There is liquidity in this market at the right price.

Sellers need to value their property based on sales of the most recent comparable properties, preferably within the last 3 months if possible. Do a thorough valuation of what has sold, what is currently for sale and what has not sold. The general market dictates what a property is worth, sellers just decide if they are willing to take that price or not. Valuations in the luxury market can be a little more difficult because of the uniqueness of each property.

Buyers also need to examine what is currently going on in the market. For example, let's say you were thinking of buying a condo on Longboat Key. The unit you are thinking of buying is listed at $799k. If you look back over the last few months and see 2 similar units that closed for $765k and $785k the chances of you getting it today for $650k are slim.

Just Sold - Siesta Key Condominium

A client of mine purchased a lovely 2 bedroom/2 bath Siesta Key condo in this 6 unit complex on Siesta Key beach. This 1,363 square foot unit had gulf views, vaulted ceilings, woodburning fireplace, wrap-around terrace, and was furnished with a washer & dryer in the unit. The complex has a swimming pool overlooking the gorgeous beaches of Siesta Key.

Please contact me if you are thinking of buying or selling a condo on Siesta Key or any other area of Sarasota. I can be reached easily on my cell phone at 941-812-6272. Click on the links below to see condos for sale on Siesta Key.

• $0 - $500,000
• $500 - $1 million
• $1 million - $2 million
• Over $2 million

Billionaire Carl Icahn is betting on Florida real estate

Billionaire Carl Icahn has announced a tender offer for the common stock of WCI Communities Inc. at $22 a share. Since last year, Icahn has been buying stock of WCI (NYSE: WCI), a Bonita Springs-based homebuilder and real estate services firm with several communities in the Tampa Bay area. He controls nearly 14.6 percent of the company's outstanding shares, according to the most recent disclosure he has filed with the Securities and Exchange Commission.

"If you look at long-term trends and don't think about short-term turmoil, that is where the risk returns can be greatly in your favor," Mr. Icahn said in an interview.

Mr. Icahn explained it this way: "My investment philosophy, generally, with exceptions, is to buy something when no one wants it. We made a fairly large investment and took control of several energy companies seven or eight years ago when they were way down. Housing is somewhat analogous."

Icahn noted the medium- and long-term factors that should help Florida real estate: aging baby boomers looking to head south to warmer temperatures.

A contrarian seeks opportunities to profit from situations when the crowd mentality leads to unreasonable valuations for assets, either on the upside or the downside. In 2009 will we be saying, "I wish I had bought in 2007 when everyone else was selling"?

Noted economist calls a bottom to local real estate markets

Noted economist and financial oracle Henry H. Fishkind is calling a bottom to the Sarasota and Manatee county real estate markets. He sees the market staying at the bottom for 12 to 18 months to burn through existing inventory and then begin a 3 percent to 4 percent annual growth climb. He shared his views at Town Hall on Thursday, during a luncheon sponsored by the Lakewood Ranch Civic Action Forum.

You can read more about his speech here.