Sarasota Prices - Holding up (Bradenton, Port Charlotte: low income, sales, real estate market)

[Thameslink]

We are considering a move to Sarasota.

Visited west of the trail in Nov.

Any views on how real estate is REALLY doing beyond the headlines?

Real facts would be most helpful.

[Oobie119]

I live in Bradenton and have family in Sarasota. The market is still dropping, there are many homes on the market but no one is buying. There appears to be more condo's sold than residential homes. There are ALOT of homes on the market in the area, making it a competitive market. Since the area is considered a declining market (SW FLorida) prices are going to continue to drop for at least another year..

[Thameslink]

Originally Posted by Oobie119

I live in Bradenton and have family in Sarasota. The market is still dropping, there are many homes on the market but no one is buying. There appears to be more condo's sold than residential homes. There are ALOT of homes on the market in the area, making it a competitive market. Since the area is considered a declining market (SW FLorida) prices are going to continue to drop for at least another year..

Thanks very much for the info. I just feel sorry for all those who have bought over the last 2 years.

[SoFLGal]

I'm in North Port and while the home prices may be still declining there are lots of buyers right now for the well priced, well kept homes. We are busier in the last few weeks than we have been in several months. It seems as though it's not just us either, in talking with other agents in the area(Sarasota-Venice-Englewood-Port Charlotte, Punta Gorda), they are seeing the same thing. Looking at the sales in North Port from last month to this month-they have doubled. Could be just a fluke-who knows? The picture should be much clearer in the next six months or so.

[gypsychic]

I was checking some listings in Sarasota the other day, and noticed quite a few "pendings" among them. I do think it's picking up.

But also, spring is the busiest purchasing season in Florida, both from snowbirds shopping for a vacation home, and families wanting to move in the summer, so who knows how long it will last?

But I do think Sarasota is looking to be close to it's bottom - I can't believe how much prices have come down from a year ago.

[SRQ_Sioux]

I'm in Sarasota and my neighbors were unable to sell their home and are mvoing back to Pa. tomorrow and will probably let their home go into foreclosure. They can not even rent it to cover the mortgage, taxes and insurance. Very scary to me! We saw the boom in our area! Now I see the same model of home I have where my neighbor's mortgage must be triple mine. For that I feel fortunate but seems terribly unfair.
I'm now worried the property values will further decline with all the homes that will be vacated when the economy worsens.

[newinclt]

Oobie, why would you say "nobody is buying"? I agree, that nobody is buying the overpriced stuff that people are offering. These houses were overpriced 2-3 years ago, and they still are. I just sold my Sarasota home. It was priced fairly. If more homes were priced right, they would sell. Homes are still way overpriced in general. If you offer a fair price, you will sell. Period. Plus, it is a good time to buy. Will prices continue to drop? Maybe, but not much, but who cares? They will drop because people with overpriced homes will reduce the price. If you want a house, buy it and enjoy it.

[jay2007]

I received 828 foreclosure listings from trulia last week in the sarasota area. a lot of people overpaid for homes and are in foreclosure now and the buyers asking too much are sitting on the market and will sit for years as real estate prices deflate back to realistic brick, labor, material and lot value costs of 10,000 per acre, 1/2 acre or so . Bad property managers have destroyed many condo units by inflating the assessments out of line with management costs, the property managers line thier pockets with condo assessments and caused decline in that market.
Unrealistic property owners failed to realize property like cars DEPRECIATES as an asset over time.

[jay2007]

We will continue to see real estate decline in price over the next few years and property taxes will decline and to stay competitive condo and park assessments will decline.
The first wave of 78 million retirees now entering the market in 08 living on a small SSA pension with no assests high medical expenses and only cc debt can not and do not pay inflated living costs on fixed retirement income. Low income buyers are 55% of the market, and they only buy or rent low cost affordable housing. Overpriced vacancies will stay vacant for years, maybe decades, as the real estate markets re-adjust to brick labor material and land value, about 50% drop.
I have seen houses and condos sitting vacant for 3-4 years now on the open market. The sellers are losing rent income every month and price value every year, they wait. ENRON prices are not going back up, duh.
This is NOT a good time to be into real estate unless you own to rent or sell low income affordable housing and affordable handicapp accessable housing. Offer 50% of ask price and you will be paying the corrected price, as a general rule.
Warren Buffet last 7 years built and invested in building LOW COST AFFORDABLE HOUSING all along the east coast, he knew people would seek AFFORDABLE HOUSING and not granite counter tops that cost 250 and owners that want to gouge 25,000 for same cheap granite counter tops from home depot and the other big box stores.
Housing inflation was built on irrational exhuberence, deceptive appraisels, predatory lending practices and inflated price gouging. I would not touch anything but very low cost affordable housing for the next 10 years.
Good Luck

[imagardener]

I agree with SoFLGal about sales being up in the area. We are one of the buyers

As I said in another thread there may be a lot of homes and condos on the market but finding the right one was just as challenging as it was the last time we bought (6 years ago). I have heard that a lot of people are NOT listing their home because they think the price they'll be offered won't be good enough.

I heard an interesting radio piece (NPR) yesterday talking about the financial psychology of home sellers. They won't sell because that would confirm the loss in their homes value although the fact is that the actual value is already lowered. This is the same psychology people in the stock market have. They won't take a loss on a stock, just hold it waiting for it to come back, sometimes forever (Enron?).

In Florida much of the blame can be laid at developers doorstep. They flooded the market with new homes and condos, way more than required, trying to get theirs sold before the other developer did.

Blame your county commissioners who gave approval to these developments which costs taxpayers money to build more infrastructure (sewers, schools, roads). They think they'll get more property tax money to spend but in the end everybody else gets the gold mine and the average homeowner gets the shaft.

What we need now is a taxpayer revolt to get lower property taxes. Why should we keep paying taxes based on prices no one can get? Let's cut out some administrative jobs and keep the teachers, cops and ER people working. We'll probably never miss the middle managers and things will run better.