We filmed this video newsletter on Sarasota’s Bayfront in front of “Embracing Our Differences,” a curated art show with over 16,000 submissions, and the winners surround me.
This is my 15th year of doing quarterly Sarasota real estate market reports and monthly newsletters. My January update has been one of the most sought after as I recap the previous year and provide context for how the market may perform in the year in front of us. So let’s jump right into it.
The Year in Review
- In 2023, we saw sales decrease by 5.5% compared to 2022.
- However, in the fourth quarter of 2023, we actually saw sales increase by 13% over the same period a year ago.
- The luxury market (properties more than $1.5 million) has seen an increase of 50% in this same period. It currently makes up about 7% of our market.
- There were 7 sales over $6M in Q4 of 2023, which is the same from the period a year ago.
The fourth quarter increase in the luxury market is a function of the completion of Bayso, our newest downtown community with 149 residences. The next community on the horizon to be completed will be the St. Regis Residences of Longboat Key. That will open up in the summer of 2024- just about six months from now.
So what’s going on in Sarasota?
Well, there has been a tremendous investment in the community on the south, west and north corridors, and this is increasing the vibe and livability here in our community.
- Just to the south of Downtown, we have seen about $100 million being invested in Selby Gardens. They’ve just completed phase one of three phases.
- On the west along our bayfront, we’re seeing The Bay Sarasota come to life. They will have about $300 to $600 million invested once all phases are complete. They have already celebrated the one year anniversary of the opening of phase one, and the free community programming has been absolutely transformative.
- On the north part of town, the Ringling College of Art and Design inches closer to being the preeminent art and design school in the entire world. They are closing in on a $175 million raise.
Looking forward to 2024 Real Estate Market
As we move into this election year, a lot of people are asking me, “How are this year’s elections going to impact our real estate market?” I went back multiple election cycles over the last 15 years to analyze this, and the fact is that there is no statistically significant increase or decrease of sales during an election year.
The past decade has seen a lot of ups and downs, ebbs and flows in the real estate market. To provide some greater context: 2022 and 2023 have been 15% below the average sales from 2014 to 2018. Our three strongest years over the last decade have been 2019, 2020, and 2021.
I expect as we move forward into 2024, we’re going to see a bit of a rebound over the past two years. The lifestyle in Sarasota has never been better with the increase of amenities, rededication to our infrastructure, and an incredible vibe that’s going on in our community.
A Window of Opportunity for Buyers
In some areas of our market, buyers have significantly more choices at this moment than they did through the pandemic. I feel we are in a window where they have some strong negotiating power. If you would like to have a buyer consult to discuss exactly how I have come to this conclusion and how we can position you to find a great value I invite you to set up a 20 minute video consultation.
