Graphic courtesy RASM.

For all the economic impact of the COVID-19 pandemic, the housing market in the region continues to boom. The Realtor Association Sarasota and Manatee reports that in January, home sales increased by 23.6% in the two-county area in January compared to January 2020, the last month before the coronavirus surfaced in the United States.

In January, 666 single home sales closed in January in Sarasota County compared to 565 the same month last year. In Manatee, 515 such deals closed, up from 410. The 1,181 sales in the two counties represent a 21.1% year over year. Condos saw an even greater jump, of 27.8% in the region.  Condo sales in Sarasota jumped 32.6%, from 344 in January 2020 to 456 last month, while sales for condos in Manatee leapt 20.5%, from 220 last January to 265 this January.

The two-county area also has a high number of sales that were pending at the end of the month, up around 32.7% for condos and single-family homes combined.

Meanwhile, the media price of single-family homes in Manatee rose to an all-time high of $370,000 in January. That’s higher for the month than Sarasota County’s media price of $340,004.

“Our sales tend to be strong through fall and winter, but what we're seeing right now is unprecedented. There are far more buyers than sellers, which reinforces the trend of rising prices and competition in our marketplace,” said Alex Krumm, RASM president. “Buyers can expect to see stiff competition in the marketplace, but should feel good about getting a home with a record low interest rate that's almost certain to increase in value this year.”

The Fed Funds Rate for the last month has been 0.25, compared to 1.75 a year ago, something driving transactions.

Meanwhile, the inventory of single-family homes available to sell remains remarkably low, with a 1.1-month supply listed in Manatee and a 1.2-month inventory available in Sarasota. There’s a little more competition in condos, but not much, with a 2.1-month supply in Sarasota and 1.6-month inventory in Manatee. 

“Waiting to purchase is a mistake right now,” said Krumm, broker-owner of NextHome Excellence. “Home prices are increasing at an incredible pace with no sign of slowing, and sellers can take advantage of a very favorable climate to fetch good prices and great terms.”

Graphic courtesy RASM.