First, some good news for homeowners in the Manatee-Sarasota region to start the new year: Home prices in the two-county area continue to climb with seemingly no end in sight, increasing close to 5 percent year-over-year in November.
Now, for a bit of sobering news: For the seventh consecutive month, area prices trailed gains accumulated across Florida as well as the country.
According to figures released Tuesday by real estate researcher CoreLogic, home prices in the Bradenton-Sarasota area jumped 4.6 percent year-over-year in November, a solid increase but below gains enjoyed across Florida (6 percent) and the country (7 percent).
Rising home prices are good news for home sellers, but add to the challenges that home buyers face.
Frank Nothaft, the chief economist for real estate researcher CoreLogic
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The median sales price for an existing single-family home in November in Manatee County was $289,000, according to the Realtor Association of Sarasota and Manatee. In Sarasota County, it was $285,000.
With prices remaining on the rise in the region, state and nation, bolstering equity for homeowners, would-be buyers continue to be forced to compete for a low inventory of properties.
“Rising home prices are good news for home sellers, but add to the challenges that homebuyers face,” Frank Nothaft, the chief economist for CoreLogic, said in Tuesday’s report. “Growing numbers of first-time buyers find limited for-sale inventory for lower-priced homes, leading to both higher rates of price growth for ‘starter’ homes and further erosion of affordability.”
Looking ahead for 2018: CoreLogic analysts see another year of growth across Florida, where prices are projected to increase by 6.3 percent during the next 12 months, outpacing the 4.2 percent forecast for the U.S.
“Without a significant surge in new building and affordable housing stock, the relatively high level of growth in home prices of recent years will continue in most markets,” said Frank Martell, the president and CEO of CoreLogic. “Although policymakers are increasingly looking for ways to address the lack of affordable housing, much more needs to be done soon to see a significant improvement over the medium term.”
289,000The median value for an existing single-family home in November in Manatee County, according to the Realtor Association of Sarasota and Manatee.
Washington (12.2 percent), Nevada (10.8), Utah (10.5) and Idaho (10.4) saw prices rise by double digits in November. Twenty-one states, including Florida, experienced growth of 6 percent or better, while 43 had growth of 3 percent or better.
No states saw prices fall, with New Mexico (2.0 percent) seeing the smallest growth.
Top U.S. metro areas
1. Las Vegas, 11.1 percent
2. San Francisco, 8.9 percent
3. Denver, 8.1 percent
4. Los Angeles, 7.5 percent
5. Boston, 6.7 percent
6. Chicago, 3.7 percent
6. Miami, 3.7 percent
6. Washington, 3.7 percent
9. Houston, 3.5 percent
10. New York, 3.3 percent