More buyers are shopping in Bradenton-Sarasota area for a second home, new study says
The Bradenton-Sarasota-North Port area has become one of the most popular secondary home markets in the United States, according to a SmartAsset study.
SmartAsset analyzed mortgage data for over 400 metro areas and found that 35.46% of the 26,367 mortgages approved for the Bradenton-Sarasota-North Port area were for second homes. Compared to previous studies, the local market has become more popular for snowbirds and investors, perhaps in part fanned by the buying frenzy seen during the pandemic.
SmartAsset is an online resource for consumer-focused financial information and advice.
That placed Bradenton-Sarasota-North Port in 17th place among all metro areas in the United States for second home mortgages.
While home mortgages are part of the picture, they don’t tell the whole story.
In February, 174 of 503 closed home sales in Manatee County were all-cash deals, according to the Realtor Association of Sarasota and Manatee.
Second homes popular in Bradenton area
“We have a very healthy appetite here for secondary homes. We have so many cash buyers. About 60% of my sales are all-cash deals,” said Mark Boehmig, real estate agent with Michael Saunders & Company.
Recently, Boehmig closed a $2.8 million, all-cash deal for a second home at Lakewood Ranch’s The Lake Club.
Beth Barnett, real estate sales associate with Coldwell Banker, based at Lakewood Ranch, said she has seen an uptick in buyers of second homes in recent years.
“They are primarily looking for villas and condominiums where they don’t have outside maintenance to worry about,” Barnett said.
“A lot more people are buying second homes,” she said, adding that most of her buyers are living in their homes part of the year and leaving them vacant the rest of the year — rather than renting them out.
Although Florida is well-represented in the secondary home study, Ocean City, N.J., where 81% of mortgages are for secondary homes, and Barnstable, Mass., where 62% of mortgages are for secondary homes, topped the list.
Among Florida areas, 54% of mortgages for Naples-Marco Island were for secondary homes. Other Florida areas ranking high on the secondary home mortage list were The Villages with 45%, Cape Coral-Fort Myers with 41%, Punta Gorda with 40% and Panama City with 39%.
“There’s often more risk involved when purchasing a second home than with a first home. Potential buyers may depend on rental cash flows, be wary of potential natural disasters, and be concerned about maintaining the property from a distance. And in a particularly volatile environment for mortgage rates, making the wrong choice can become quite costly,” SmartAsset said.
In previous SmartAsset secondary home mortgage studies, the Bradenton-Sarasota-North Port area ranked 19th in 2022, 23rd in 2021, 18th in 2020 and 43rd in 2019.
For more information on the study visit the SmartAsset web page.
