What Is The Difference Between "Average Home Price" vs. "Median Home Price"
The average sale price is calculated by adding all the sale prices for homes sold in a specific area within a specified time frame and dividing that total by the number of properties sold. For instance, if ten properties sold in a city in the last thirty days, the average home price would be calculated by adding the sale prices for all ten properties and dividing that figure by ten.
The challenge with the average sale price, is that if one or more properties were sold at an extraordinarily high or low price, the average is skewed higher or lower as a result. In this case, the average becomes a somewhat unreliable metric.
The median sale price, is the sale price in the middle of the data set when you arrange all the sale prices from low to high. The median sale price, then, represents the figure at which half of the properties in the area sell at a higher price and other half at a lower price. The U.S. Census Bureau and Federal Housing Finance Administration uses these and other figures to create the House Price Index.
Sarasota and Manatee Real Estate Total Sales Climb In August
Both Sarasota and Manatee counties saw an uptick in sales and home values in the month of August. There was a total combined 1898 closed sales for the month of August. This is a 4.3% increase year- over- year. The Sarasota condo market had a very strong month with an increase over 10.0%, whjle Manatee soared just shy of 27.0% year- over -year! As for single-family homes, Sarasota sales decreased by 1.2 % and Manatee sales increased by 0.2 %.
"Homes went under contract at a faster rate in August and prices continue to go up," said Greg Owens, 2018 President of the REALTOR® Association of Sarasota and Manatee. "We're still feeling the impact of low inventory levels."
Median sales prices also continue to gain year-over-year. Sarasota single-family homes increased just under 10.0%, while Manatee increased by 3.0 %. Condo prices in Sarasota increased over 9.0% to $232,950 and Manatee increased by just under 4.0% to $190,000. Realtor.com announced Sarasota, Florida as #1 of out the top 20 U.S. cities that has had the highest sales increases in the luxury market. ($1 million +)
The condo market continues to stay strong with new listings hitting the market. In August, Sarasota condo new listings increased over 11.0 % and Manatee condo new listings increased over 8.0%. Single-family home new listings increased by 4.5 % in Manatee County, while Sarasota single-family home new listings only increased by 0.3 %. Certainly, the expansion of new high- rise condos being erected in downtown have had a huge impact on this increase.
Based on a low supply of resale home inventories, (3.9 months) Sarasota and Manatee counties still favors the "seller." Condos in Manatee and Sarasota County are currently at a four month's supply. It becomes more of a "buyer's" market when there is a six month supply or better.
Please understand the value of a property and location will deviate from the previous figures provided. These percentages are based on the overall market. If you would like to know specific market trends and pricing in your community, please contact me and I will run specific numbers that reflect your home and community.
River Strand Community- September Updates
In the month of September, 12 properties were sold in River Strand community ranging from $167,000- $475,000. Currently there are a total of 12 properties available including single family homes, coach homes, villas, and condominiums available to purchase from $164,900 to $889,000 .
If you reside in the River Strand community, be on the lookout in your email box for my monthly blog, which will provide further details of our beautiful real estate community. It will include market trends, local vendors, and much more!
If you, or you know someone who is looking to buy, sell, or invest into real estate in the near future, please contact us at Keller Williams On The Water. Michelle and I appreciate the opportunity to assist you with all your real estate needs!