March of 2024 in Manatee ended up looking much like March of 2023, with the exception of overall inventory levels. Inventory levels are up over 50% when compared to the same month in 2023; however, overall inventory is still less than four months of home sales. That is keeping the market slightly tilted towards sellers even though it feels pretty well in balance. The infographic below from Florida Realtors contains more information on our most recent closed month.
Despite some concerns about an impending recession, unemployment rates remain low, which presents a mixed scenario for the housing market. In March, the U.S. saw the addition of over 300,000 jobs, as reported by the Labor Department, reducing the unemployment rate to 3.8% from February’s 3.9%.
For those of us living in Florida, we know that property insurance rate increases have been a real problem. Florida Realtors has put together the infographic below that shows there may be signs of improvement on the way.
Homebuyers might want to temper their expectations for significant declines in mortgage rates as the spring housing season commences. The inflation rate increased to 3.2% year-over-year in February, as highlighted in the latest consumer price index report. This marks the third consecutive month of rising inflation rates, diverging further from the U.S. Federal Reserve’s 2% target.
Inventory rose much quicker than sales for single-family homes when I compare December year-on-year statistics in Sarasota County. I believe some of that rapid increase is just timing as people are putting their homes up for sale in anticipation of prime selling season in Sarasota. That said, if we see this trend for a few months, buyers will end up having material leverage in the market. Overall, the market is still healthy, but we need to keep a closer eye on Sarasota County in the short-term. See the infographic below from Florida Realtors for more information.
