High-end Sarasota property is the fastest growing market in the US, according to the latest Luxury Home Index published by realtor.com. The county registered the highest price rises in the luxury sector in May this year.
The monthly realtor.com Luxury Home Index, looks at the most expensive property in 51 primary markets throughout the US. Taking the top 5% of all homes sold during the month, the Index records the areas with the best-selling luxury properties.
Sarasota property rises most
For Sarasota property, the Index for May found that average prices for the top 5% of property reached US$993,000. This represents a massive 19.1% increase in the year, easily the highest in the country. In second place was Queens County in New York where prices for the most expensive property tier went up by 15.1%.
Another Florida county also ranked in the top five Index. Collier County, in Southwest Florida, like Sarasota County, registered a 13.7% increase in luxury property prices, the third highest in the country.
Strong interest in Southwest Florida
Sarasota property doesn’t usually rank on luxury home listings, but property in Southwest Florida” has entered the radar for home buyers from other parts of the US. This area of the Sunshine State is currently one of the fastest growing economically with strong job creation. This coupled with good-value property prices has sparked interest among buyers from outside Florida.
“Luxury prices in the Sunshine State are rising quickly as buyers from places like New York, Boston, and Chicago get wind that there is a better bang for their buck available down South,” said Javier Vivas, director of economic research for realtor.com.
He also mentioned that some parts of the US are experiencing a glut of luxury properties. As a result, there’s strong “spillover demand for their less pricey neighbours”.
Ultra-luxury property also popular
Sarasota property at the very high end of the price spectrum has also experienced significant gains over the last year. Homes in the top 1% of the market, classed as Ultra-Luxury by realtor.com, saw a price rise of 10.55% in Sarasota in the year to May. This brought the average price to US$1,858,016.
As is the case with the top 5% tier, ultra-luxury property in Florida offers considerably more value than in traditional luxury enclaves elsewhere in the US. For example, in San Francisco, the average price for an ultra-luxury home in May came in at US$4.3 million.
(Sources: realtor.com, Florida Realtors)