Siesta Key is a small, affluent island off the coast of Sarasota, Fla. It is well-known worldwide for its white sand beaches and clear turquoise waters, which attract tourists and retirees from all over the globe.
But Siesta Key is also a spectacular place to live. The island may be only eight miles long and less than a mile wide, but it has luxury resorts, golf courses, and upscale shops and restaurants. Siesta Key has a lively atmosphere, and there is always something to do on the island, whether it is taking a walk on the beach, exploring the many boutiques and galleries, or enjoying the beautiful multicolored sunsets.
If you are looking for somewhere to relax and enjoy the good life, living in Siesta Key is a perfect option. Keep reading to learn everything you need to know regarding the current state of the Siesta Key housing market and what you can expect for Siesta Key real estate throughout 2023.
The current state of the Siesta Key housing market
Siesta Key is a niche real estate market characterized by beautiful luxury homes, a buzzing tourist season, and a housing inventory constrained by the limited availability of space. The island’s permanent population is about 5,500. As a barrier island, Siesta Key occupies about 3.5 square miles with enough beachfront to entertain its influx of seasonal visitors during February, March, and April.
Luxury homes and the “sweet spot” in Siesta Key
Luxury houses on Siesta Key are typically in high demand, and the market can be challenging to gauge. As an expert realtor would tell you, data for Siesta Key can be skewed by its small sample size — per Movoto, there were only six recorded sales in February 2023. Those six sales resulted in a median sales price of $2.5 million for February 2023.
Sample size notwithstanding, that last piece of data is an apt descriptor of Victoria Turner’s current listings. As of March 2023, Victoria had 190 homes for sale in Siesta Key. Over half of these houses were listed between $1 million and $5 million, indicating $2.5 million as a “sweet spot” for home sales in Siesta Key. Meanwhile, the top tier of the local market comprises 14 homes listed at $5 million and over.
Buyer’s outlook
While there are properties to be had at relative bargains, the Siesta Key housing market caters to high-end single-family homes. The overall trend is toward higher prices. Except for 2021 (an outlier year influenced by the global pandemic), Siesta Key has seen steady activity above the $1 million threshold.
If you are considering buying a home on Siesta Key, work with a local expert like Victoria Turner. She can prepare you to move quickly and craft an attractive offer to win your dream home. With careful planning, an expert realtor at your side, and good timing, you can enjoy the sunny Florida lifestyle in no time.
Mitigating factors in the overall housing market
Siesta Key is a world-renowned luxury destination, and its housing market reflects that. The island is home to some of the most extravagant real estate in the country, and the demand for luxury properties in the area is consistently high. However, there are extenuating circumstances that could impact the future of the Siesta Key housing market.
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Increased cost of living. As the cost of food, gas, and other necessities continues to rise, prospective buyers may try to “go low” when seeking homes in Siesta Key.
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Shifting demographics. As more baby boomers retire, they may be replaced by younger buyers less interested in second homes.
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Global economy. If the stock market plummets or interest rates remain high, it could damper sales.
Despite these potential challenges, Siesta Key remains one of the world's most desirable places to live, and its housing market is likely to continue to thrive in the foreseeable future.
Forecasting the 2023 housing market in Siesta Key
As we look ahead to the 2023 housing market, Siesta Key will remain a sought-after destination for luxury buyers. The beautiful weather, pristine beaches, and an upscale lifestyle make it the perfect place to call home. Here’s what to expect in Siesta Key and Sarasota County real estate going forward.
The ascendancy of cash bids
Remarkably, in January 2023, nearly half of closed sales in Sarasota County were paid exclusively in cash. At any given time, the national rate of cash transactions is about 20%, never higher than 33%. Those with the means to pull off an all-cash bid in Siesta Key will have a distinct advantage.
An increasingly balanced market
Using Sarasota County as a barometer, we can infer the Siesta Key housing market will find balance the deeper we proceed into 2023. The beginning of 2023 saw 37% fewer closed sales year-over-year, while average sales prices in Sarasota County stayed steady at about $680,000. Sarasota homes have languished on the market, spending an additional three weeks on the market and recouping just 95% of the original list prices. Even if interest rates remain high, local buyers should gain leverage in negotiations through 2023.
Inventory
Throughout Sarasota County, active listings tripled from January 2022 to January 2023, growing the local inventory from 0.6 months to 2.8 months. However, the county-wide rise in inventory does not necessarily apply to Siesta Key, where there is a limited supply of developable land. As a homebuyer, consider expanding your search to comparable homes in surrounding neighborhoods and cities like Sarasota. With the help of a local expert, you will be rewarded with stunning views, world-class amenities, and a permanent place in one of America's most sought-after zip codes.
Prepare for Siesta Key's 2023 housing market
For those looking to cash in on the 2023 housing market in Siesta Key, now is the time to start preparing. With Victoria Turner at your side, your process could go something like this:
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Take inventory of your assets
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Determine how much you would like to invest
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Scrutinize the local market for trends
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Identify and bid on properties of interest
With some preparation and a keen eye for opportunity, you can make a tidy profit in the 2023 housing market in Siesta Key. While many factors will affect the future of Siesta Key's housing market, the 2023 market will be a great time to invest in this luxurious area.
Hire Victoria Turner
If you are interested in moving to Siesta Key or learning more about how to get started in the 2023 housing market, contact Victoria Turner. Victoria has been working in the local Siesta Key housing market for years and knows what it takes to successfully find and secure a residence in the area in 2023. Whether you are in the market for a sprawling estate or a cozy beach bungalow, this barrier island has something for everyone. As a local Sarasota resident, Victoria can pull out all the stops to make your Siesta Key homeowner dream come to life. Contact Victoria Turner today!
