David Barr's Sarasota and Venice Real Estate Blog

There's been some news about real estate investors tapering off their purchase activity as housing prices increase.  That doesn't mean that the smart investors are giving up, because there's still good deals out there and a lot of rental demand in both Sarasota and Venice. For years after the real estate market downturn in 2008, it was easy to pick the low-hanging fruit of a $100K foreclosure, fix and flip it, or clean it up to rent for cash flow property.  In today's market, smart investors are factoring price appreciation in their formula for picking properties. Sarasota and Venice real estate is appreciating at healthy rates, but the higher overall price point of Sarasota versus Venice makes Sarasota a more difficult area for a newer investor to dip their toe in the market. Let's look at a side by side comparison of the two areas: Sarasota Target price range $150-$200K Highest rental demand:  Bahia Vista south to Clark Rd, west of Beneva and east of ...

I recently saw a home come up for sale in Sarasota in the South Gate area as I was searching for clients.  The home is a renovation, and the seller did most things right and a couple things that could have been done better.  Here's my analysis. The color palette is perfect.  The light gray walls and painted fireplace are exactly what buyers are looking for.  The large tile floors are also a good choice, but I bet this home had terrazzo floors.  I would have preferred those be refinished. The sectioned dining room could be improved.  This should have been opened to the living room, and the mirrors removed. I can't find much fault with the kitchen.  I really like the timeless simple white cabinets and flooring choices, as well as the pickled planked ceiling.  It definitely adds a memorable selling point to this home.  I might have chosen lighter color counter tops, but most buyers won't quibble with these. A lot of homes in ...

I just had a phone call with a listing agent regarding a showing for a condo that was tenant occupied. The tenant seemed to be setting the rules of when and how to show the property.  According to the listing agent, there was a "cat with an attitude" and the tenant was adamant that the listing agent provide access to all showings. Of course, the predictable "can you show it later?" question came up.  Ugggh.  It's really unfortunate that the seller put a lot of work into renovating this particular unit, and it's difficult to show. My advice to Sarasota property investors is to include a clause in your lease, making it crystal clear to tenants that they must allow showings and have the property ready to show with 24 hour notice.  Pets should be caged or put in a bathroom. Restricting showings on your investment property hurts it's value and results in longer time on the market.

Investor interest in Sarasota real estate remains high. So why not follow the leaders?  Hedge funds, most notably Warren Buffet, are buying single family homes to hold, produce cash flow, and sell later when the property appreciates.  Why?  Condos are a dime a dozen, have increasing carrying costs (association fees), and do not appreciate as rapidly as single family homes.  Depending on the area, condos also compete with shiny apartment complexes with fitness facilities and resort-like pools.  It's harder to park a boat or a 2nd or third car at a condo, or have pets as a tenant. I've been saying all along, single family homes are the best bet for finding a quality tenant quickly and holding for appreciation. Appreciation is highest for single family homes as close to water (beach, bay, or intracoastal waterway) as possible.  It does not matter at all if the home has stainless appliances, a tile mosiac backsplash, travertine floors or a walk-in close...