Sarasota's condo and townhome market is showing signs of renewed life. Buyers are returning, sales are climbing and properties are changing hands at a faster pace than they were a year ago. That’s according to the latest data from the Realtor Association of Sarasota Manatee (RASM).

But don't mistake the latest numbers for a return to the bidding wars and frenzied buying of the pandemic years. Today's buyers are more selective, and even in a tightening market, some sellers are willing to negotiate.

"I've seen what I would call ridiculous offers be accepted by sellers," says Greg Wood, broker and owner of Venice-based Cerus Realty.

His advice? "If you like the house and you're in the ballpark, make an offer."

The third quarter of 2026 brought 5,699 closings across Sarasota and Manatee counties, an 8 percent increase over the same period last year.

The biggest gains came from condos and townhomes, with sales rising 20.9 percent across the two counties, compared with a more modest 3.6 percent increase for single-family homes.

Sarasota County led the way, recording 908 condo and townhome sales, up 26.8 percent year over year. September alone saw a 34.3 percent increase, with 309 closings. Manatee County's condo and townhome sales rose 13.9percent during the quarter, to 703.

The local gains were particularly striking compared with Florida overall, where condo and townhome sales increased just 3.1 percent during the quarter.

Why Are Condo Buyers Coming Back?

The resurgence comes after years of anxiety over rising association fees, insurance costs, special assessments and building reserve requirements.

Wood thinks some of that initial sticker shock has faded.

"We've definitely come over a lot of that," he says, referring to the prospect of large assessments that followed heightened scrutiny of condominium finances and structural maintenance following the 2021 Surfside condo collapse. 

Buyers still need to understand a building's financial obligations, including potential future assessments. But condos and townhomes have another advantage: a considerably lower purchase price than single-family homes.

Sarasota County's median condo and townhome sale price was $324,380 during the quarter, compared with $485,000 for a single-family home.

Wood says lenders he's spoken with are encountering buyers who earn enough to qualify for monthly mortgage payments but struggle to assemble the down payment and closing costs. The lower purchase price of a condo or townhome can make that hurdle easier to clear.

Still, cash remains a powerful force. Nearly 61 percent of Sarasota's condo and townhome purchases during the quarter were paid for in cash, compared with 37.6 percent of single-family purchases.

And although sales have recovered, the five-year charts offer some perspective. Sarasota condo and townhome median prices remain below levels recorded through much of 2022, 2023 and 2024. The market has regained ground from last year's lows, but it hasn't returned to its earlier price peaks.

A Luxury Market in a League of Its Own

At the upper end of the market, the numbers tell a different story.

RASM reports that 10 Sarasota condos and townhomes sold for $10 million or more during the third quarter, compared with none a year earlier. Another 15 sold for between $5 million and $10 million, up from just one in the third quarter of 2025.

The single-family luxury market was similarly active, with nine Sarasota homes selling for $10 million or more, compared with one a year earlier.

Two notable Siesta Key transactions show off the growing appetite for luxury properties. A newly constructed Gulf-front estate at 3990 Higel Ave. sold for $26 million in September, while Crystal Waters, a nearly three-acre waterfront estate on Little Sarasota Bay, fetched $21.95 million earlier that month. Wood suspects part of the activity may reflect newly completed high-end properties reaching the market, including lavish waterfront homes rebuilt or replaced following hurricane damage and floods of 2024.

Fewer Listings, Faster Sales and Still Room to Bargain

The market is also becoming more competitive for buyers, at least by several traditional measures.

In Sarasota County, single-family homes took a median of 92 days to sell during the third quarter, down from 107 days a year earlier. Sellers received a median of 94.4 percent of their original asking prices, up from 91.9 percent, while available inventory shrank from 4.8 to 3.7 months of supply. 

Condos and townhomes took a median of 133 days to sell, four days longer than last year, although sellers received 92 percent of their original asking prices, up from 88.4 percent. Inventory also tightened considerably, falling from 6.8 to 4.9 months of supply.

In Manatee County, single-family homes took a median of 99 days to sell, down from 104 days last year. Sellers received 95.6 percent of their original asking prices, up from 93.8 percent, while inventory declined from 4.2 to 3.9 months of supply. Condos and townhomes also moved faster, with the median time to sale dropping from 125 to 114 days. Sellers received 92.8 percent of their original asking prices, compared with 90.3 percent a year earlier, and inventory fell from 6.3 to five months of supply.

The five-year inventory charts show how conditions have shifted. Available properties climbed steeply after the tight market of 2022, reaching a high point in early 2025 before declining. Inventory remains substantially higher than it was in 2022, however.

Wood sees this as a market returning to more ordinary conditions after several unusual years. During the pandemic-era boom, he says, buyers and sellers grew accustomed to an unusually fast-moving market fueled in part by mortgage rates near historic lows.

"That was never a realistic market," he says. Now, sellers are having to adjust their expectations. Wood says he's encountered owners willing to accept considerably less than their asking prices, even when the broader statistics suggest conditions are tilting back toward sellers.

Competition from corporate, national homebuilders is another factor. Some builders are offering mortgage-rate incentives, closing-cost assistance and upgrades that can make brand-new properties more attractive than recently built resale homes.

A Small but Notable Rise in Distressed Sales

Not every indicator points toward a healthier market.

In Sarasota County, single-family foreclosure or bank-owned sales rose from 10 during the third quarter of 2025 to 31 this year. Manatee County recorded 14, up from four.

Combined, that's an increase from 14 to 45 transactions in one year.

The percentage change is high, but the number remains small: Those 45 sales represented only about 1.1 percent of all single-family closings across the two counties.

What's Next for Sarasota's Housing Market?

The quarter ended on a somewhat mixed note. Although Sarasota County's single-family closings increased 5.4 percent in September, Manatee's fell 3.9 percent. New pending single-family sales—homes newly going under contract—also declined in both counties.

Wood is hesitant to predict dramatic changes heading into the final months of 2026. Seasonal listing patterns, mortgage rates and individual circumstances could all influence the market. And if there's one thing buyers appear to agree on, it's the importance of getting their money's worth.

"I'd say the one word for that is value," Wood says.

For one buyer, that might mean a move-in-ready home in a neighborhood packed with amenities. For another, it might be a modest fixer-upper with room to build equity. And for some, it means taking advantage of a seller who's finally willing to negotiate.