But examining this number in proportionto size, Sarasota is even crazier.
Condo market developers have plansfor 25,000 units in Miami's central business district, or one for every24 of its 600,000 residents.
The Sarasota condo market, on the otherhand which caters to only a population of 55,000, gets one planned condofor every 19.
Notsurprisingly, the big question on the minds of market players and observersis whether the stifling construction craze in the Sarasota condo marketwill counterweigh demand in order to drive the escalating prices backto ground.
The fact that real estate agents have been having troubleselling Sarasota condos priced at $1 million or more for some time isa good indication that the high-end market is overbuilt.
Condospriced from $400,000 to $800,000 have been flying off the shelf, butreal estate agents warn that Sarasota condo market might slow down by2007 when constructions of nearly 1,000 new units are completed.
Noone can tell precisely how many of these condo units have been boughtby investors, but if the level of speculation is high, and a large percentageof those units find their way back onto the market, the natural lawof supply and demand could depress prices.
Still,the general consensus among buyers, real estate agents and analystsis that the Sarasota condo market is in far better shape than thosein other places across the country.
Two-bedroom units at The Plaza atFive Points, for example, started selling for around $650,000.
They'renow being resold for as much as $760,000, a 17% appreciation, even ifthe certificates of occupancy are yet to be issued.
Mostreal estate agents agree that the upper end of the Sarasota condo marketremains relatively cold.
The number of $1 million-plus condos far exceedsdemand, and every development is struggling to sell penthouse units.
Nonetheless, real estate agents are optimistic about Sarasota condomarket conditions.
Michael Saunders & Co.
recently report that 314units priced at more than $1 million were listed on the Sarasota condomarket between the end of July 2004 and the end of July 2005.
A totalof 157, or 50% of these, have been sold.
This is interestingly morepositive than the situation within the corresponding period a year earlier,when there were 353 condos listed in the same price range, and only108, or 30.
5% of these, were sold.
Giventhe faster rate of sales in 2005, the Saunders report concludes thatit would take 5.
5 months to work off the inventory of condo units pricedbetween $1 million and $2 million, compared to 11.
8 months at last year'ssupply and pace.
Similarly, it would take 14 months to sell all theunits priced between $2 million and $3 million, compared to 25.
9 monthsthe year prior.
Accordingto Linda Page, a real estate agent with Prudential Palms Realty, "Inventoryis moving faster at the high end.
" Linda also invests in downtownproperty.
She further quipped,"Beau Ciel had 14 sales of more than$1 million in 12 months.
" Condos represent a tremendousvalue relative to other sectors of the real estate market.
Condos priced$1 million and up are more enticing because of the bizarre boom at thelower end of the Sarasota condo market.
Earl Juanico SRQMLS - Sarasota Real Estate