The Herald Tribune reports on the housing bubble in that part of Florida. "The Sarasota-Bradenton market had the dubious distinction of being the Florida market with the biggest decline in sales during January: a precipitous 48 percent drop when compared with the same month a year ago, more than double the state's 19 percent decline."

"It might be Southwest Florida's affluence that is causing the slowdown. 'I can tell you the buyers are here,' said Scott Sosso. 'The problem is with the sellers who don't have their homes priced correctly.' Sosso's theory is that because so many sellers, especially in the upper end of the market, are reasonably well off, they can, and do, wait for their version of the 'right offer.'"

"That would also explain the almost magical ability of prices to remain at record levels despite soaring inventory levels. Sarasota, for example, had roughly 1,626 listings in early July, a number that has climbed to more than 6,000 now. Deals at the newer 'reasonable' prices are simply not being done, Sosso said."

"Sarasota-Bradenton saw sales of existing condominiums drop 41 percent. In Charlotte County-North Port, the condo action was far more anemic, dropping a whopping 92 percent as prices swooned 18 percent to $165,000."

"Even Realtors who have been expecting things to improve in the region's high season have to be thinking that it's going to be tougher until the market sorts out its pricing and supply issues. The absorption rate of homes, or 'weeks on hand,' in the Sarasota County market has increased from 10.4 weeks in July to 73.3 weeks this month."

"Like homes, condominium listings have increased considerably in the last eight months or so, rising from 1,154 in July to 3,232 now. The absorption rate for that segment of the market has gone from 14.3 weeks for condos to 62.8 weeks."

"'Based on the retreat of investors and or speculators and some temporary hesitancy on the part of second and third homebuyers in many of Florida's coastal markets, you would expect to see a measurable drop in sales year over year,' Budge Huskey, Coldwell Banker's Sarasota-based Florida president wrote. 'You can't keep Florida down for long.'"

"But don't tell that to Mark and Stacey Eve. In January, the couple felt they were ready to sell their home on Novus Street near downtown Sarasota. Unfortunately, four other homeowners on their block decided to do that, too."

"Priced at $249,000, the Eves' home is move-in ready and one of the lowest-priced on the street. They are perfectly willing to cooperate with real estate brokers who bring them customers. But after four weeks of fliers and advertisements, only two potential buyers have come inside to take a look."

"The couple are having a larger home built for them in North Port that is scheduled to be ready by April. 'My husband keeps telling me we should have moved last summer,' said Stacey Eve, who convinced her hubby not to list it then so that they would only have to move once. 'We are concerned about the market. We don't want to float two mortgage payments.'"

"As in Sarasota-Bradenton, listings of single-family homes in Port Charlotte and Punta Gorda are stacking up, more than doubling from a year ago to 2,658. The trend prompted Karen Norberg, a longtime real estate broker, to predict a sharp adjustment in prices. 'I would say the market is going to adjust itself somewhere between 10 percent to 15 percent below last year's market. On a $500,000 house, you are talking somewhere between $50,000 and $60,000 reduced. It has to come down that amount to even be in the running to be sold.'"