You're from Minnesota, Michigan, Indiana, Illinois, Ohio, New York, and you are contemplating establishing a real estate presence in Sarasota - Money Magazine's designated "best small city in America."  This property will serve as your future retirement home, your second home or investment property.  You are probably one of the baby Boomers cited by CNN's survey indicating East Hampton, NY and Sarasota, Florida as your two most sought after destinations for such use.  You're about to become one of the 132 new Sarasota residents per week.  Demographically, your numbers (4.5 million of you) will peak in the year 2013 but you will continue coming until the year 2020.  How do you go about beginning your search?

Begin by establishing your budget . . .  will you top out at $300,000 . . . $800,000 . . . or $1,000,000+?  You can find something to love and enjoy in Sarasota at any price range.  In the more modest ranges you will probably be looking inland from the water, and should be able to find lots of new housing stock near I-75.  There are also load of lovely, centrally located moderately priced older neighborhoods to choose from.  Set your priorities and move to an area convenient to the activities you most enjoy.

One the other hand, if you are blessed with a more generous budget ($500,000 to $15 million), you have the option of purchasing waterfront property, a condo on the beach, a house on boating water, on New Pass, the Bay or on the Gulf.  In this galaxy, just remember that everybody wants waterfront when they come to Florida and it becomes a zero sum game -- when the supply is limited and the demand is great, the value increases exponentially.

So, if you truly want to maximize your investment dollar and go for waterfront, it will be well worth your while financially.  If you have to spend a little more than you originally intended for that perfect water view or location, don't worry.  You will experience the joy and life style of the water while benefiting financially, even more substantially, in the long term.  While property values in Florida, generally, are appreciating at a rate of 15% annually, in Sarasota values are appreciating generally at a rate of 26.1! . . . and if your property happens to be on the water, over time, the sky is the limit.  So my advice to you is to enjoy . . . live your dream with the confidence that your water front investment will serve you well.