Area Real Estate News & Market Trends

You’ll find our blog to be a wealth of information, covering everything from local market statistics and home values to community happenings. That’s because we care about the community and want to help you find your place in it. Please reach out if you have any questions at all. We’d love to talk with you!

Aug. 27, 2018

July 2018 Naples Market Report

July Housing Market in Naples Defies National Trends

Naples, Fla. (August 24, 2018) – According to the National Association of REALTORS July market report, existing home sales in America decreased for the third straight month as a result of the severe housing shortage that is not releasing its grip on the nation’s housing market.

Conversely, homes sales in the Naples area were up 8 percent in July according to the July 2018 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island). The nation has only a 4.3-month supply of home inventory, while Naples has a healthier 6.25-month supply of inventory.

“The Naples area overall median home price increase in July 2018 seems to be the only statistical category where we match national trends,” said Kathy Zorn, broker/owner, Better Homes and Gardens Real Estate Pristine, “Naples saw an 8 percent increase in its overall median closed price in July 2018 compared to July 2017; whereas nationally, median closed prices went up just 4 percent. But median closed prices for properties over $300,000 in the Naples area decreased 2 percent in July 2018 compared to July 2017.”

Interestingly, while July’s overall inventory fell 1 percent to 4,871 properties from 4,928 properties in July 2017, inventory increased 5 percent in the $300,000 and below price category. In fact, inventory for single- family homes in this price category jumped 21 percent in July to 345 from 286 in July 2017.

“There are 1,154 single family homes and 1,722 condos for sale under $500,000 currently,” said Brenda Fioretti, Managing Broker at Berkshire Hathaway HomeServices Florida Realty. “Economists predict home sales in America during 2018 will not be as good as 2017. However, we’re seeing the opposite in the Naples area. Granted our sales were hampered by a hurricane in 2017, but there are no signs that interest in buying a home in Naples this year might drop because of temporary climate or environmental phenomena. We have a healthy inventory, an increase in closed sales, price stability and a decrease in the days on the market compared to July 2017.”

July also saw a huge 39 percent jump in condominium closings in the Naples Beach area. Closed sales for August look strong too in this segment as pending sales for condominiums in the Naples Beach area increased 55 percent in July 2018 over July 2017!

Overall pending sales in Naples were up 11 percent in July, with only one price segment ($500k-$1M) reporting a decrease compared to July 2017.

“Pending sales for luxury condominiums [$2 million and above] in July were up 150 percent,” said Budge Huskey, President, Premier Sotheby’s International Realty. “The strength of the luxury market segment for both

single family and condos continued into the summer months, a reflection of sustained confidence among the affluent witnessing the longest economic expansion cycle in the nation’s history and record corporate earnings.”

How buyers are purchasing homes in Naples is very different than the national average home buyer, as well. Cash sales accounted for only 20 percent of home purchases in July nationally. But in Naples, cash sales accounted for 50 percent of all home sales in July.

The NABOR® July 2018 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. The NABOR® July 2018 sales statistics are presented in chart format, including these overall (single- family and condominium) findings:

CATEGORIES

July 2017

page2image105514032

July 2018

page2image105516144page2image105514880

CHANGE (percentage)

page2image150995408

Total homes under contract (pending sales) (month/month)

720

page2image107525920

796

page2image107418224page2image107540416

+11

page2image107454960

Total closed sales (month/month)

682

738

+8

Median closed price (month/month)

$319,000

page2image107362432

$345,000

page2image107360560page2image107360768

+8

page2image107278672

Median closed price >$300K (month/month)

$485,000

page2image107286576

$474,000

page2image107289504page2image107289776

-2

page2image105519168

Total active listings (inventory)

4,928

page2image106884416

4,871

page2image106900960page2image106901168

-1

page2image106904320

Average days on market

105

page2image107292448 page2image107293328

93

page2image105558512page2image105558784page2image105751200page2image105751536

-11

page2image153113584 page2image153101504

Single-family closed sales (month/month)

354

page2image105753744

372

page2image105744240page2image105744576

+5

page2image105652832

Single-family median closed price (month/month)

$409,000

$435,000

+6

Single-family inventory

2,552

page2image105608224

2,542

page2image105611072page2image105611344

0

page2image105616000

Condominium closed sales (month/month)

328

page2image105685088

366

page2image105718064page2image105718336

+12

page2image105687696

Condominium median closed price (month/month)

$248,000

$255,000

+3

Condominium inventory

2,376

page2image105724800

2,329

page2image105664208page2image105665056

-2

page2image105694832

According to Cindy Carroll, SRA, with the real estate appraisal and consultancy firm Carroll & Carroll, Inc., inventory in neighborhoods west of US 41 are beginning to tighten. “I think we can expect some upward price pressure in areas where the inventory supply level is below 4 months, like Pelican Bay.”

Carroll also noted that the number of affordable homes in areas like Golden Gate City and South Naples is growing. “In April 2018, Golden Gate City had a 1.3-month supply of inventory; today it’s at a 3.7-month supply. While a majority are priced on the high end of the $0-$300,000 price category, it might still provide some new opportunities for first-time homebuyers.”

In response to the question of whether home sales will be affected by a longer-than-average red tide occurrence, Huskey responded, “Clearly it’s a situation we are all watching closely, yet currently there’s no reflection in the pace of home sales. While impossible to ignore if at the beach on a day in which it’s more prominent, a block or two east you wouldn’t be aware of any issue and inland sales represent the vast majority of all activity in the market.”

If you are looking to sell a home in Naples, contact Izabela Wright, a REALTOR® who has the experience and knowledge to provide an accurate market comparison so you can determine the right asking price. A REALTOR® can also ensure your next purchase in the Naples area is a success. Find out more at Naplesarea.com.

Posted in Market Updates
July 29, 2018

2nd QTR 2018 Naples Market Report

Luxury Home Sales Lead to a Strong Second Quarter Finish

Naples, Fla. (July 13, 2018) – Activity in the Naples area housing market during the Second Quarter of 2018 remained steady in comparison to activity during the Second Quarter of 2017. According to the 2Q 2018 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), overall closed sales increased 2 percent to 2,926 properties in the 2Q of 2018 from 2,880 in the 2Q of 2017. But in the $2 million and above single-family home market, closed sales rose 25 percent in the 2Q of 2018, which—along with other market indicators—leads many broker analysts to believe that interest in luxury homes will remain in high demand.

Available inventory at the end of the 2Q of 2018 was 5,165 properties, just 24 units behind the inventory level at the end of the 2Q of 2017 (5,189 properties). “This tells me that homes are coming onto the market at the same rate we are selling them,” said Mike Hughes, Vice President and General Manager for Downing-Frye Realty, Inc.

Inventory rose 15 percent in the $2 million and above condominium market during the 2Q of 2018, which may be a factor in the uptick of pending sales in the luxury condominium market as it rose 32 percent during the 2Q of 2018.

“Inventory in other parts of the state and nation are stretched thin, hovering between 3 and 4 months of inventory, but Naples enjoys almost 7 months of inventory,” said Budge Huskey, President, Premier Sotheby’s International Realty. “What’s even more impressive is that we have such a great selection of homes for buyers despite the recent increase in sales and still having some undergoing repairs from Hurricane Irma.”

“We are seeing a very different sales environment locally from that of 10 years ago when home sales in northern states stalled,” said Coco Amar, a managing broker at John R. Wood Properties. “But now that homes are moving fast up north, sales of high-end single-family homes in Naples are stronger than ever.”

“It’s hard to ignore the increase in interest for ultra-luxury properties,” said Huskey. “A $48.8 million sale for a home in Naples is impressive, but when you learn there was a second potential buyer who was considering the property you know what type of buyers are in the market.”

According to Adam Vellano, West Coast Sales Manager, BEX Realty - Florida, there were four property sales over $10 million during the 2Q. “It’s possible the new tax laws are impacting people’s minds about residency and we’re benefiting from it.”

Brokers analyzing the market report agreed that multiple offers on luxury properties have risen. But whatever factor(s) is driving the increased interest, closed sales of luxury homes over $2 million are positioned to rise

again as the stage has been set in the 2Q where pending sales in this price category increased 22 percent for single-family homes and 32 percent for condominiums.

The NABOR® Second Quarter 2018 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. The NABOR® Second Quarter 2018 sales statistics are presented in chart format, including these overall (single-family and condominium) findings:

CATEGORIES

page2image2169126416

2Q 2017

page2image2169200576 page2image2168697664

2Q 2018

page2image2168664960

CHANGE (percentage)

Total homes under contract (pending sales) (quarter/quarter)

page2image2168690048

2,770

page2image2168687360
page2image2168693488 page2image2168693904

2,733

page2image2169278368 page2image2169278848
page2image2169279472

-1

page2image2168729728

Total closed sales (quarter/quarter)

2,880

2,926

2

Median closed price (quarter/quarter)

page2image2252381328

$340,000

page2image2252380656
page2image2171735856 page2image2171723952

$345,000

page2image2252382960 page2image2252383504
page2image2199932368

1

page2image2199935824

Median closed price >$300K (quarter/quarter)

$535,000

$510,000

-5

Total active listings (inventory)

page2image2169002048

5,189

page2image2169002544 page2image2169001696

5,165

page2image2168955232

0

Average days on market

page2image2169058528

97

page2image2169057568
page2image2169061632 page2image2169059488

96

page2image2169061216 page2image2169062496
page2image2169063184

-1

page2image2169064944

Single-family closed sales (quarter/quarter)

1,349

1,395

+3

Single-family median closed price (quarter/quarter)

page2image2169119696

$418,000

page2image2169118624
page2image2169104464 page2image2169104880

$449,000

page2image2169107520 page2image2169122416
page2image2169096880

+7

page2image2169123600

Single-family inventory

2,654

2,601

-2

Condominium closed sales (quarter/quarter)

page2image2171722720

1,531

page2image2171736688
page2image2169130992 page2image2169131472

1,531

page2image2169132592 page2image2169133072
page2image2169133760

0

page2image2169135456

Condominium median closed price (quarter/quarter)

$282,000

page2image2169143904

$270,000

page2image2198184496 page2image2254607696

-4

page2image2198098080

Condominium inventory

2,535

page2image2198126912

2,564

page2image2254598496 page2image2198765168

+1

page2image2198656320

The real estate market’s stability during the 2Q also extended to its median closed prices which increased only 1 percent to $345,000 in the 2Q of 2018 from $340,000 in the 2Q of 2017. However, despite increased sales in nearly every price category for properties priced above $300,000 during the 2Q of 2018, the median closed prices for properties above $300,000 decreased 5 percent!

As pointed out by Vellano, sales of single-family homes near Naples Beach and in the expanding North Naples area saw the greatest increase during the 2Q, and condominium sales in Central Naples outpaced all other home type sales during the 2Q. “According to the report, we averaged 30 transactions a day during the 2Q,” said Vellano. “That’s good news for REALTORS® as we move into the summer months.”

If you are looking to sell a home in Naples, contact me, Izabela Wright who has the experience and knowledge to provide an accurate market comparison so you can determine the right asking price. A REALTOR® can also ensure your next purchase in the Naples area is a success. Find out more at Naplesarea.com.

Posted in Market Updates
June 25, 2018

May 2018 Naples Market Report

 

Housing Activity in May Yields Solid Market 


Naples, Fla. (June 15, 2018) – For a second consecutive year, housing activity during May demonstrated to broker analysts that May remained a standout month. Overall closed sales were remarkable with 1,024 closed sales during May 2018 compared to 1,027 closed sales in May 2017. Closed sales in May 2018 were higher than all months following May 2017. May also saw inventory levels continue to stabilize, according to the May 2018 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island). 

“In 2017, May’s sales increased 23 percent over sales in May 2016,” said Phil Wood, President & CEO of John R. Wood Properties. “The fact that we are keeping the same pace this year and our inventory is holding steady is good news as we move into summer.” 

Closed sales of properties in the $300,000 to $500,000 price category during May increased 21 percent over May 2017, while closed sales in the $300,000 and below price category were just one sale short of the number of closed sales in May 2017. 

There was very good news for buyers in the report as May’s overall median closed price dropped 5 percent to $337,000 from $355,000 in May 2017. Moreover, the overall median closed price for homes priced above $500,000 decreased 14 percent to $507,000 from $590,000 in May 2017. 

On the high-end side of the market, despite an 11 percent increase in median closed prices, pending sales of properties in the $2 million and above price category increased 23 percent in May 2018 compared to May 2017. 

“We haven’t seen inventory levels in May this high since 2013,” said Mike Hughes, Vice President and General Manager for Downing-Frye Realty, Inc. “I was concerned that the low end of the market would start shrinking after season, but the May report showed inventory increased 6 percent for homes under $300,000.” 

Overall inventory in May rose by 15 properties compared to May 2017. The report also showed inventory rose in May for both single family homes and condominiums priced below $500,000, which accounted for 58 percent of the available market in Collier County at the end of the month. 

The NABOR® May 2018 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. The NABOR® May 2018 sales statistics are presented in chart format, including these overall (single-family and condominium) findings: 

CATEGORIES May 2017 May 2018 CHANGE (percentage) Total homes under contract (pending sales) (month/month) 1,027 970 -6 Total closed sales (month/month) 1,027 1,024 0 Median closed price (month/month) $355,000 $377,000 -5 Median closed price >$300K (month/month) $590,000 $507,000 -14 Total active listings (inventory) 5,404 5,419 0 Average days on market 98 97 -1 Single-family closed sales (month/month) 485 497 +2 Single-family median closed price (month/month) $435,000 $440,000 +1 Single-family inventory 2,734 2,680 -2 Condominium closed sales (month/month) 542 527 -3 Condominium median closed price (month/month) $289,000 $270,000 -7 Condominium inventory 2,670 2,739 +3 

According to Dominic Pallini, Broker at Vanderbilt Realty, “both median closed prices and days on market for single family homes above $300,000 decreased in May, which may indicate sellers are pricing homes to sell.” 

As broker analysts discussed the inherent necessity for REALTORS to work with a seller to help them price a home properly the first time, veteran broker Bill Coffey, Broker Manager of Amerivest Realty Naples, added that “When I was trained, they told us that 50 percent of our listings won’t sell because they are overpriced. But things look better today because REALTORS® are better trained and can provide more accurate market comparisons to sellers. As a result, sellers can make more informed decisions. 

Geographically, North Naples continues to be a shining star as the only coastal area in Collier County to report an increase in closed sales for May. Activity in the rural Ave Maria area has increased steadily over the last year; but in May, this area saw its single-family home closed sales skyrocket to 40 percent. 

“Inventory levels in other areas of the nation and Florida are very tight right now, but Naples is enjoying some renewed momentum in our inventory,” said Brenda Fioretti, Managing Broker at Berkshire Hathaway HomeServices Florida Realty. “When the market is good in other areas of the country, our home sales activity is driven up as out-of-staters relocate to the Naples area. I think we’ll see a very strong summer.” 

If you are looking to sell a home in Naples, contact a REALTOR® who has the experience and knowledge to provide an accurate market comparison so you can determine the right asking price. A REALTOR® can also ensure your next purchase in the Naples area is a success. Find out more at Naplesarea.com. 

The Naples Area Board of REALTORS® (NABOR®) is an established organization (Chartered in 1949) whose members have a positive and progressive impact on the Naples Community. NABOR® is a local board of REALTORS® and real estate professionals with a legacy of nearly 60 years serving 6,000 plus members. NABOR® is a member of the Florida Realtors and the National Association of REALTORS®, which is the largest association in the United States with more than 1.3 million members and over 1,400 local board of REALTORS® nationwide. NABOR® is structured to provide programs and services to its membership through various committees and the NABOR® Board of Directors, all of whose members are non-paid volunteers. 

Posted in Market Updates
June 25, 2018

April 2018 Naples Market Report

 

Inventory Keeping Spring Market Active

Naples, Fla. (May 25, 2018) – According to the April 2018 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), Collier County enjoys 7.76 months of inventory compared to a 4-month supply nationally. This is great news for Naples REALTORS® as they transition from a very busy high season to what broker analysts believe will be a very strong summer. 

“Summer buyers are going to be very happy this year because there will be plenty of choices,” said Mike Hughes, Vice President and General Manager for Downing-Frye Realty, Inc. “Inventory growth has been good across all price ranges and geographic territories.” 

According to Cindy Carroll, SRA, with the real estate appraisal and consultancy firm Carroll & Carroll, Inc., the rate of inventory loss is declining and she predicts the Collier housing market will become even more stable before the end of the year. Carroll considers a 12-month supply of inventory a stable market for Collier County. Nationally, a stable market is reflected as having a 6-months supply of inventory. 

Even though April’s inventory fell 2 percent to 5,793 from 5,920 in April 2017, it’s actually rebuilding from an annual low of 4,608 properties in inventory at the end of September 2017. 

“The reality is, the real estate market is doing much better this year than in 2017,” said Hughes, considering the 2018 statistics includes the period of time when Hurricane Irma stalled home sales activity for nearly six weeks starting in September (and as reflected in the 4Q 2017 Market Report). 

Condominium inventory grew 2 percent in April to 3,003 units, over half the entire market, from 2,934 units in April 2017. The $300,000 and below price category experienced the highest increase in inventory (7 percent) to 1,472 units from 1,378 units in April 2017. Pending and closed sales of condominiums in this low-end price category were also strong, with a 17 and 14 percent increase, respectively. Interestingly, the median closed price of condominiums in April dropped 8 percent to $271,000 from $296,000 in April 2017. 

“Sellers are pricing properties to sell and it shows,” said Adam Vellano, West Coast Sales Manager, BEX Realty – Florida. 

Carroll agreed and added, “The market for homes above $1 million is hot. If we can maintain current inventory trend levels – and I think we can – then sales of properties in this price point will be strong for at least a couple of years.” 

Overall closed sales increased 8 percent (month over month) in April to 978 properties from 902 properties in April 2017. And just like the first three months of the year, the high-end of the market continued to outpace other price categories tracked by NABOR® in April. As shown in the report, the number of closed sales of homes between $1 and $2 million increased 34 percent, while closed sales of homes over $2 million increased 15 percent in April. 

“Closed sales of single-family homes in April were up 11 percent with an increase in every price category except the $300,000 and below range, where there are only 300 single-family homes on the market,” said Brenda Fioretti, Managing Broker at Berkshire Hathaway HomeServices Florida Realty. 

The NABOR® April 2018 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. The NABOR® April 2018 sales statistics are presented in chart format, including these overall (single-family and condominium) findings: 

CATEGORIES April 2017 April 2018 CHANGE (percentage) Total homes under contract (pending sales) (month/month) 1,075 1,126 +5 Total closed sales (month/month) 902 978 +8 Median closed price (month/month) $355,000 $365,000 +3 Median closed price >$300K (month/month) $525,000 $525,000 0 Total active listings (inventory) 5,920 5,793 -2 Average days on market 97 95 -2 Single-family closed sales (month/month) 404 450 +11 Single-family median closed price (month/month) $419,000 $455,000 +9 Single-family inventory 2,986 2,790 -7 Condominium closed sales (month/month) 498 528 +6 Condominium median closed price (month/month) $296,000 $271,000 -8 Condominium inventory 2,934 3,003 +2 

Geographically, real estate activity was strong across the entire county, but closed sales of single-family homes in South Naples were most remarkable with a 51 percent increase to 62 closed sales in April 2018 from 41 in April 2017. 

“North Naples was also a shining star in April,” said Fioretti. “Even though inventory was down 8 percent in this geographic area, its year over year pending sales increased 9 percent, the highest of all geographic areas tracked. And its closed sales increased 13 percent year over year too.” 

April’s month over month activity was even more impressive in the North Naples area, as reflected in a 26 percent increase in closed sales. Similarly, the median closed price of condominiums in North Naples dropped 14 percent in April to $258,000 from $300,000 in April 2017. 

If you are looking to sell a home in Naples, contact a REALTOR® who has the experience and knowledge to provide an accurate market comparison so you can determine the right asking price. A REALTOR® can also ensure your next purchase in the Naples area is a success. Find out more at Naplesarea.com. 

The Naples Area Board of REALTORS® (NABOR®) is an established organization (Chartered in 1949) whose members have a positive and progressive impact on the Naples Community. NABOR® is a local board of REALTORS® and real estate professionals with a legacy of nearly 60 years serving 6,000 plus members. NABOR® is a member of the Florida Realtors and the National Association of REALTORS®, which is the largest association in the United States with more than 1.3 million members and over 1,400 local board of REALTORS® nationwide. NABOR® is structured to provide programs and services to its membership through various committees and the NABOR® Board of Directors, all of whose members are non-paid volunteers. 

Posted in Market Updates
April 14, 2018

1st QTR 2018 Naples Market Report

First Quarter Housing Market Activity 
Sets the Stage for Strong Year 
Naples, Fla.   (April 13 , 2018) - Sales of homes above $1 million in Naples during the first quarter of 2018 drove the market. Their sales increased 61 percent compared to the same quarter of 2017 according to the First Quarter 2018 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island).
 
"January's results led some to question expectations for the year when compared to last, yet in February the market gained its stride which accelerated in March with closed sales shooting ahead to end the first quarter on a very impressive note," said Budge Huskey, President, Premier Sotheby's International Realty. According to NABOR's monthly reports, January had 672 closed sales, February reported 672 closed sales, but March kept agents very busy with 942 closed sales, driven by a strong high end which included a number of new construction condominiums just delivered. 

Pending sales in the first quarter of 2018 increased 3 percent to 3,177 compared to 3,097 in the first quarter of 2017. Although pending sales for both single-family homes and condominiums over $1 million increased by double digits, it was the $2 million and above condominium market that raised eyebrows among brokers who reviewed the reports. 
 
"Tourism was up in our area this season compared to last year so it is not surprising that we would end with strong pending sales for the quarter," said Kathy Zorn, President/Owner, Better Homes and Gardens Real Estate Pristine. "But I wasn't expecting to see a 109 percent increase during the quarter in pending sales for condominiums over $2 million!" 
 
"There are very good investment opportunities in the condominium market, especially at both ends of the market," added Coco Amar, a managing broker at John R. Wood Properties. "The top and bottom price categories are where both the inventory has grown and the prices have dropped." 
 
As reflected in the market's year-ending statistics (12-months ending 1Q 2018 versus 12-months ending 1Q 2017), there was a 69 percent increase in closed sales of condominiums in the $2 million and above market, and a 17 percent decrease in its median closed price to $2,450,000 from $2,962,000 in 2017. Despite rocket sales in this high-end sector during the first quarter of 2018 (179 percent increase) and a drop in median closed prices for the first quarter (24 percent decrease), its inventory increased 5 percent! Similarly, median closed prices for condominiums in the $300,000 and below price category dropped 1 percent to $199,000 from $200,000 in the first quarter of 2017, but inventory increased 3 percent.
 
The NABOR® First Quarter 2018 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. The NABOR® First Quarter 2018 sales statistics are presented in chart format, including these overall (single-family and condominium) findings:  
CATEGORIES
Q1 2017 Q1 2018 CHANGE
Total homes under contract (pending sales) (quarter/quarter) 
3,097
3,177
+3%
Total closed sales (quarter/quarter)  2,205 2,306 +5%
Median closed price (quarter/quarter)  $330,000 $370,000 +12%
Median closed price >$300K  (quarter/quarter) $510,000 $575,000 +13%
Total active listings (inventory)  6,389 6,112 -4%
Average days on market   95 95 0%
Single-family closed sales (quarter/quarter)  1,059 1,050 -1%
Single-family median closed price (quarter/quarter)  $410,000 $448,000 +9%
Single-family inventory  3,236 2,964 -8%
Condominium closed sales (quarter/quarter) 1,146 1,256 +10%
Condominium median closed price (quarter/quarter)  $270,000 $299,000 +11%
Condominium inventory  3,154 3,148 0%
 
Broker experts analyzing the reports said most counties in Florida continue to see inventories decline, but the Naples area experienced a steady rise over the past few months. In fact, according to Jeff Jones, Managing Broker for Engel & Völkers Naples and Bonita Springs offices, there is currently 8.25 months of inventory available in Collier County. Months of inventory is a nationally accepted measurement of how fast all existing homes on the market would last assuming no additional listings are added and sales activity continues to remain the same as the previous 12 months of sales.
 
"There were 118 closed sales of condominiums between $1.4 million and just over $2 million in a new development located in North Naples during the last two months that impacted our median closed price statistics," said Wes Kunkle, President and Managing Broker at Kunkle International Realty. These "one-day-on-the-market" closed sales are one reason why the report showed a 13 percent increase in the median closed price for condominiums in the $1 to $2 million price category and a 24 percent decrease in median closed prices for condominiums in the $2 million and above price category. 
 
Kunkle, along with several brokers who reviewed the reports, is concerned sellers may misinterpret this statistical anomaly as a reflection of the area's comparable pricing activity. "These sales were for new luxury condos that were secured over a two year period. When the project obtained its final Certificate of Occupancy, the closings were finalized and they all appeared as a one-day sale in the MLS." 
 
However, this was not the only new construction activity that influenced NABOR®'s first quarter statistics. According to Jones, many sellers of speculative single-family homes that have been on the market for over two years in neighborhoods like Park Shore and the Moorings began to set more realistic list prices this past quarter, which resulted in more sales in the high-end, single-family home market. 
 
"Overpriced homes don't sell," said Jones. "In fact, I think sales during January and February could have been better had many of these sellers set their prices realistically earlier. It wasn't until March that I began to see an uptick in price decreases in the MLS for many of these speculative homes, and then those sellers saw multiple offers from buyers who had been holding out." 
 
If you are looking to sell a home in Naples, contact a Izabela Wright who has the experience and knowledge to provide an accurate market comparison so you can determine the right asking price. Izabela can also ensure your next purchase in the Naples area is a success. Find our more at Naplesarea.com. 
Posted in Market Updates
April 14, 2018

February 2018 Naples Market Report

February Market Report Shows High End Properties in High Demand

Naples, Fla. (March 16, 2018) – Buyer interest in homes over $1 million in Naples continued to climb during February as overall closed sales increased 10 percent to 672 homes sold compared to 613 homes sold in February 2017, according to the February 2018 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island).

The February Market Report revealed a 9 percent increase in the overall median closed price to $364,000 in February 2018 from $333,000 in February 2017. However, as identified by Bill Coffey, Broker Manager of Amerivest Realty Naples, this was due in part to a 95 percent increase in closed sales for properties priced over $1 million in February. In fact, the median closed price within each of the five price categories tracked by NABOR® actually decreased. The greatest decrease appeared in the $1 million to $2 million price category, which reflected a 12 percent drop to $1,326,000 from $1,500,000 in February 2017.

Inventory continued to rise for the fifth straight month, but it decreased in February by 3 percent to 6,286 properties compared to 6,466 properties in February 2017.

Overall pending sales in February decreased 3 percent, but it increased 14 percent in the $1 million and above price category and 39 percent in the $2 million and over price category. “I believe that the high end market is poised for a good year,” said Mike Hughes, Vice President and General Manager of Downing-Frye Realty, Inc. “The economy is doing much better. The stock market has risen substantially over the last year. All in all many Americans have seen their financial picture improve. This should translate to improved sales, particularly with the high-end market.”

“The new tax laws appear to be inspiring confidence in wealthy buyers,” said Kathy Zorn, broker/owner, Better Homes and Gardens Real Estate Pristine, who also pointed out that the February Market Report showed 44 of the 52 homes purchased in the $2 million price category were cash purchases.

Growth in the luxury home market in Naples is not just a seasonal phenomenon. According to Phil Wood, President & CEO of John R. Wood Properties, “The 12-month rolling numbers are remarkable for properties above $1 million, especially in the condominium market where the data shows a 60 percent increase in closed sales over the last 12 months.”

The NABOR® February 2018 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. The NABOR® February 2018 sales statistics are presented in chart format, including these overall (single-family and condominium) findings:

CATEGORIES

Feb 2017

Feb 2018

CHANGE (percentage)

Total homes under contract (pending sales) (month/month)

page2image3646418576

1,092

page2image3646418864

1,056

page2image3748729408

-3

Total closed sales (month/month)

613

672

+10

Median closed price (month/month)

page2image3748807152

$333,000

page2image3748810448

$364,000

page2image3748812400

+9

Median closed price >$300K (month/month)

$488,000

page2image3748823328

$570,000

page2image3748825504

+17

page2image3748829312

Total active listings (inventory)

6,466

6,286

-3

Average days on market

page2image3748845760

99

page2image3748848528

96

page2image3748851216

-3

Single-family closed sales (month/month)

page2image3748859280

294

page2image3748861136
page2image3748865024

298

page2image3748866608
page2image3748868928

+1

page2image3748867152

Single-family median closed price (month/month)

$402,000

$472,000

+17

Single-family inventory

3,259

3,050

-6

Condominium closed sales (month/month)

page2image3748899408

319

page2image3748901264
page2image3748905152

374

page2image3748906736
page2image3748909056

+17

page2image3748907344

Condominium median closed price (month/month)

$270,000

$275,000

+2

Condominium inventory

page2image3748929872

3,207

page2image3748926560
page2image3748930352

3,236

page2image3747771120
page2image3747772288

+1

page2image3747773952

The February report showed a 6 percent increase in inventory for condominiums in the $300,000 and below market. This was the highest increase reported among all price categories and home types. Interestingly, this segment’s median closed price dropped 2 percent in February (month over month) to $200,000 from $205,000 in February 2017.

Geographically, sales activity in the Naples Beach single-family homes market outpaced all other areas. Increased buyer interest in luxury properties located in this highly valued location resulted in a 33 percent uptick in closed sales, yet the heightened attention also influenced median closed prices, which rose 52 percent in February to $1,350,000 from $860,000 in February 2017.

Coincidentally, similar to an unusual closed sales anomaly in January that was reported last month, a high number of delayed closed sales in one luxury condominium located in North Naples influenced February’s closed sales, median closed price, and days on market statistics for the month. As reflected in the report, there were 56 closed sales of condominiums above $1 million in the North Naples area in February (a 211 percent increase over February 2017). A great majority of them were identified as having zero days on market, which broker analysts contend were from one particular condominium’s sales activity.

If you are looking to sell a home in Naples, contact a Izabela Wright, who has the experience and knowledge to provide an accurate market comparison so you can determine the right asking price. Izabela can also ensure your next purchase in the Naples area is a success. Find our more at Naplesarea.com.

Posted in Market Updates
March 10, 2018

Luxury Market Surges in January

Naples, Fla.  (February 26, 2018) - Unlike national figures for home sales in January which, according to the National Association of Realtors®, dropped 4.8 percent compared to sales in January 2017, home sales in Collier County rose 11 percent in January to 671 home sales in January 2018 from 603 home sales in January 2017. In fact, closed sales of luxury properties (homes above $1 million) were quite remarkable in January with a 123 percent increase over the number of closed sales of luxury properties in January 2017, according to the January 2018 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island).
"Thank goodness for the luxury properties for sale; they are driving the market," said Bill Coffey, Broker Manager of Amerivest Realty Naples, who added, "Pending sales of homes priced above $1 million increased 67 percent in January compared to last year." 
 
Broker analysts reviewing the report agreed that many of the high-end speculative homes that had been on the market for over two years, especially in desirable locations like the Naples Beach area, were sold in January. 
 
Dominic Pallini, Broker at Vanderbilt Realty said, "An increase in motivated sellers is demonstrated by January's overall pending sales, which increased 11 percent."
 
"I think we had a lot of pent up demand from wealthy buyers who waited to see how the new tax laws would affect them," said Jeff Jones, Managing Broker for Engel  & Völkers'  Naples and Bonita Springs offices. "Once they understood the law, they obviously felt confident in making a big purchasing decision." 
 
As such, January's median closed price decreased 19 percent in the $2 million and above price category. For the entire market, the overall median closed price increased 19 percent in January.
 
"The storm blew in a lot of business," remarked Mike Hughes, Vice President and General Manager for Downing-Frye Realty, Inc. , who  added, "I believe that some buyers who would have purchased in the fourth quarter of 2017 delayed their decision until the first quarter of 2018. It looks like we are off to a good start this year with respect to sales." 
 
Overall median prices in January decreased for homes up to $1 million compared to last year. For example, median closed prices for properties in the $300,000 and below price category decreased 6 percent in January to $205,000 from $219,000 in January 2017. 
 
"For a long time we saw double digit increases in median closed prices for single-family homes in the $300,000 and below market," said Cindy Carroll, SRA of Carroll & Carroll Appraisers and Consultants LLC. "But for January, the report showed only a 4 percent increase [year over year (or a 5 percent increase month over month)]."
Overall inventory in Collier County decreased 5 percent in January to 6,071 homes from 6,393 homes in January 2017. However, inventory has been on the rise over the past few months and while the nation continues to experience declining inventory levels that resulted in a 3.4 months supply for January, the Naples area market is seeing its inventory levels increase to 8.2 months of inventory for January. 
 
However, the report also showed a 21 percent decline in inventory for single-family homes in the Naples Beach area, which Carroll says can be attributed to a rush of speculative homes sales in that area.
 
The NABOR® January 2018 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. The NABOR® January 2018 sales statistics are presented in chart format, including these overall (single-family and condominium) findings: 
CATEGORIES
Jan 2017 Jan 2018 CHANGE
Total homes under contract (pending sales) (month/month) 
924
1,030
11%
Total closed sales (month/month)  603 671 11%
Median closed price (month/month)  $314,000 $375,000 19%
Median closed price >$300K  (month/month) $485,000 $646,000 33%
Total active listings (inventory)  6,393 6,071 -5%
Average days on market   91 91 0
Single-family closed sales (month/month)  284 280 -1%
Single-family median closed price (month/month)  $397,000 $430,000 8%
Single-family inventory  3,219 2,961 -8%
Condominium closed sales (month/month) 319 391 23%
Condominium median closed price (month/month)  $265,000 $320,000 21%
Condominium inventory  3,174 3,110 -2%
 
According to Carroll, the South Naples (34112, 34113) and East Naples (34114, 34117, 34120, 34137) single-family home markets continued to see the strongest increases in value in January, as reflected in 8 and 9 percent increases in median closed prices, respectively. 
 
Interestingly, and as confirmed by several broker analysts reviewing the January report, an unusual closed sales anomaly transpired in January that, while impacting figures for the month, does not influence the market's activity trend on a 12-month ending basis.
 
Basically, and as explained by Hughes, "A newly constructed luxury high rise condominium in North Naples delayed the closings for 79 of its units that were previously pending until January. This in turn, influenced NABOR ® 's closed sales, median closed price, and days on market statistics for the month." 
 
As reflected in the report, there were 150 closed sales of condominiums in the North Naples area in January (a 150 percent increase over January 2017). By the same token, because the 79 condominiums sold between $1.8 million and $2.5 million, the median closed price in this geographic area increased by 428 percent. The data also showed 0 days on the market for the 79 units. The closings were apparently postponed as a result of the hurricane disruption and not completed until January.
 
"This type of anomaly is why it's best for REALTORS ® to also review the 12-months ending data that accompanies each monthly report," said Brenda Fioretti, Managing Broker at Berkshire Hathaway HomeServices Florida Realty . "We feel a long-view of the statistics reflects the market's true behavior better and will help REALTORS ® educate both buyers and sellers on how the market is really performing." 
Posted in Market Updates
Jan. 23, 2018

Naples 2017 Year End Real Estate Market Report

Home sales increased 4 percent in 2017 and the median closed price increased 3 percent, according to the Year End 2017 Market Report released by the Naples Area Board of REALTORS® (NABOR®). The report also showed heightened activity in the high-end market, with closed sales of homes in the $2 million and above price category skyrocketing 20 percent in 2017.

“Real estate sales are based on many economic factors,” said a local Broker. “In 2017, we saw above average employment rates, low inflation, record stock market activity, and increased consumer confidence. Looking into 2018, there are additional reasons for buyers to be optimistic including new tax cuts on the horizon and continued growth of their investment portfolios.”

Another Local Broker agrees and also points to the unusually frigid weather in northern states recently, which he says will encourage more people to head south and buy homes. “Now is a great time to diversify and invest in property because there’s still plenty of inventory and prices have remained stable.”

This may not always be the case as indicated by Cindy Carroll, SRA of Carroll & Carroll Appraisers and Consultants LLC, who advises real estate agents to start watching closely for pockets that may soon show an increase in value. “Overall we had a solid year, but there are hints that change is coming with opportunities for increasing values in market sectors with tightening inventories.” Pending sales during the 3rd Quarter increased 5 percent (12-months ending August 2017), while pending sales at the end of the 4th Quarter increased 2 percent (12-months ending December 31, 2017). “We can only imagine how much more activity the statistics would reflect if the market had not been shut down for nearly five weeks because of a major hurricane in 2017.”

The year-end report showed a 4 percent increase in closed sales to 8,815 in 2017 compared to 8,510 in 2016. Many brokers think, 4 percent growth is great considering we had a hurricane and we lost over a month of real estate activity.

“Between December of 2015 and December of 2016, overall market inventory increased 54 percent; between December of 2016 and December of 2017 overall inventory has decreased 11 percent. The single family and condominium markets are well positioned with about 7.5 months of supply in each,” said Carroll.

Properties priced below $300,000 experienced the fewest days on market in 2017. Some broker analysts reported that they saw many of these properties go from list to close in less than 10 days. Inventory continued to struggle in the low end of the market making options difficult for buyers looking for single-family homes in this price range. In fact, 1,265 of the 1,554 available properties in the $300,000 and below price category were condominiums.

“The shining star in 2017 was condominiums in the $1 to $2 million price category,” said Brenda Fioretti, Managing Broker at Berkshire Hathaway HomeServices Florida Realty. “This category had a 28 percent increase in pending sales and a 14 percent increase in closed sales.”

Geographically, condominiums in North Naples were the biggest sellers in 2017. Closed sales in this neighborhood increased 17 percent, while pending sales increased 15 percent.

How homes are purchased continued to shift in 2017 with an increase in conventional sales (properties with a mortgage). “Only 54 percent of home sales in Naples were cash buys in 2017 compared to 69 percent in 2013. Many factors play into this trend including the fact that we have more end users and fewer investors. Also, a buyer’s ability to lock in a low interest rate allows them to continue to enjoy the high performing stock market, which had a 25 percent increase in 2017.”

Before you sell your home, I would be honored to provide you with guidance as I know the local market and can help you price your property correctly. I can also locate properties that match your buyer needs and negotiate a purchase price that reflects the current market.

Sincerely,
Izabela Wright

Posted in Market Updates
Jan. 13, 2018

Naples Housing Market Returns to Normal

Naples, Fla. (December 15, 2017) – Home sales in the Naples area increased 3 percent in November year over year, according to the November 2017 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island). The report also showed heightened activity in the single-family home market in November where sales of properties priced above $300,000 increased by double digits. Local brokers analyzing the Market Report said they were pleased with the high-end market’s closed sales activity in November, which experienced a 21 percent increase in single-family home sales and a 22 percent increase in condominium sales in the $2 million and above price category.

“November was a good month for both buyers and sellers,” said Lauren U. Melo, PA, a Licensed Real Estate Broker with Florida’s Realty Specialists. “Sellers are pricing homes to sell and there were 521 homes sold in the month of November despite the effects of Hurricane Irma. This is only 51 fewer homes than sold in November 2016.”

These observations were also recognized by the Vice President and General Manager for Downing-Frye Realty, Inc., Mike Hughes, who said, “Buyers and sellers have good reason to be confident as there are many positives on both sides of the fence. Sellers should get their properties on the market now and buyers should move quickly as multiple offers could occur as a result of the tight inventory.”

The November Market Report showed the overall median closed price rose 9 percent to $330,000 compared to $303,000 in November 2016, and overall pending sales in November increased 2 percent to 728 compared to 713 last year. More impressively, pending sales for homes valued at $1 to $2 million increased by 30 percent in November to 61 from 47 last November.

“There were 116 cash transactions for properties below $300,000 in November,” said Melo. “This was higher than expected and may indicate the return of investors to the market.”

The report also showed that a 12 percent decrease in single-family inventory during November led to a subsequent 9 percent increase in the market value of single-family homes. The Naples Beach area saw a 28 percent increase in its median closed price to $975,000 from $762,000 in November 2016.

“The luxury market has gone wild,” said Phil Wood, President & CEO of John R. Wood Properties. “November had a 63 percent increase in pending sales for single-family homes over $1 million. This is a clear indication that high-end buyers continue to find Naples a desirable location for investment.”

The NABOR® November 2017 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. The NABOR® November 2017 sales statistics are presented in chart format, including these overall (single-family and condominium) findings:

CATEGORIES November 2016 November 2017 CHANGE (percentage) Total homes under contract (pending sales) (month/month) 713 728 +2 Total closed sales (month/month) 572 521 -9 Median closed price (month/month) $303,000 $330,000 +9 Median closed price >$300K (month/month) $519,000 $482,000 -7 Total active listings (inventory) 5,733 5,322 -7 Average days on market 88 101 +15 Single-family closed sales (month/month) 268 271 +1 Single-family median closed price (month/month) $397,000 $433,000 +9 Single-family inventory 2,971 2,606 -12 Condominium closed sales (month/month) 304 250 -18 Condominium median closed price (month/month) $251,000 $250,000 0 Condominium inventory 2,762 2,716 -2

As pointed out by Cindy Carroll, SRA, with the real estate appraisal and consultancy firm Carroll & Carroll, Inc., the November report showed a high concentration of condominiums available in the $300,000 and below price category (1,228). “Even though they appear to be a more affordable option, condominiums often have obstacles during the buying process like 55 and older age restrictions or high annual fees.”

Despite these challenges and a 2 percent decrease in inventory in November, condominiums in both the $300,000 and below and the $2 million and above price categories saw inventory rise by 4 percent.

Geographically, sales activity for single-family homes in the North Naples market is heating up as evidenced in the 21 percent increase in pending sales during November. Also hot are condominiums in the Naples Beach area, which saw an 11 percent increase in pending sales during November.

According to Dominic Pallini, Broker at Vanderbilt Realty, “The tax reform proposals coming out of Washington, D.C., appear to present negative tax consequences for many people living in states with high state income tax burdens. This may make relocation to Florida even more attractive in 2018, especially to the wealthy since Florida does not impose an individual income tax.”

Before you sell your home, seek guidance from a Naples REALTOR® who knows the local market and can help you price your property correctly. A REALTOR® can also locate properties that match buyer needs and negotiate a purchase price that reflects the current market. Discover more at www.naplesarea.com.

The Naples Area Board of REALTORS® (NABOR®) is an established organization (Chartered in 1949) whose members have a positive and progressive impact on the Naples Community. NABOR® is a local board of REALTORS® and real estate professionals with a legacy of nearly 60 years serving 6,000 plus members. NABOR® is a member of the Florida Realtors and the National Association of REALTORS®, which is the largest association in the United States with more than 1.3 million members and over 1,400 local board of REALTORS® nationwide. NABOR® is structured to provide programs and services to its membership through various committees and the NABOR® Board of Directors, all of whose members are non-paid volunteers.

The term REALTOR® is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribe to its strict Code of Ethics.

Posted in Market Updates
Jan. 11, 2018

Shopping & Nightlife in Naples

 

1: Mercato

 

The beautiful weather in Naples allows us to enjoy shopping, and dining outdoors nearly year-round. Mercato Naples is no exception. This shopping area becomes a hub of activity during season. Whether you come for lunch, happy hour, or dinner, you will find hustle and bustle abound. The center is home to residential spaces housed above the shops and restaurants, for the privileged few who can afford them. There is a high-end movie theater, Silver Spot, showing the latest movies and allowing you to dine and watch.

The real highlight of Mercato is the variety of dining options. There are currently 22 places to dine including frozen yogurt shops, bars, sit-down restaurants, and fast casual dining spots.

 

2: 5th Ave. South

 

5th Avenue South is an irresistible mix of glamour and laid-back ease. Historic and modern architecture blend together here in eclectic sophistication, while tropical blooms and lush greenery grace the pedestrian-friendly promenades, and each storefront is filled with wonderful finds and delights.

One of the nation’s most exclusive addresses, 5th Avenue South stretches from Tamiami Trail to the Gulf of Mexico in Old Naples, and is home to upscale fashion and jewelry, spas, one-of-a-kind gifts, artwork, home décor, fine dining, and entertainment – everything that our discerning residents and visitors have come to expect of Naples

 

3: Waterside Shops

 

Shopping as an art form. From the moment you hand your keys to the valet and enter Waterside Shops your senses pique to discover something new. The sounds of water fountains, the sight of beautiful sculptures and architectural elements, and the scent of thousands of flowering tropical plants create an irresistible allure. Naples’ premier shopping destination is a luxurious environment befitting the boutique shops of Tiffany & Co., Louis Vuitton, Gucci and more. Here, shopping becomes an inviting experience that reflects the contemporary and sophisticated style of Naples. Stately royal palms grace the entryways and burst of color spill from enormous decorative bases that represent the 12 months of the year with delicately painted images. A series of hand-crafted crystals cubes beam a colorful solar system pattern from their perch in one of five water fountains throughout Waterside Shops. A hand-laid stone wall curves through the center, dotted by scuppers splashing water into brilliant blue tiled pools.

Glass-lined bridges carry shoppers conveniently across the waters to their desired stores. Seating areas allow you to relax and enjoy the Florida climate as well as the shopping and dining experience of Waterside Shops. Twilight turns on towering lights to shine leafy vine-like patterns everywhere. The dramatic look to the architecture, landscaping and water activity in the evenings serves as an ideal backdrop for continued dining and shopping, or even the backdrop for a memorable charitable event, making it a perfect way to see your desires elevated at Waterside Shops.

 

4: 3rd Street South

 

Third Street South, the birthplace of Naples, lies two blocks from the 19th Century Naples Pier, the beaches of the Gulf of Mexico and is surrounded by the colorful original beach cottages and lovely houses of Old Naples. The sophisticated and delightful shops, the renowned fine restaurants and bistros, and the courtyards and antique fountains all await—amidst the lush colorful cascading flowers and green landscaping of historic Third Street South.

Find Whatever Is On Your Mind.

Posted in Lifestyle