Choosing Corey to find the right real estate fit for us was the right decision

St. Raphael in Pelican Bay – “Choosing Corey to find the right real estate fit for us was the right decision. He listened to us from the beginning and did not waste time on “also rans”. His knowledge of the Real Estate market, construction experience, and competence, were invaluable to us in allowing him to negotiate for the property he found for us in Naples. I will certainly use Corey’s expertise and representation in any real estate transaction that I embark on in the future. I highly recommend him to others with any real estate transactions on their agenda.”

D&L from North Carolina

 

Naples Housing Market Sees Summer Sales Surge

Naples, Florida (August 21, 2020) – The Naples housing real estate market experienced a continued surge in activity during July, which resulted in a 57.3 percent increase in pending sales (homes under contract) for the month. Closed sales during July increased 35.4 percent compared to July 2019 – greatly surpassing June’s closed sales activity following the lifting of COVID-19 restrictions. However, a decreasing supply of inventory, which broker analysts believe is caused by heightened home buying interest this summer, is making it difficult to keep up with the strong buyer demand.

 

A considerable number of buyers already looked at homes during season [January and February], prior to COVID-19 restrictions,” said NABOR® President Lauren Melo, “They watched and waited during those months of restrictions and are now back to buy a home this summer.”

 

The tapestry of out-of-state license plates on local roads may be an unfamiliar summer sight to local residents, but according to broker analysts reviewing the July 2020 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), these visitors are here to do more than just golf and visit the beach this summer.

 

Real Estate Sight Unseen Purchases

There were 15,634 showings during July, less than half the number of showings during June (36,912), yet pending sales increased which indicates that properties were purchased virtually, sight unseen. July’s pending sales spiked to 1,446 pending sales in July 2020 from 919 pending sales in July 2019.

Overall inventory decreased 28.8 percent in July to 4,390 properties from 6,168 properties in July 2019. However, many sellers were not hesitant about entering or staying in the market this summer. A steady rise in consumer confidence resulted in 1,193 new listings added to the overall inventory during July (a 21.7 percent increase compared to July 2019). Of those 1,193 new listings, 572 were single-family homes and 621 were condominiums. The report also showed fewer homes were terminated/expired/withdrawn from the MLS in July (599) compared to June (1,677).

The majority of sales that resulted in the 35.4 percent increase in overall closed sales during July occurred in the single-family home market, which saw a 42.8 percent increase in closed sales compared to a 27.3 percent increase reported in the condominium market. Concern over the pandemic has compelled many people to spend the majority of their time indoors, at home. As a result, buyers are looking for single-family homes that offer more personal space, and more space to work from home and home-school children. They want their own backyard, their own private pool, and private garages that single-family homes offer.

 

Thinking About Selling Your Home?

For those who are considering selling, now is a good time to jump in the market to take advantage of the high demand for Naples property, according to broker analysts. Plus, with fewer homes on the market for buyers to purchase, this may be the time for your house to stand out from the crowd with less competition and more eyes on your property.

While the overall median closed price for July increased 13.5 percent to $368,750 from $325,000 in July 2019, the report also showed there were 829 properties that reduced their list prices during July. It appears sellers re-calibrated their pricing and/or were striking new deals.

The report showed closed sales of properties priced above $500,000 increased over 50 percent in July, with the $500,000 to $1 million price category reporting the highest increase (99.1 percent) to 223 closed sales in July 2020 from 112 closed sales in July 2019.

 

Single-family home inventory dropped 38.7 percent in July to 1,957 homes,” remarked Melo. “This is the lowest it’s been since October 2015. But even at this level, Naples has 4.5 months of supply in the single-family home sector.”

 

Cash Still King

In comparison, Naples had 5.2 months of supply in the single-family homes sector in June, which was much higher than Florida Realtors® statewide reported June single-family home figure – 2.8 months of supply. Even though interest rates on mortgages remain low, 43 percent of July’s closed sales were cash sales.

 

If you are looking to buy or sell a home in Naples contact 30+ year veteran Realtor Corey Cabral at (239) 963-6590 or via email through our online contact form.

 

Downing Frye Realty Summer Market Report

DOWNING FRYE REALTY INC.
Mike Hughes, Broker

Against all odds, we have had an incredible summer for real estate sales to date. In looking at the cumulative pending real estate sales for June and July this year, compared to last year, here are some statistics to ponder.

Our pending sales volume is UP 71% this summer over last summer, for the first two months of summer. In the first 61 days of the 2019 summer, we had $181 million in pending sales volume. For the same period this summer ( 2020 ), we have had $310 million in pending sales volume.

All price ranges have fared better this summer than last summer with respect to pending sales transactions.

Our pending sales transactions are UP 33% going from 432 pending sales last summer ( first 61 days of summer ) to 576 pending sales transactions this summer ( first 61 days of summer ).

Let’s look at pending sales transactions by price range for the first 61 days of summer:

  • Below $250,000 – Up slightly
  • $250,000 – $500,000 – UP 37%
  • $500,000 – $750,000 – UP 130%
  • $750,000 – $1,000,000 – UP 18%
  • Above $1,000,000 – UP 120%

The high end market had 25 pending sales for June and July 2019. This summer, we have had 55 pending sales in the high end market ( above $1,000,000 ).

Now, for the agents that are going after new listings, let’s take a look at our Downing-Frye listing inventory:

  • At the end of 2019 ( 12/31/19 ), Downing-Frye Realty had 1,006 listings. Remember that number.

We have had 1,513 closed transactional sides for the first seven months of 2020. Despite all of these closings, we currently have 1,010 listings at 7/31/20!

In other words, we have slightly more inventory now than we had at 12/31/19 despite having a pretty strong year for sales. Another way to look at this is that the listings are coming in almost at the same pace as our closings. For those owners that pulled their property off the market when the pandemic hit, they are really missing a great summer for sales activity.

Our closings will lag a bit as many of the pending sales for June and July have not closed yet.

Single family sales continue to be very desirable. Condo sales are doing fine.

There are several reasons for this activity in the summer. We are attracting buyers from the Northeast. This is due to the pandemic ( particularly in the major cities ) and the civil unrest. The low density of housing in our area has been noticed.

The new trend of working remotely has caused people to look at their housing options. If you can work remotely, why not consider living in a more desirable environment?

The pandemic has chased many east coast Floridians over to Naples on the west coast. While they are visiting some have turned into buyers.

 

If you are looking to buy or sell a home in Naples contact 30+ year veteran Realtor Corey Cabral at (239) 963-6590 or via email through our online contact form.

 

June 2020 Naples Real Estate Market Activity Report

June Market Activity Sets the Stage for Strong Summer Sales

According to the June 2020 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), pending sales (homes under contract) increased 61.3 percent compared to June 2019, with single-family homes being the home choice for a majority of buyers. Broker analysts reviewing the report also noted that new listings during June increased 25.8 percent compared to June 2019, which indicates growing consumer confidence for both sellers and buyers leading into the summer Naples real estate market.

We are in the middle of a rising pandemic and the pending sales are pouring into the company. Our July pending sales are UP 57% ( # of transactions ) over last July for the first 23 days of the month!

For the first twenty three days of July 2019, Downing Frye Realty had 138 pending sales. The company currently has 217 pending sales with another week left in the month. Incredible.

We have a number of contributing factors coming into play. People are fleeing the big cities, particularly in the northeast. The pandemic has also caused people to look at low density areas. We also have a lot of east coast Floridians looking at the west coast of Florida. Many people in the country are working remotely and rethinking where they want to live if they continue to work remotely. Regardless of the reason, I am appreciative of how fortunate we are to be in a business that is weathering the pandemic.

The everlasting desirability of the Naples real estate market was undeniable in June, especially in the single-family home market where pending sales increased 83.9 percent to 835 pending sales from 454 pending sales in June 2019. Pending sales of condominiums during June increased 38.7 percent to 634 pending sales from 457 pending sales in June 2019.

Before the pandemic, the number of closed sales of single-family homes and condominiums was about equal each month; but the June Market Report revealed a shift in buyer preference to single family homes compared to June 2019, as closed sales of single-family homes and villas increased 2.9 percent to 498, while closed sales in the condominium market decreased 12.8 percent to 383. This trend could be attributed to buyers wanting a larger home with more space to accommodate working from and sheltering at home.

Inventory decreased 27.6 percent to 4,739 homes in June from 6,547 homes in June 2019. The majority of this depletion was reported in the single-family home market, which decreased 34.5 percent, while the condominium market had a decrease in inventory of 20.3 percent. The report also showed the largest drop in inventory occurred in the $300,000 to $500,000 single family home market, which decreased 47.7 percent in June compared to June 2019.

As a result of heightened buyer demand, the median closed price increased 8.2 percent to $357,000 in June from $330,000 in June 2019. Bill Coffey, Broker Manager of Amerivest Realty Naples, remarked,

“The overall median closed price increased in June because the luxury market is hot this summer, and the level of demand is driving up the prices, particularly in the $1 million and above market.”

The NABOR® June 2020 Market Reports provide comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. NABOR® sales statistics are presented in chart format, including these overall (single-family and condominium) findings:

 

CATEGORIES
May 2019
May 2020
CHANGE
Total closed sales (month/month)
923 881 -4.6%
Total pending sales (homes under contract) (month/month) 911 1,469 +61.3%
Median closed price (month/month)
$330,000 $357,000 +8.2%
Total active listings (inventory)
6,547 4,739 -27.6%
Average days on market
104 96 -7.7%
Single-family closed sales (month/month)
484 498
-2.9%
Single-family median closed price (month/month)
$398,450 $437,500 +9.8%
Single-family inventory
3,382 2,215 -34.5%
Condominium closed sales (month/month)
439 383 -12.8%
Condominium median closed price (month/month)
$265,000 $270,000 +1.9%
Condominium inventory
3,165 2,524 -20.3%

 

Despite a decrease in overall inventory for June, the report showed geographic areas where new listings grew including the Naples Beach area (34102, 34013, 34018), which added 260 new properties to its inventory compared to 159 new property listings added during June 2019. But supply is simply not keeping up with demand as overall inventory for the Naples Beach area decreased 16.1 percent.

If you are looking to buy or sell a home in Naples contact 30+ year veteran Realtor Corey Cabral at (239) 963-6590 or via email through our online contact form.

Heightened Buyer Demand Influences Naples Real Estate Market

Naples, Florida. (June 19, 2020) – REALTORS® kept busy in May as pent-up demand for home buying resulted in a remarkable spike in buyer interest. As a result, showings in May increased 244 percent compared to showings in April.

As remarkable, showings in May outpaced showings a year ago, which increased 5.5 percent compared to May 2019. According to the May 2020 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), broker analysts reviewing the report found the data reflected the everlasting desirability of the Naples real estate market, even during the COVID-19 outbreak.

The Naples real estate market is extremely resilient as the report shows pending sales in May increased 90 percent compared to pending sales in April.

Buyers have seen inventory in the Naples area continues to decline. This shrinking inventory led to modest price increases in the single-family home market during May, which saw a 31.8 percent decrease in inventory and 3.7 percent increase in median closed prices compared to May 2019.

We have a 5.8-months’ supply of single-family homes in Naples. If a Buyer sees a home that works for them they should not hesitate to buy it.

The NABOR® May 2020 Market Reports provide comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. NABOR® sales statistics are presented in chart format, including these overall (single-family and condominium) findings:

 

CATEGORIES
May 2019
May 2020
CHANGE
Total closed sales (month/month)
1,188 599 -49.6%
Total pending sales (homes under contract) (month/month) 1,218 1,167 -4.2%
Median closed price (month/month)
$354,450 $333,000 -6.1%
Total active listings (inventory)
7,023 5,116 -27.2%
Average days on market
107 91 -15%
Single-family closed sales (month/month)
595 314
-47.2%
Single-family median closed price (month/month)
$410,000 $425,000 +3.7%
Single-family inventory
3,608 2,461 -31.8%
Condominium closed sales (month/month)
593 285 -51.9%
Condominium median closed price (month/month)
$270,000 $260,000 -3.7%
Condominium inventory
3,415 2,655 -22.3%

 

Historically, some sellers in Naples take their homes off the market after season, and May inventory and pending sales activity always reflected this behavior. However, COVID-19 left many sellers uncertain about the real estate market. With the quarantine recommendations in place, fewer sellers listed homes during May. Despite an inventory drop, pent-up demand unleashed a new set of buyers in May, which changed history. May’s pending sales activity, a measure of signed contracts and not closings, increased 90 percent compared to April 2020, despite tight supply.

Heightened buyer demand is also evident in the number of Days on Market for May as reflected in a decrease of 15 percent to 91 days on market compared to May 2019, which reported 107 days on market.

There was a significant number of high-end pending sales in May. The stock market has come back from a low of 18,000 in late March to over 25,000 at the end of May. The impact of the stock market rebound renewed consumer confidence in May with a certain percentage of wealthy individuals looking to diversify their portfolio and invest in real estate again.

If you are looking to buy or sell a home in Naples contact 30+ year veteran Realtor Corey Cabral at (239) 963-6590 or via email through our online contact form.

Naples Real Estate Market April Report

April Report Shows Naples Real Estate Market Held Its Value During Pandemic

Naples, Florida (May 22, 2020) – Coronavirus slowed real estate market activity in April as expected during Florida’s safe-at-home restrictions. According to the April 2020 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 decreased 28.6 percent to 838 closed sales compared to 1,173 closed sales in April 2019. Inventory decreased as well in April by 29.1 percent to 5,394 homes compared to 7,605 homes in April 2019. The April report also confirms home values remain intact.

To encourage a safe path to home ownership, NABOR® implemented three new actions in April to assist members as they conduct business during the COVID-19 pandemic:

  1. NABOR® lobbied state and local governments to successfully recognize real estate services as an essential service, in accordance with the U.S. Department of Homeland Security;
  2. NABOR® created a COVID-19 addendum and amendment to sales contracts to protect buyers and sellers;
  3. NABOR® trained members on new COVID-19 related services including virtual open house tours, COVID-19 stimulus relief package benefits, and new lender requirements.

Our priority is the safety of Naples residents and our members, as we all continue to practice socially responsible distancing while we conduct business during this health crisis,” said NABOR® President Lauren Melo. “With the assistance of technology, creativity, and cooperation, real estate professionals are successfully completing transactions.

Median closed prices increased .3 percent in April to $340,000 from $339,000 in April 2019. Although there were slightly fewer price decreases in April than in March, still 1,654 or 31 percent of all listed properties experienced reductions in their offering price during April.

The good news is that – even during a pandemic – Naples home values are being maintained. The report shows April’s overall percent of current list price received increased .5 percent. This figure represents what the buyer paid for their home compared to the seller’s listed sale price. In April, the contract price averaged 95.9 percent of list price. In comparison, during April 2019, the contract price averaged 95.4 percent of list price. This statistic demonstrates that homes in the Naples area did not lose their values during April, the worst month of the pandemic to date.

Like many essential service businesses, REALTORS® in Naples focused on implementing new strategies and modifying their business models during April to comply with self-distancing practices and accommodate for the welfare and safety of their staff, clients and the community.

As people were urged to stay home in April, showings decreased to 9,420 from 22,862 in April 2019 (does not include virtual showings). As a result, pending sales in April decreased 53.6 percent, as was expected.

Given the amount of uncertainty right now, agents are quickly adding our special coronavirus addendum to new and existing contracts to provide some breathing room for delays in this fast-changing environment.

The NABOR® April 2020 Market Reports provide comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. NABOR® sales statistics are presented in chart format, including these overall (single-family and condominium) findings:

 

CATEGORIES
Apr 2019
Apr 2020
CHANGE
Total closed sales (month/month)
1,173 838 -28.6%
Total pending sales (homes under contract) (month/month) 1,322 613 -53.6%
Median closed price (month/month)
$339,000 $340,000 +0.3%
Total active listings (inventory)
7,605 5,394 -29.1%
Average days on market
98 87 -11.2%
Single-family closed sales (month/month)
510 409
-19.8%
Single-family median closed price (month/month)
$464,500 $429,500 -7.5%
Single-family inventory
3,850 2,639 -31.5%
Condominium closed sales (month/month)
663 429 -35.3%
Condominium median closed price (month/month)
$272,500 $270,000 -0.9%
Condominium inventory
3,755 2,755 -26.6%

 

The fact that REALTORS® were able to process over 800 closed sales during a month when most of the world was on lockdown is a testament to our market’s desirability and how real estate professionals are quickly adapting and conducting business in new ways. REALTORS® are helping their customers buy and sell homes through this crisis.”

Not all geographic areas in Collier County reported a decrease in closed sales during April. Single family home sales in East Naples (34114, 34117, 34120, 34137) during April increased 7.2 percent.

Broker analysts reviewing the April Market Report are optimistic that activity in the Naples area real estate market will resume momentum in the coming months (barring a return to April’s restrictions). If you’re a seller who took your home off the market in April because you feared social distancing would prevent a sale, consider relisting your home in May. You could attract an eager buyer. Property values are holding steady with price increases in two price categories reported in April (i.e., the $300,000 and below price category and the $2 million and above price category reported median closed price increases in April). And the overall list to sales price has remained steady at about 95 percent (for April 2019 compared to April 2020).

If you are looking to buy or sell a home in Naples contact 30+ year veteran Realtor Corey Cabral at (239) 963-6590 or via email through our online contact form.

Real estate consultant Corey Cabral is the best!

When we were considering the purchase of a new golf community home in Naples Florida in Fall 2018, good friends, who had recently worked with Corey to buy their new home in Naples , highly recommended him.

His knowledge of the Naples home market, his sometimes brutal honesty and his integrity , his extensive background in construction, and his ability to keep us on-track facilitated our search.

We had not bought a house in 25 years so we needed all the information we could get. Corey helped us look beyond other people’s style and furnishings to see the beauty and value of the basic home.

We live in upstate NY and Corey kept us up to date on what was on the market, via computer. His guidance was invaluable. We traveled to FL four times over six months and looked at many homes. When we finally found what we wanted in a golf course estate section of Pelican Marsh, his advice and price-negotiating skills saved us thousands of dollars. All our contractual procedures and our closing went smoothly, thanks to Corey’s network of professionals. He recommended a contractor to do our renovations and we are thrilled with the contractor’s visions and work.

Corey has become a trusted friend we can rely on for advice and guidance, even after our closing. He always has our best interests at heart. He has gone above and beyond in all aspects of our dealings and we cannot thank him enough for all he has done.

We highly recommend him for all your real estate needs.

Trudy and John Potter

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 1Q 2017 1Q 2018 CHANGE (percentage) 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.”

Naples Area November 2017 Market Report

Naples, Fla. (November 17, 2017) – The evidence that a hurricane hit the Naples area in September became less visible in October because residents were quick to address damages to their property and our county and utility service providers worked overtime to get the area back to normal as quickly as possible. The Naples area housing market finished on a positive note in October with closed sales increasing 1 percent over last October, according to the October 2017 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island). October’s housing market activity was better than NABOR® expected.
 
October could have been better, but it did pretty well given the fact that we had no historic perspective of how the market would behave after a hurricane, Even though overall pending sales decreased 11 percent in October, some pockets of the market saw really good activity during the month. The drop in pending sales is most likely because many homes damaged by the hurricane are in need of repair before they can go back on the market.”
 
There were 57 closed sales of high-end, luxury properties priced above $1 million in October, a 36 percent increase over October 2016. Yet closed sales of properties priced below $300,000 dropped 12 percent, a loss of just 32 sales compared to October 2016. Also reflected in the October report, closed sales for single-family homes priced between $1-$2 million increased 50 percent in October, while closed sales of condominiums priced between $300,000-$500,000 increased 26 percent.
 
A lull in inventory following the hurricane was predicted by broker panelists at NABOR®’s Third Quarter Market Conference. Their prediction was spot on as the October report shows an 8 percent decrease in inventory, or about 400 fewer homes available compared to October 2016 levels.
 
Tradesmen and construction supplies are in high demand right now,”Reports of roofing companies and carpenters being booked several months out with hurricane repair jobs puts things in perspective when you look at our inventory. Homebuyers want move-in ready homes, and these delayed listings of homes needing repairs will create a higher demand for inventory moving into season.”
 
Inventory increased on the high and low end of the condominium market in October. While the report showed no increase or decrease in inventory overall, there were an additional 76 condominiums (a 7 percent increase) added to the $300,000 and below market in October, and 10 condominiums (a 10 percent increase) were added to the $2 million and above market.
 
Median closed prices in the single-family home market increased to $425,000 (13 percent) in October, while median closed prices in the condominium market increased to $250,000 (4 percent). Interestingly, the median closed price for condominiums in the $2 million and above price category dropped 42 percent in October to $2,545,000, while the median closed price for single-family homes in the same price category increased 22 percent to $2,237,000.
 
Evidence of bracket creep can be seen in the lower end of the market where some homes once priced below $300,000 have moved into the $300,000-$500,000 price category. “This may also account for some of the lost inventory in the $300,000 and below single-family home market, where demand has always been higher.”
 
The NABOR® October 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® October 2017 sales statistics are presented in chart format, including these overall (single-family and condominium) findings: 

2017-market-report
 
Compared to closed sales in September, which dropped 30 percent month over month, October’s 1percent increase in closed sales is an indication that we recovered rather quickly from the hurricane, and buyer interest in our market is still very strong. 
 
If the hurricane hadn’t happened and the market had kept the same pace as it did last September and October, we would have seen 400 more sales and been on track for a 6 percent increase in total closed sales year-to-date.

Market Shows Resilience at the End of Third Quarter

Naples, Fla. (October 27, 2017) – The Naples area housing market maintained positive traction during the Third Quarter of 2017 despite enduring a hurricane that impeded activity for three weeks in September. According to the September 2017 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which track home listings and sales within Collier County (excluding Marco Island), there were 398 closed sales during the month of September, a 30 percent decrease compared to September 2016.

September proved challenging for the real estate market as homeowners and agents were forced to wait while public and utility services rebuilt or repaired infrastructure damaged by the hurricane. This was reflected in statistics released for September, which affected total outcomes for the Third Quarter of 2017. However, year-to-date numbers tell a different story as activity in pending, closed and median price categories were up year over year at the end of the quarter!

“To withstand a hurricane and still outperform last year’s activity is a clear sign of market resilience,” said Budge Huskey, President, Premier Sotheby’s International Realty. Broker analysts who reviewed both reports agreed that our county’s hurricane building code standards and quality craftsmanship by local builders helped to greatly reduce the amount of major structural damage in the area.

“The hurricane hit us in the right month,” said Mike Hughes, Vice President and General Manager for Downing-Frye Realty, Inc., who went on to explain that September is typically when the housing market takes a breath before it begins to intensify again. Yet despite a direct hit by a major hurricane, overall closed sales for the third quarter increased 3 percent (year over year). Not surprisingly, the storm’s short-term impact on the housing market in September only tempered sales slightly in the third quarter by 5 percent (quarter over quarter), which translated to just 86 fewer closed sales than in the third quarter of 2016.

Hughes added that activity in July and August outperformed the same months last year. If the hurricane had not hit the area in September, the third quarter of 2017 would have shown much more impressive activity.

“A 55 percent decrease in pending sales for September is equivalent to three weeks of inactivity,” said Coco Amar, a managing broker at John R. Wood Properties. “These sales didn’t disappear, they are just delayed.”

“That’s true. Our office saw more closings in the first week of October than it did for the entire month of September,” said Bill Coffey, Broker Manager of Amerivest Realty Naples.

The hurricane’s force slowed inventory in September, which resulted in a third quarter decrease of 9 percent. Jeff Jones, Managing Broker at the Naples-Park Shore office of Coldwell Banker® said this was most likely a result of homeowners either delaying to list because they evacuated or removing a listing because they needed time to clean up and make minor repairs to properties following the storm.

“The hurricane created big concerns and delays from banks too,” said Jones. “Most lenders are requiring re-inspections and re-appraisals of properties after the hurricane.”

One element the hurricane failed to harm was the continued growth in property value for Naples. Overall median closed prices in the third quarter of 2017 increased 3 percent to $320,000 compared to $312,000 in the third quarter of 2016.

“The integrity of our real estate market has been renewed now that it survived a direct hit from a major storm like Hurricane Irma,” said Lauren Melo, PA, Licensed Real Estate Broker with Florida’s Realty Specialists, adding, “Even homes built over 50 years ago withstood damage. Our survival actually strengthened buyer confidence.”

The NABOR® Third Quarter 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® Third Quarter 2017 sales statistics are presented in chart format, including these overall (single-family and condominium) findings:

CATEGORIES 3Q 2016 3Q 2017 CHANGE (percentage) Total homes under contract (pending sales) (quarter/quarter) 1,952 1,675 -14 Total homes under contract (pending sales) (year/year) 9,045 9,146 +1 Total closed sales (quarter/quarter) 1,889 1,803 -5 Total closed sales (year/year) 8,627 8,885 +3 Median closed price (quarter/quarter) $312,000 $320,000 +3 Median closed price (year/year) $318,000 $329,000 +3 Median closed price >$300K (quarter/quarter) $485,000 $498,000 +3 Median closed price >$300K (year/year) $525,000 $512,000 -2 Total active listings (inventory) 5,044 4,608 -9 Average days on market 86 99 +15 Single-family closed sales (quarter/quarter) 1,001 927 -7 Single-family median closed price (quarter/quarter) $382,000 $418,000 +9 Single-family inventory 2,669 2,314 -13 Condominium closed sales (quarter/quarter) 888 876 -1 Condominium median closed price (quarter/quarter) $241,000 $248,000 +3 Condominium inventory 2,375 2,294 -3

“Fortunately, media in most of the core areas where our buyers come from didn’t overhype the storm, which helped obscure fears,” said Cindy Carroll, SRA, with the real estate appraisal and consultancy firm Carroll & Carroll, Inc. “This is going to be a very good history lesson for us because the hurricane hit during a time of stable market activity. By January though, I think our brush with Irma will be forgotten.”

Carroll added that sales of existing homes are poised to increase in the coming months too because much of the labor force stepped away from new construction to work for companies that provide a variety of property maintenance, including tree removal and lawn debris cleanup.

Wes Kunkel, President and Managing Broker at Kunkle International Realty, added that material costs for new construction may increase too as there will be shortages across the country due to the hurricanes and fires. Carroll responded that delays in new home construction might spur increases in existing home values, especially if inventory does not keep up with the pace of sales.

The NABOR® September 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® September 2017 sales statistics are presented in chart format, including these overall (single-family and condominium) findings:

CATEGORIES September 2016 September 2017 CHANGE (percentage) Total homes under contract (pending sales) 661 299 -55 Total closed sales 566 398 -30 Median closed price (month/month) $318,000 $310,000 -3 Median closed price >$300K (month/month) $452,000 $492,000 +9 Total active listings (inventory) 5,044 4,608 -9 Average days on market 92 96 +4 Single-family closed sales 301 173 -43 Single-family median closed price (month/month) $378,000 $448,000 +19 Single-family inventory 2,669 2,314 -13 Condominium closed sales 265 225 -15 Condominium median closed price (month/month) $245,000 $238,000 -3 Condominium inventory 2,375 2,294 -3

Compared to other tropical second-home destinations like Puerto Rico, the Southwest Florida housing market fared quite well after it faced a hurricane. Broker analysts including Hughes and Kunkel beelieve our area may see an uptick in sales from buyers who had their eyes set on an island home in the Caribbean.

“For discrete and professional service, please call us to schedule a private viewing of any one of these Marco Island listings.”

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