Naples Real Estate 3rd Quarter Update
I know I’ve been saying this a lot lately, but so has just about everyone else I know…”2012 is flying by!” ~Here it is, already October 1st, and I can’t believe I am doing research for the Naples Real Estate 3rd quarter sales report…oh my. There is quite a bit to report, and as always, I will try to keep it as concise as possible. One thing in particular that truly stands out as I prepare to post this blog is the lack of quality inventory in just about every market segment. Although housing [which I believe is the foundation of a healthy economy] continues to be the rare shining bright spot out there; without good, quality, saleable listings we cannot feel too good going into the upcoming selling season. That is the challenge that most of my colleagues are facing. Prices have indeed leveled out, and in many cases, especially due to the lack of inventory, they’re even edging up–The 3rd quarter in many areas in Naples matched prices last seen in the 2003 season. But, if we don’t have something to sell the buyers will likely go elsewhere. I am concerned. We are getting a promising sign from the closely watched S&P Case-Shiller national home price index which marked the 3rd straight month in a row with prices up in all 20 markets that they follow. Also, mortgage rates again last week fell to record levels. The 30 year fixed rate is at 3.49% from 3.55% the previous week, and the 15 year fixed is at 2.77%. Potential home buyers still have to qualify with the tighter restrictions. With nearly 75% of the closings in Naples being cash sales, the lower interest rates don’t effect us as much as they do in other areas of the country, or even the state for that matter. The investors, which are still, if they can find a bargain, scooping up some of the best values; and the lower rates are helping them when they finance. I think the person who has lived in a home for a few years and can refinance now is probably best served by today’s low rates.
Presently there are a total of 4,882 Active residential listings in the Naples MLS. Of those only 279 are short sales, and 210 of those are priced below $300,000. Those numbers are way down when compared to a year ago. On a side note, in all of Naples only 8 properties are short sales listed above $1 million! The Naples Luxury Housing Market is rebounding, as is seen with the number of closed sales year-to-date in this upper price point.
Let me share with you a few facts:
*As of this writing there are a Total of 4,882 Active Residential Listings in Naples. However, there have been 7,021 closed sales year-to-date. This is approximately a 6 month supply. A balanced market would have a 12 month supply. This is a clear illustration of the lack of inventory we are experiencing.
A total of 1,941 active single family homes and 3,286 closed year-to-date. Currently there are 500 single family homes for sale in Naples priced below $300,000. However, YTD there have been 1,923 homes sell in this price point.
Presently there are 3,735 Active condos in the Naples inventory, and 2,941 closed condos YTD.
There are 304 condos for sale listed at or above $1 million, and 226 closed YTD. Similarly, there are 521 single family homes for sale in Naples, and a total of 349 closed sales in the over $1 million range YTD.
There are 52 single family homes for sale in downtown Naples, referred to as NA 06 in the MLS, this encompasses Old Naples from South Golf Drive south to approximately 14th Avenue South, bordered on the west by the Gulf of Mexico, and the east by US 41. In this geographic area YTD there have been 63 Closed Sales. 20 of the 63 Closed Sales have been homes priced below $1 million. Current inventory only has 4 homes presently listed below $1 million!
The same scenario in the waterfront segment. When searching for single family homes for sale on the water with “direct access’ [no bridges], there are presently 28 that show up in MLS in all NA areas priced below $1 million. Only 6 are in the 34102 zip code! A total of 61 closed single family homes with direct access have closed YTD. Let me repeat that: 28 active listings, 61 closed sales YTD priced below $1 million!
As always, I would be happy to do a custom search for you based on your specifications. Every neighborhood has its own trends and data relative to inventory and closed sales. I’ve just reported the tip of the iceberg. The Harris Peppe Team is gearing up for season and planning our upcoming marketing strategies. If you are considering putting your property on the market it could be worth more than you realize. We would like to be considered if you are interviewing. Please allow us to do a no-obligation market analysis to help determine the value of your home or condo. Even if you are not thinking about selling, we would be happy to perform this service for you. I think everyone should have an update of what their home is worth in today’s ever changing market. Call us at 239.370.0574, or contact us directly via our award winning website at NaplesRealEstate.com or email me at The Naples Real Estate Blogger.
Thank you for your time. Make it a great day!
The Naples Real Estate Blogger
*All information and data is derived from SunshineMLS and is believed to be true.