By Robert Nardi
In November, pre-season buyers descended on the Naples real estate market, pushing the area's overall inventory down 76.1 percent to 1,198 homes from 5,006 in November 2020. During November, demand for the Naples lifestyle also influenced the median closed price, which increased 31.3 percent to $499,000 from $380,000 in November 2020. The November 2021 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), shows demand has not weened. Brokers predict buyer demand to continue as homeowners in Northern states seek lifestyles with fewer COVID-19 restrictions and international buyers seek investments in the U.S. real estate market.
REALTORS® across the Naples area are working harder than ever to find homes for clients. There were 31,291 showings in November and a 70 percent decrease in days on the market. It went from 80 days to 24 days until pending. Although the overall median closed price continued to rise due to a tight inventory in November, please note that in the last 12-months ending November 2021 – 57 percent of closed sales in Naples were for homes priced below $500,000. New listings in November fell 22.9 percent to 958 homes from 1,242 in November 2020. In addition, the median closed price for condominiums in November was $375,000 compared to $622,000 for single-family homes. Condominium inventory decreased 85 percent during November compared to a 65 percent decrease in single-family home inventory.
The NABOR® November 2021 Market Report compares 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( CLICK HERE ) for those of you who like statistics.
What does this all mean?
Our inventory continues to decline, and demand continues to be high. Therefore, it will continue to be a Sellers' market in 2022. Even with today's prices, we are undervalued compared to other coastal areas. If you look at prices on the west coast in California or Boston on the east coast, their prices are far higher than ours. In addition, Naples, Florida continues to be attractive to many northerners, foreign investors, and even fellow Floridians from the east coast. The east coast exploded in the past few years. The number of high rises, noise levels, and traffic over there is driving east coasters to our "Paradise Coast."
If you are a Seller, especially a condominium owner, it is a great time to sell. Sales of condominiums continue to ascend because of price points vs. higher-priced single-family homes. Price point and affordability are bolstering the condominium market.
If you are 55 plus in age and are thinking of moving into independent living or an assisted living facility, it is a great time to sell too! Sales prices are up, and most senior facilities are for "rent" or "own." The rental facilities seem to be competitive, and you might be able to negotiate a better rental price for yourself. As far as owning, these facilities tend to be a better value based on sales price, because of the number of fees you pay to be in such a facility. By selling in this higher market, it will give you an opportunity to put a few more dollars in your pocket which will assist with your move and other expenses along the way.
When buying, you should enlist the help of a REALTOR® to maneuver all the ins and outs of the current housing market in Southwest Florida. As a Buyer, you cannot go it alone anymore if you want to find and purchase a property. You need someone on your side who has a expert knowledge of the buyer process, our sales contract and who has good negotiation skills to “win” against the competition.
I am wishing everyone a very Happy & Healthy New Year!