By Robert Nardi
According to the February 2025 Market Report by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), inventory increased 35.8 percent to 7,320 properties from 5,389 properties in February 2024. Overall closed sales decreased 9.5 percent to 584 closed sales in February 2025 from 645 closed sales in February 2024, but it increased 6 percent compared to closed sales reported in January 2025 (511 closed sales). Although the overall median closed price in February increased 4 percent to $650,000 from $625,000 in February 2024, the report also showed sellers taking action to stay competitive, with 2,883 price decreases reported during the month to contend with the growing number of properties on the market. However, February’s inventory was far from the 12,000 properties we had during March 2007.
The lax lending standards that ultimately led to many foreclosures and short sales in 2007 are not occurring in 2025. Today’s seller is better positioned than a seller in 2007 because most have built substantial home equity. If you bought a home before the pandemic, you’re in a perfect position if you decide to sell today. Prices are not rising at an alarming rate anymore, and sales in 2025 have slowed slightly.
The February report shows the overall median closed price for properties in Naples increased 4 percent, but the median closed price for single-family homes in Central Naples [34104, 34105, 34116] decreased 28.7 percent. Conversely, the median closed price of single-family homes in the Naples Beach zip codes (34102, 34103, 34108) increased 82.2 percent. This increase was more likely due to selling a few very high-priced properties that created statistical disparity than actual organic price expansion. Similarly, the median closed price of condominiums decreased by .4 percent in February; however, in Ave Maria, the median closed price of condominiums increased by 13.4 percent.
The NABOR® February 2025 Market Report compares single-family home and condominium sales (via Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. NABOR® sales statistics are in a chart format; CLICK HERE.
In analyzing east and west coast Florida housing statistics, the Naples market is performing much better than other markets in Florida, like Sarasota and Palm Beach. New listings in February barely decreased (.1 percent) to 1,710 new listings from 1,711 new ones in February 2024. The added competition means sellers must be ready to meet the demand by asking prices that fit today’s market. During February, sellers were getting an average of 94.8 percent of their asking price. Of those buyers in February, 76.9 percent paid for the purchase in cash.
What does this all mean?
We have 11+ months of sales inventory. Therefore, buyers have more to choose from. I have one buyer and have shown over 30 condominiums, too. My buyer is looking for the “perfect condo.” In the past, buyers did not have the luxury or the time to be so selective. If one met 95% of their needs, they would put an offer on it. However, with the amount of inventory and the pace at which new inventory is coming on the market, some buyers wait to see “what else may come their way.” They hope to get a bullseye, 100% of what they seek.
Some reasons inventory is increasing are economic disruptions with the stock market, the amount of inventory there is no urgency to buy, and the exodus of our friends and neighbors, the Canadians. Many of them have decided to live full-time in Canada. Fortunately for them, it is a great time to sell their homes. Currently, 1.00 U.S. Dollar is worth 1.40 Canadian Dollar. By selling, they are increasing their net by 40%.
Our “Season” is almost over …
We had fewer renters this year, which equates to fewer people and less demand for purchasing property. People have swarmed Southwest Florida for years for its beautiful beaches, warmth, and beauty. It was truly a haven during COVID. No one wanted to leave. Now, people have choices, and this “season,” some have chosen different areas like Arizona, Hawaii, or Palm Springs to winter. We are getting an uptick in calls for rentals for 2026. Maybe vacationing in other areas made them realize there is “no place like home.” If you are thinking of Southwest Florida again, please call our office at 239-213-1616, and we will have one of our rental administrators assist you.
If you are considering buying or selling, please call me at 239-293-3592. I am here to help.
I am wishing everyone a very Happy & Healthy Spring!