According to the Naples Area Board of Realtors report, sales in Collier worsened in January compared to last year’s. Days on the market, consequently, recorded a drop. This has been the yearly routine with pending sales dropping from 1,103 to 847, in January, a 23 percent drop. Closed sales, on the other hand, were down from 654 to 571, an 11 percent drop.
While closed sales decreased in all regions, they rose 8 percent in North Naples from 159 to 171. Pending sales fell, too, decreased in all regions except for Marco Island. NABOR doesn’t cover this region of Collier County.
Fioretti attributed average days on the market drop to warmer weather experienced up north. This probably didn’t favor buyers down south. Therefore, leading to a significant 14 percent drop from 87 to 75.
Compared to prior year, Naples real estate prices recorded an 8 percent rise from $315,000 to a median of $340,000. This continued rise in home prices is in spite of the slowdown in sales. Prices rose suddenly by 21 percent in the under-$300,000 price range from $180,000 to $217,000, as has been the case for months. Condominium prices recorded a slight increase of 5 percent from $265,000 to $278,000. Most importantly, Single-family homes prices rose from $372,000 to $425,000, a 14 percent and the biggest increase in home prices.
One of the main reasons behind the continued rapid increase in prices is lack of inventory, particularly in the under-$300,000 price point, Fioretti said. But thankfully, NABOR reported an ease for the overall market supply shortages, a 13 percent up ease from 4,515 to 5,091.
Bonita Springs-Estero Association of Realtors reported an almost similar story, a case study for South Lee County. In January still, town houses and condominiums saw a 4 percent fall from 51 to 49. Closed sales for the same fell 19 percent from 75 to 61. Closed sales for single-family homes dropped 10 percent from 68 to 61. In addition, pending sales were down 11 percent from 112 to 100.
In the opposite, the median single-family home prices increased by 11 percent from $397,500 to $442,000. Town house and condominium price rose by 13.5 percent from $245,000 to $278,000.
Moreover, town houses and condominiums saw a 5 percent ease in tight supply from 414 to 395. An 11 percent rise in inventory from 489 to 541 also saw tight supply ease for single-family homes. The pace of sales, however, varied noticeably for single-family homes against condominiums and homes.
As might be expected in any typical slowing market, market days for single-family homes rose surprisingly; a 31 percent rise from 35 to 46. Multi-family homes saw a 28 percent drop from 43 to 31. Phil Wood also noted an increase in inventory since last January. The Equity Realty in Naples stated that the nearly 600 homes equated to 6.1 months of inventory. Increase in inventory improves buyer opportunities.
Sellers failed to factor in the abundance of new construction in certain sections of the market in recent months, Michael Burke explained. The BEAR president noted that this is most probably the one big reason why sales were reducing and supply increasing. The former NABOR president, Pat Pitocchi, on his part was more concerned about the economy and home buying enthusiasm in Collier County that has been trending for many months, and dampened it. Buyers have a variety of options now compared to last year.