Naples Real Estate Market Watch August 2017
Tidbits
Inventory is down, price paid is up.
“We hit two milestones in August,” said Mike Hughes, General Manager for Downing-Frye Realty, Inc. “We now have over 2,000 closings for the year, and we hit the one billion dollar mark in closed sales volume… [read more]
Will 2017 be the Top in Ten?
Despite the month-to-month ups and downs in sales activity, 2017 may just break the 10-year high water mark set in 2014.
COMBINED INVENTORY – Naples, Bonita/Estero
Inventory falling, still but primed for the upswing… – The combined inventory seasonal downward trend continues to what I now believe will be the low point for 2017.
The total number of active listings on the market at the end of August 2017 was 6110 (prox.) compared to 6,414 (prox.) in July.
The combined markets exhibit five months worth of inventory. This is the lowest it has been since October 2015. This will likely change as inventory begins to come online in September.
CLOSED SALES – Naples, Bonita/Estero
Sales volume Down… – Following strong summer months May, June, July, and August finally took summer vacation with less than 1,000 combined sales or ~27% off the mark from July.
The Naples market as well as the Bonita/Estero market mirrored the combined results closely.
NAPLES REAL ESTATE
AVERAGE PRICE PAID
Up… – Naples overall average price paid was up ~3% month-over-month and up a whopping 22% year-over-year. Single-family homes improved, again, by another 7% while condominiums pulled back, again, about 6% month-over-month.
The average price paid for a single-family home was $713,000 compared to $664,000 in the prior month and $367,000 for a condominium compared to $391,000 in the prior month. The overall average price paid for all property types was $567,000 compared to $552,000.
Your mileage may vary… real estate is local and in southwest Florida it is very local where any given community can be dramatically affected by factors that may not follow the averages and trends at all.
MEDIAN SALE PRICE
(The number where 50% of the homes sell above and below.)
Up… – The overall median price paid for a property was up month-over-month and year-over-year 3%. The median price paid is a much better indicator than average price as it tells buyer’s appetite for spending. One large or small sale can skew the average where the median indicates the midpoint of buying activity.
The median price paid for a single-family home was $415,000 from $381,000 the previous month, and the median price for a condominium was $244,000 from $235,000. The overall median price paid for all property types was $325,000 compared to $315,000 the previous month.
BONITA SPRINGS REAL ESTATE and ESTERO REAL ESTATE
AVERAGE PRICE PAID
Up … – The overall average price paid for a property in the Bonita/Estero market was up ~10% month-over-month and up ~18% year-over-year. Single-family homes led the way with higher prices paid while condominiums suffered.
The average price paid for a single-family home was $521,000 compared to $431,000 and $236,000 for a condominium from $282,000. The overall average price paid for a property was $389,000 from $355,000 the previous month.
Your mileage may vary… real estate is local and in southwest Florida it is very local where any given community can be dramatically affected by factors that may not follow the averages at all.
MEDIAN SALE PRICE
(The number where 50% of the homes sell above and below.)
Up… – The overall median price paid for a property in the Bonita/Estero market was up month-over-month and up year-over-year 3% and 2% respectively.
The median price paid for a single-family home is now at $372,000 compared to $359,000 and for a condominium $205,000 compared to $235,000 the previous month. The overall median price paid for a property was $290,000 compared to $282,000.
The median price paid is a much better indicator than average price as it tells buyer’s appetite for spending. One large or small sale can skew the average where the median indicates the midpoint of buying activity.
