Naples First Quarter Housing Market Summary
The trends evident as 2021 progressed – persistent demand meeting lower inventory leading to fewer sales at higher prices – continued into Q1 2022. As always, caution should be exercised when looking at small numbers of transactions. Also note that the percentage changes are from Q1 2021 – in most cases the change since Q4 2021 is less dramatic. Following the table, which shows numbers for each of the 5 areas of Naples, are definitions of the different property types in Southwest Florida.
Naples Housing Market – onwards and upwards
The March 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 that March was the highest performing month in the 13 years NABOR has tracked these metrics.
Sellers are raising prices and multiple offers are still coming in,” said Budge Huskey, CEO, Premier Sotheby’s International Realty. “This is because inventory is limited, and more sellers are realizing now is a good time to place their home on the market and get top value in the current market conditions!”
Broker analysts predict the level of demand experienced in March is sustainable and should be expected to continue for the next few months, or longer. “Season was disrupted this year because many people elected to hold off relocating until they were fully vaccinated,” added Huskey. “Agents also report that many seasonal visitors are staying longer than in previous years, possibly because they can afford to wait in anticipation of more homes becoming available in the luxury market. I believe we’ll continue to see more newcomers from northern states looking for homes in the high end in the coming months. Beyond that, and as we enter the summer season, we might begin to see a second wave of international buyers entering our market as travel restrictions begin to relax.”
Median closed prices in March increased 12.2 percent to $415,000 (the highest median price increase month/month on record since 2008) from $370,000 in March 2020. In March 2021, there were just 1,819 homes in inventory (the lowest it has been since 2014), which was a 73.2 percent decrease from 6,795 homes in inventory in March 2020.
The March report revealed that the Naples area now has only a 1.6 month supply of homes available to buyers
The following charts give a visual summary of market activity: (more…)
It’s 80 degrees in Florida…
In this weekend’s Wall Street Journal, Peggy Noonan wrote:
“In the past year the owners of great businesses found how much can be done remotely.
They hadn’t known that!
They hadn’t had to find out.
They don’t have to pay that killer rent for office space anymore.
People think it will all snap back when the pandemic is fully over but no, a human habit broke; a new way of operating has begun. People will come back to office life to some degree, maybe a significant one; not everything can be done remotely; people want to gather, make friends, instill a sense of mission; but it will never be what it was.
The Partnership for New York City reports 300,000 residents of high-income neighborhoods have filed change-of-address forms with the U.S. Postal Service. You know where they are going: to lower-tax and no-income-tax states.
A recent report suggested that 850 people per day will move to Florida for the next 5 years as they seek “the weather, lifestyle and tax benefits” offered by Florida.
The housing market is on fire in Southwest Florida, although I like to point out that “low” inventory in Florida is a bit like a “cold” spell: it’s all relative.
Last May I published Goodbye Boston, Hello Marblehead which contained these predictions:
– People, especially families with young children, will look to move out of Boston and to towns like Marblehead with great schools, open spaces, history – and ocean
– The demand for open floor plans will give way to the desire for separate rooms. after families get bored of listening to everybody else’s Zoom calls, online classes, etc. etc.
– The perceived negative of Marblehead that commuting into Boston is a challenge (one which residents happily overcome) will diminish as more people work remotely at least some of the time.
– Did I mention the ocean?
The median price of the Single Family Homes sold in Marblehead spiked from $678,500 in the first half of 2020 (which was down a fraction from 2019) to $839,900, driven by a combination of buyers fleeing cities and ‘Headers even more reluctant than usual to sell and leave town.
What started as a movement on health grounds has developed – and in my opinion will continue to develop – into a secular trend of people moving to more hospitable surroundings – whether for weather, lifestyle of taxes – or all three.
Just yesterday I spoke to a woman in Naples who said she and her husband were thinking of selling their house in Massachusetts and living full-time in Florida – and they are not alone.
Another consequence of this trend is that, as people decide to spend more time in Florida, to work in Florida, and perhaps to make Florida their main residence, so the demand for Single Family Homes and Villas will increase as people seek more space and more independence from their neighbours than they have in their current Condo.
While I still maintain my market research in Massachusetts and work with Dick McKinley and Matt Dolan of Team Harborside in buying and selling properties there, I have also activated my Florida license with Domain Realty, whose offices in Naples, Bonita Springs and Fort Myers generated $440 million of sales in 2020.
I am in the process of populating my Florida database website (www.OliverReportsFL.com) while AndrewOliverRealtor.com allows you to search any town or community in Southwest Florida and set up alerts, and Oliver Reports Florida on Facebook, is the page that will get my updates on the market here and other Florida news.
But…. the market is hot right now (and next year seems likely to see even more demand as the Canadians and Europeans return) so please contact me – or refer me to a friend – and I will help you in your search for a home – or a bigger home – in Paradise.
Andrew Oliver
Sales Associate | Market Analyst | DomainRealty.com
REALTOR®
Naples, Bonita Springs and Fort Myers
[email protected]
m. 617.834.8205
www.AndrewOliverRealtor.com
www.MarbleheadSouth.com
Market Analyst | Team Harborside | teamharborside.com
Sagan Harborside Sotheby’s International Realty
One Essex Street | Marblehead, MA 01945
www.OliverReportsMA.com
[email protected]
Sotheby’s International Realty® is a registered trademark licensed to Sotheby’s International Realty Affiliates LLC. Each Office Is Independently Owned and Operated
Shaq sells his Florida mansion – at last!
According to Mansion Global,” retired NBA star Shaquille O’Neal has finally scored a buyer on his Windermere, Florida, megamansion—one of the largest homes for sale in the Sunshine State.”
A listing for the 31,000-square-foot waterfront home, which comes with a full-sized indoor basketball court and a 17-plus car showroom, was updated Friday to say the sale was pending.
The Mediterranean-inspired contemporary home sprawls across a four-acre property within the Isleworth Golf and Country Club and has 12 bedrooms and 15 bathrooms.
Like many other parts of Florida, Orange County—where Windermere is located—saw a banner 2020, as many home buyers, spurred by the Covid-19 pandemic and record-low mortgage rates, entered the market.
The final sale price won’t be public until the home closes, but the megamansion was last asking $16.5 million, about 40% less than its original $28 million asking price.
Andrew Oliver
Sales Agent
REALTOR®
Domain Realty
Naples, Bonita Springs and Fort Myers
www.domainrealty.com
Market Analyst | Team Harborside | teamharborside.com
Sagan Harborside Sotheby’s International Realty
One Essex Street | Marblehead, MA 01945
m 617.834.8205
www.OliverReports.com
[email protected]
Is Tom Brady staying in Florida?
As we Patriots’ fans find ourselves watching the play-offs this year from a position of curiosity rather than passion, we can I hope root for “Patriots South”, aka the Tampa Bay Bucs, home of Tom Brady and Gronk.
Following on from his “you won’t catch me dead living in the Northeast anymore” comment, Brady and Giselle have made moves in real estate which seem to support this statement.
According to this New York Post article Tom and Giselle list NYC mansion, they have sold their Tribeca apartment (which I believe is not a walk-up) for close to $40 million, although they are retaining a smaller unit in the same building.
Recent Comments