Inventory decreased for the second consecutive month and prices continued to remain stable in April, setting into motion a burst in end-of-season sales for homes in the market's sweet spot - the $300,000 to $500,000 price category. Activity in that price category for both single-family and condominium homes in the resale market continued to outpace all other price categories during the month of April. While overall closed sales for the month decreased 5 percent, closed sales for homes in the sweet spot saw a 14 percent increase.

April showed a 41 percent increase in pending sales for homes in the $2 million and above price category. There were 10 sales over $5 million in April. This was a good sign we had a very strong season. April's activity sets us up for a good summer.

Overall inventory in April increased 8 percent to 5,920 homes in April 2017 from 5,480 homes in April 2016. Most notable was a remarkable 35 percent increase in the $2 million and above condominium inventory for April. However, April's inventory decreased by 470 homes from March's level, which was 6,390 homes.

Homes that are unrealistically priced influenced April's average days on market, which showed an increase of 35 percent to 97 days in April 2017 from 72 days in April 2016.

Prices overall have remained relatively flat over the last year. Only the homes in the $300,000 and below price category increased in median closed price in the 12-months ending April 2017 from $207,000 to $219,000. There were actually minor decreases in all other price categories above $300,000.

The last frontier of growth is eastern Collier County where buyers seeking single-family homes have more affordable options. This area, which includes 34114, 34117, 34120 and 34137, saw a 17 percent increase in closed sales to 122 single-family home closed sales in April 2017 from 104 single-family home closed sales in April 2016.

The NABOR® April 2017 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. The NABOR® April 2017 sales statistics are presented in chart format, including these overall (single-family and condominium) findings: 

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April 2016

April 2017

CHANGE

Total homes under contract (pending sales)

1,084

1,075

-1%

Total closed sales

947

902

-5%

Median closed price

$325,000

$355,000

9%

Median closed price >$300K

$559,000

$525,000

-6%

Total active listings (inventory)

5,480

5,920

8%

Average days on market 

72

97

35%

Single-family closed sales

429

404

-6%

Single-family median closed price

$434,000

$419,000

-3%

Single-family inventory

2,877

2,986

4%

Condominium closed sales

512

498

-3%

Condominium median closed price

$262,000

$296,000

13%

Condominium inventory

2,597

2,934

13%

 

Financing has become more complex in the last year and may be one reason the days on market have increased. For the 902 homes that closed in April 2017, the majority (65.3 percent) were cash sales and only 34.7 percent were conventional (financed) sales, a statistic that signifies the seasonal wealth factor. 

If you are in the market to buy or sell your home in Naples Florida, visit www.NaplesPropertyPreview.com or call me direct at 239-821-2370.