A year ago, my blog included a post entitled “The Market Is On Fire!” And indeed, 2012, could be described as a year in which the Naples luxury real estate market bounced back.

 

2013 hasn’t disappointed us! In fact, the market thus far has continued to be strong. Last month, the Naples Area Board of Realtors noted that our market may shift to a “seller’s market” with a steady trend toward increased pricing and lower inventories.

 

The latest market statistics show March 2013 median home prices up 17% over March 2012. First quarter pricing shows a median closed price up a tremendous 24% over the first quarter of 2012. The current median home price is now positioned at the highest point since April 2009. 

 

Homes under $300,000 showed an 18% increase in prices during the first quarter of 2013. As this trend continues, fewer and fewer homes will be available at more modest price points; the homes that are under $300,000 today will likely move into the $300-500,000 category as prices increase across our market.

 

And buyers are taking advantage of the opportunity to invest in Naples real estate. In March, pending sales in the $300-500,000 category jumped 22% over last year at this time. Pending sales of homes from $500,000 - $2 million plus saw steady double-digit increases as well.

 

Local economic indicators continue to show that the Naples area economy is on a positive track. A few indicators worth watching are:

  • 84% of home sales in the first quarter were classified as “traditional” sales; this indicates that the number of distressed homes (foreclosures and short sales) has decreased significantly in Naples.
  • Consumer spending is up in Collier County, according to the Economic Research Institute at Florida Gulf Coast University.
  • Passenger traffic at Southwest Florida Regional Airport was up 7% over 2012.
  • Tourism revenues in Collier County were up 7% in January 2013.
  • Single family building permits have nearly doubled over 2012 numbers.

 

Collier County - and the greater Naples area - is a great place to be! I encourage you to be part of the boom in 2013!