The new year rebounded with a strong gust of activity in the Collier County real estate market! Increases in overall pending sales (homes under contract), overall closed sales and overall inventory indicate a strong season ahead. Broker analysts who reviewed the January 2017 Market Report, which tracks home listings and sales within Collier County (excluding Marco Island) using the Southwest Florida MLS, are confident that market indicators are favorable to support momentum through season.
Many areas of Naples are in a buyer's market now, and home sales were very strong in January, Properties that are selling rapidly are those that are priced at true market value. The increase in inventory is a positive opportunity, especially for buyers looking in the under $300,000 condominium market, which increased by over 400 units in January."
According to the January Market Report, overall pending sales increased 9 percent to 924 pending sales in January 2017 from 847 pending sales in January 2016. Broker analysts said they are most encouraged by pending sales activity in the middle range of the market; namely, homes between $300,000 and $2 million, which all experienced double digit increases in January.
Overall closed sales increased 6 percent to 603 closed sales in January 2017 from 571 closed sales in January 2016. Interestingly, January was the first time both overall pending sales and overall closed sales were on the upswing simultaneously since March 2015.
Overall inventory for all price segments increased by double digits in January which is not uncommon as we move into the selling season in Naples. Condominium inventory in the $2 million and above category had the highest gain with a 44 percent increase to 135 condominiums in January 2017 from 94 condominiums in January 2016.
Increases in inventory typically drive prices down, and yet, with a 28 percent increase in inventory in the $500,000 to $1,000,000 condominium price range, we show an increase in the median price of 9 percent compared to last year.
Geographic proximity to the beach remains a driving force in the Naples real estate market. As such, properties located in the Naples Beach area experienced a 15 percent increase in overall median closed price to $784,000 in January 2017 from $680,000 in January 2016. Pending sales for the Naples Beach condo market for January 2017 increased by almost 40 percent compared to last year and closings were up 16 percent. This was mostly driven by a somewhat limited condominium market in the Naples Beach area, where inventory increased 34 percent and pending sales shot up 39 percent in January.
We are in a different market than we were a year ago. "The stock market is performing very well, home sales are now very strong in northern states, and winter came early up north so people fled to Florida's warm weather early too."
If you're ready to embark on a journey to buy a home in Collier County, call me, so I can help you find a property that will best suit your needs and budget. I am also happy to help sellers by doing a market comparison and recommending a listing price that is realistic and fair for their home.
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