September 2020 Naples Real Estate Market Report

September 2020 Naples Real Estate Market Report


September 2020 Naples Real Estate Market Report
Brought To You By Barry Brown
Broker Associate, Coldwell Banker
239-298-0522

The Naples Market continues to make a spectacular recovery from the impact of the Corona Virus driven by the imbalance between demand and supply and people looking for a safe place to escape.   Both sales and prices are up for the year, the only fly in the ointment being a very tight inventory.  My Complete September 2020 Naples Real Estate Market Report is as follows:

Closed sales were down 5.5% from last month at 1,109 but are up 3.0% for the year and that is despite the significant hit we took in April and May.  The average number of days a home is on the market continues to be lower than the prior 12 months but has been trending upward for the last five months.

Inventory continues to be a problem with the number of homes on the market dropping 7.0% from last month to 3,853 which is is 904 fewer than last year and the lowest it’s been since 2015.   This represents a 3.3 month supply which is definitely a seller’s market.  As I have said many times before, this is not as good as one would think as purchasing a home in Naples for the most part is a discretionary  purchase and many buyers will go home if they do not find something they really like.

Both the average and median sales price were up from last month with the average up 19.8% at $755,780 and the median up 8.1% at $400,000.   This is a gain of 37.0% and 15.1% from the first of the year and as high as they have been since the first half of 2006.  This gain can be attributed to the lack of inventory driving prices higher and the fact that people are looking for a place to escape if the virus lingers into next season.  At the same time average sold price per square foot increased 2.4% from $287.00 to $294.00 and is up 17.1% from the start of the year. 

A better picture begins to emerge when  we drill down to sold price by price range and housing type and as expected, all are trending upward.

Then when we look at prices trends by community and housing type we get an idea of where prices are heading.   However to get an accurate picture of what your home is worth you need to get a Comparative Market Analysis (CMA) from a professional realtor as this analysis does not consider location, view, upgrades, and individual  condo and unit floor where applicable.

 

The question as always is “Where is the Naples Real Estate Market Heading?”  To answer this we also need to look at the list price and sales to list price ratio trends.   The median list price has been trending upward for the last 10 years and there is no reason for this to change in the short term.   Equally important is that the sales to list price ratio has also been trending upward and at 96.9% is the highest it has been in the last 10 Years.    If mortgage rates remain near all-time lows, the economy continues to recover, and unemployment continues to decrease, the real estate market should remain strong up to and past the election.  Given all of the above I don’t see any reason for Naples not having a robust fall and strong next season.

If you are looking to buy and are not going to be in Naples, watch the internet and if you see one you really like and  have an agent you trust take a look and give you his or her honest opinion.   If you find one you love, then by all means make an offer.  You can always make it contingent on a personal inspection within a reasonable amount of time.   Prices are as low as they are gong to be and are only going to increase.

I hope you enjoyed my September 2020 Naples Real Estate Market Report.  Take care, be safe and don’t take any unnecessary risks!

Barry

Barry L. Brown
Broker Associate, Coldwell Banker
550 Fifth Avenue South. Naples Florida 34119
239-298-0522
www.barry4homes.ney
Barry4homes@aol.com

 

When you are ready to put your home on the market and would like a no obligation Comparative Market Analysis, please let me know.  I would love the opportunity to earn your business.  If you know of anybody who is looking to buy or sell, please feel free to share my September 2020 Naples Real Estate Market Report with them.

This report discusses the overall Naples real estate market and not any specific property.   It only includes Collier county and excludes manufacture homes.  The source of the data is the Sunshine MLS and Naples Board of Realtors.  The opinions are those of the author and should not be considered to be a specific recommendation.  They along with the data are presented to help you make an informed decision.

 

 

 

 

 

 

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