August 2019 Real Estate Activity

Naples August 2019 Real Estate Overview: Summer is over and we are preparing for season. If August is any indication of how the rest of the year and season will go, then it is going to be incredibly busy for the next 6 months.  Based on the latest Naples housing market reports, real estate activity continued to outpace last year during the same time period. Overall closed sales increased 7.4 percent in August, according to the recently released Naples Area Board of Realtors report. There were a total of 796 closed sales in August of this year compared to 741 in August 2018. And, the supply of homes continued to tighten with an 18% reduction in overall inventory compared to last August. The total supply of homes fell from 5,980 down to 4,917. As a result, we are sitting at a 6 month supply of inventory available.

Naples August 2019 Real Estate Highlights:

• Overall inventory decreased 18 percent compared to August of last year
• Total closed sales increased 7 percent, up to 796 versus August of 2018
• Single family closed sales increased to 417, which was a 17 percent increase
• Condo sales decreased slightly, 2 percent, compared to the same month last year
• Number of Days on Market increased by 4 percent up to 103 days
• Median Sales Price fell slightly to $317,918 which was a 0.2 percent decrease

In spight of an 18 percent decrease in overall inventory, there was only a slight impact on the median closed price for the month of August. The median closed prices ended the month at $317,918 which was only a 0.2 percent reduction compared to last year.

Closed Sales Market Review:

The August report shows there was a  significant increase in single family homes sold compared to last August with sales increasing by 17.1 percent. Condo sales actually declined 1.6 percent during the same time period.

Further, if you look at the breakdown by price range for all Naples properties you will see the biggest increase in activity was for properties priced between $300,001 and $500,000 this August compared to last August.

Also noteworthy is another decrease in closed sales of luxury properties priced between $1,000,000 and $2,000,000 where there was a 5.7 percent decline in closed sales. Naples Condos in the $1 million to $2 million price category, saw the largest decline in activity with a 17.7 percent decrease in closed sales.

And, closed sales of Ultra Luxury homes priced above $2,000,000 rose slightly compared to last year.  There were only 4 additional transactions during August of 2019 over last year.

So if you are looking to buy a luxury home or condo in Naples, it’s likely you will have more room for negotiating a good price. Sellers will need to start adjusting their list price if they haven’t done so already.

August 2019 Real Estate Review of Days on Market:

Typically, the reason a home remains on the market too long is due to the property being overpriced. In Southwest Florida, the time of the year may impact the length of time it takes for a property to sell.

In August, it took an average of 110 days for a property to close which was up from 96 during the same time last year. If your home has been on the market for a while and you have no showings or very few showings, you should talk to your realtor about your list price or other incentives to entice buyers.

Also, the August 2019 ShowingTime report, a monthly supplemental report which shows the number of times properties are shown, indicated that local REALTORS® scheduled 16,878 appointments to show Naples properties during the month which is a 16 percent increase. On average, the report shows that a home for sale in Collier County is shown 16 times before it goes to contract.

Broker analysts believe the less inventory people have available to view, the more properties they want to see. This is why they believe now is a good time for sellers to enter the market so they have the opportunity to capture buyers who are looking at homes now.

Days on Market by Price Range in Naples Florida:

The overall days on market increased to an average of 110 days. However, if you look at the data based on the various price ranges you can see Luxury homes (homes priced above $1 million) remained pretty close to flat. And, if you look at luxury properties priced above $2 million, the average days on market only increased by 1 day, which is still almost 5 months.

Surprisingly, homes priced below $300,000 saw the largest increase in the number of days on the market rising up to 88 days before closing.  Overall, the time to sell homes has increased which is typical for the summer months.

Naples Housing Inventory:

Finally, there were 938 new listings added to August’s inventory. However, the increased inventory did not keep up with the number of buyers entering the market.

At the end of August, there were 4,917 homes on the market compared to 5,980 in August of 2018.

So supply is hovering around 6 months worth of Naples Homes for Sale. Typically, a healthy market is between 6-7 months worth of properties available for sale. Having said that, inventory varies by price range and location. An experienced real estate professional will help you navigate the various communities and locations to ensure you are maximizing your investment your a home buyer and if you are selling property, they will help you price your home in alignment with the market.

Highlights by Location:

Geographically, closed sales of single-family homes in the East Naples are (34114, 34117, 34120, 34137) increased the most in August by 35.6 percent followed by closed sales of single-family homes in North Naples (34109, 34110, 34119), which increased 15.6 percent.

Naples August 2019 Real Estate Market Watch

NABOR’s Naples Area Market Report

Collier County Real Estate Transactions Week of July 29th 2019

Begin Your Own Property Search for Luxury Dream Home: