Naples Real Estate Market Watch April 2018

Real Estate Market Watch March 2018 – Naples, Bonita Springs, and Estero

COMBINED INVENTORY – Naples, Bonita/Estero

Retreating, still… – The combined inventory for Naples, Bonita Springs, and Estero is continuing the seasonal retreat. Strong overall closed sale volume – 106% of previous month and 92% of April 2017 – combined with a drastically reduced number of new listings added (off by 12% month-over-month) led to overall combined inventory retreat. The combined inventory is now ~7,600 listings, the lowest point in 2018 so far.

Both Naples and Bonita-Estero markets saw an inventory reduction of 4% month-over-month.

The combined markets’ absorption rate index continues to drive toward better numbers but it is still too high. Given a six month rolling average of sales per month, there is now just over 7 months of inventory on the market compared to just over 8 months noted last month.

CLOSED SALES – Naples, Bonita/Estero

Sales volume hits high note… –The overall sales volume for the Naples and Bonita-Estero markets climbed 6% in April over March and were 9% higher than April 2017. Naples market was up 2% while the Bonita-Estero market was up 14% compared to the previous month.

NAPLES REAL ESTATE

AVERAGE PRICE PAID

Steady… – Naples overall average price paid was up year-over-year 8% – quite a healthy increase following March’s year-over-year 7% increase. The month-over-month number was flat. Generally, it appears that prices are decreasing month-over-month but it must be remembered that there were very unusual closed sale anomalies in January and February which are now leveling out.

The overall average price paid for all property types was $664,000 compared to $668,000 in the prior month. The average price paid for a single-family home was $885,000 compared to $818,000 in the prior month and $433,000 for a condominium compared to $493,000 in the prior month.

In 2017 the average overall monthly closed sale price was $568,000 and now for March and April 2018 the average sale price is $666,000. So far, 2018 is looking pretty good!

MEDIAN SALE PRICE

(The number where 50% of the homes sell above and below.)

Steady…– The overall median price was up 3% year-over-year and down 2% month-over-month. For April, single-family homes increased a bit while condominiums decreased just opposite the results last month.

The overall median price paid for all property types was $360,000 compared to $365,000 the previous month. The median price paid for a single-family home was $435,000 from $416,000 the previous month, and the median price for a condominium was $259,000 from $270,000.

BONITA SPRINGS REAL ESTATE and ESTERO REAL ESTATE

AVERAGE PRICE PAID

Strong and steady, again… – The overall average price paid for a property in the Bonita/Estero market continues a strong and steady with year-over-year increase of 12% and month-over-month increase of 4%. Strong price increases were noted in both single-family homes and condominiums.

The overall average price paid for a property was $424,000 from $407,000 the previous month. The average price paid for a single-family home was $543,000 compared to $528,000 and $331,000 for a condominium from $301,000.

MEDIAN SALE PRICE

(The number where 50% of the homes sell above and below.)

Strong… – The overall median price paid for a property in the Bonita/Estero market is strong and steady. The year-over-year increase was 9% and on a month-over-month basis it was up 6%.

The overall median price paid for a property was $315,000 compared to $298,000. The median price paid for a single-family home was at $405,000 compared to $389,000 and for a condominium $261,000 compared to $250,000.

The median price paid is a much better indicator than average price as it tells buyer’s appetite for spending. One large or small sale can skew the average where the median indicates the midpoint of buying activity.