Naples, Fla. (April 22, 2022) – Demand for the Naples lifestyle remains strong as closed sales in March increased 49.9% compared to closed sales reported in February. Although closed sales decreased 36.5% to 1,205 in March 2022 from 1,899 in March 2021, the increase from February to March was a welcome result of a steady wave of new listings.
According to the March 2022 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), new listings decreased only 4.3% to 1,637 new listings from 1,711 new listings in March 2021. If this wave of new listings remains steady during the coming months, it could mean more options for buyers navigating the area’s limited inventory.
“New listings are almost where they were a year ago,” said Mike Hughes, Vice President and General Manager for DNFY. “Overall, the report showed new listings have risen since the end of last year, over a three-month period.”
The March report showed inventory decreased 23.5% to 1,392 properties from 1,819 properties in March 2021. However, the good news is that March inventory increased 20% compared to inventory levels NABOR® reported in February (1,176 homes).
More homes for sale in March meant sellers enjoyed 43,206 showings that ultimately inspired 1,611 pending sales (homes under contract). The median closed price continued to increase in March, up 39.6% to $575,000 from $412,000 in March 2021, and 62.7% of the month’s closings were cash sales.
The NABOR® March 2022 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. NABOR® sales statistics are presented in chart format, including these overall (single-family and condominium) findings for 2022:
The March report showed about a third of the homes for sale (417) decreased in price during the month. Broker analysts reviewing the report said the list price reduction reflects a typical scenario wherein sellers list their property with a high price at the beginning of winter season and then reduce it as Easter approaches (historically considered to be the end of Southwest Florida’s high visitor season) with the hope of selling their property before season ends.
“There were 51% more price decreases in March than February,” said Ryan Bleggi, President of NABOR® and Managing Broker for JRW Properties. “That means a good number of homes were not priced properly when they were originally listed.”
Mike Dodge, Director of Education and Market Research for JRW, pointed out “This could be good timing for potential sellers who have been reluctant to list due to concern about finding a replacement property. Listing now could reap the benefits of selling in an up market, but also the benefit of a market where recent increases in listing inventory should lessen the stress of finding a property to purchase.”
Adam Vellano, a Naples Sales Manager at Compass Florida, agreed and replied by stating, “The trend to list a home at $25,000 to $75,000 over comps is beginning to fade. Pricing should reflect, among other things, the location of the property and volume of homes for sale nearby.”