Naples, Fla. (December 18, 2020) - Upward Trend in Naples Real Estate Market Continues.
According to the November 2020 Market Report, released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), the Naples real estate market continues to see an upward trend in both showings and closed sales.
In November 2020, there were 36,508 showings, which represents a 43% increase over the same period in 2019. Closed sales for the overall market increased 58.8% to 1,126 closed sales in November 2020, up from 709 closed sales in November 2019.
The sustained market demand is placing pressure on real estate pricing, with notable increases in median and average closed prices of homes when comparing month over month statistics.
At $669,409, the year-to-date average closed sales price in November 2020 reflects a more accurate and modest growth with a 12.7%increase over November 2019 year-to-date average closed sales price of $594,065.
It is important to understand the difference between the “average” price of a home and the “median” price of a home. The “average” price is calculated by adding all the closed prices for homes sold in a specific area within a specified time frame and dividing that total by the number of properties sold. The “median” price is the price in the middle of a data set where exactly half the houses are priced for less and half are priced for more. Note: the average price may be skewed due to outliers in the data (if a property sold for a price far higher or lower than typical).
Broker analysts agree there are multiple driving forces influencing buyers. In addition to buyers coming from out of state, local homeowners are taking advantage of low interest rates and upgrading to more spacious homes and condominiums within their existing communities.
Homes priced over $2,000,000 saw the strongest increase in sales, with a 51.6% increase in November 2020 over the same time period in 2019.
“Mortgage rates have once again dropped to a record low, with a fixed-rate average of 2.67%. Even though housing prices are going up and buyers are upgrading to more expensive homes, mortgage payments are going down,”.
Collier County continues to be among the most desirable locations in the state.
Mike Hughes, Vice President of DNFRY, Inc agreed. “Although the area’s traditional seasonal patterns have been disrupted, winter residents are continuing to arrive in the Naples area market. This is a strong indication of consumer confidence in Southwest Florida.”
The NABOR® November 2020 Market Reports provide 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:
Naples’ high quality of life, favorable business policies, and strong local government have always been appealing to home buyers. But we are in unprecedented times with housing demand outpacing supply.
“First time home buyers should evaluate their options as the market grows.”
View Detailed Naples Real Estate Statistics for November 2020...
