Overall Closed Sales of homes in Collier County of existing homes increased 62% to 1,307 up from 807 Closed Sales in February 2020.
Analysts were not surprised, Buyers were getting under contract on homes almost as soon as they became Active onto the market. Inventory fee 68.8% to 2,224 in February 2021 as compared to 7,127 in February 2020.
The condominium market experienced at 75.7% increase in Closed Sales with a 66.6% decrease in available inventory. Condominium sales in February 2021 were higher than any other month in the last 15 years.
Local real estate broker Spencer Haynes states “I consider this a ‘market correction’ as our area has simply been undervalued until now and it is finally experiencing its due appreciation”. He continues “in many desirable locations like California and Atlanta, high buyer demand, low inventory and rising prices have been a reality for years. Besides, we have what everyone is looking for as it’s now possible to work from anywhere in the world so why not live and work in paradise”.
While inventory for existing homes has been steadily diminishing, new home purchasing options are diminishing as well, with “Builders reporting a big shortage in materials for new home construction…orders for new windows are out 14 months because there’s not enough glass for production” according to local real estate broker Jeff Jones. “New home communities are nearly sold out, so we’re seeing many put their last lots up for bid” states Dominic Pallini another local broker.
February saw Pending Sales of existing homes jumped by 50.7% to 2,299 from 1,526 from the previous year. The medial Closed price increased 17.4% to $405,000 from $345,000 the previous February, with the average Closed price increasing to $796,936 from $633,898. The luxury single family home market continues to drive sales in Naples, the average Closed price for Single Family Homes in the Naples Beach area increase 35.4% to 3,270,814 from $2,414,826 in February 2020.
It’s important to understand, again states Jeff Jones, “our market today is based on equity – not speculative lending lake we saw in 2005 leading up to the housing market bubble.”
According to NABOR (the Naples Area Board of Realtors) the demand for singe family homes in Naples is so high right now that its convincing many homeowners to downsize in order to take advantage of the market’s demand and enjoy a nice profit, with homes in condominiums and in 55+ communities also saw increased activity.
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