According to the National Association of REALTORS July market report, existing home sales in American decreased for the third straight month as a result of the severe housing shortage that is not releasing its grip on the nation’s housing market.
Home sales in the Naples area were up 8% in July. The Naples Area Board of Realtors (NABOR) shows that Naples has a healthy 6.25 month supply of homes, as compared to 4.3 nationwide. Home sale prices also went up 8% as compared to July 2017, while the national average was 4%. Closed prices for homes listed over $300,000 did go down 2% this July.
Home sales in Naples are defying the national predictions, with sales trending upward for the rest of the year as compared to 2017. Overall Pending Sales were up 11% in July, for luxury condominiums Pending Sales were up 150%! One price segment, $500.000-$1million decreased from July 2017.
Cash Sales account for only 20% of home purchases in July nationally, while in Naples cash Sales account for 50% of all home Sales in July. This is fairly typical year to year, as our demographic is a group of Buyers who are selling their home up North and retiring to Florida, using their Home Equity Line of Credit to purchase their vacation home or have the funds available to own multiple homes.
According to Cindy Carroll, SRA, with the real estate appraisal and consultancy firm Carroll & Carroll, Inc inventory in the neighborhoods West of US 41 (closer to the Gulf) are beginning to tighten.
In response to the question of whether home sales will be affected by a longer than average Red Tide occurrence, a local broker for an international real estate company stated “…currently, there’s no reflection in the pace of homes sales. While impossible to ignore if at the beach on a day in which [Red Tide] is more prominent, a block or two East you wouldn’t be aware of any issue and inland sales represent the vast majority of all activity in the market”.
Call us here at House Of Naples to get an in depth analysis of your home needs in SW Florida. We look forward to working with you to find your dream home!