December 2017 SW Florida Real Estate Report and Inventory Analysis, Naples: For the entire year of 2017 home sales increased by 4% and median closed prices increased by 3%, according to the Year End 2017 Market Report released by the Naples Area Board of Realtors. This report also showed increased activity in the high-end market, with closed sales of homes in the $2 million + price category jumping 20% in 2017.
There are many factors in play when analyzing real estate sales numbers. A few positive elements in play for 2017 were, strong employment rates, low inflation, continued low interest rates, growing wealth through record stock market levels and increased consumer confidence.
Additionally, we are seeing inventory levels drop, which may create upward pricing pressure in the market. year on year, 2017 did see a 3% increase in median sales price. Tightening inventory may push than number even higher in 2018.
2017 inventory levels and sales volumes vs. 2016 were as follows: Single Family inventory was down 11% while Condominium inventory was down 4%. Single Family closed sales were up 2% and Condominium closed sales were up 5%.
More than anything else, these numbers indicate to me that while inventory levels remain reasonably stable (right now we have about 7.5 months of inventory), interest rates remain historically low and while prices remain relatively stable; it is a good time to make a real estate purchase in Naples.It is also a good time to consider listing a property you have been holding; especially if the Federal Reserve follows through with several planned interest rate increases in 2018.
Whether you are looking to purchase or looking to sell a property in the Naples, Marco Island, Bonita & Estero area, I am here to help represent your interests and to facilitate a smooth transaction for you and your family.