Luxury Market Surges in January
Naples, Fla. (February 26, 2018) - Unlike national figures for home sales in January which, according to the National Association of Realtors®, dropped 4.8 percent compared to sales in January 2017, home sales in Collier County rose 11 percent in January to 671 home sales in January 2018 from 603 home sales in January 2017. In fact, closed sales of luxury properties (homes above $1 million) were quite remarkable in January with a 123 percent increase over the number of closed sales of luxury properties in January 2017, according to the January 2018 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island).
Overall median prices in January decreased for homes up to $1 million compared to last year. For example, median closed prices for properties in the $300,000 and below price category decreased 6 percent in January to $205,000 from $219,000 in January 2017.
"For a long time we saw double digit increases in median closed prices for single-family homes in the $300,000 and below market," said Cindy Carroll, SRA of Carroll & Carroll Appraisers and Consultants LLC. "But for January, the report showed only a 4 percent increase [year over year (or a 5 percent increase month over month)]."
Overall inventory in Collier County decreased 5 percent in January to 6,071 homes from 6,393 homes in January 2017. However, inventory has been on the rise over the past few months and while the nation continues to experience declining inventory levels that resulted in a 3.4 months supply for January, the Naples area market is seeing its inventory levels increase to 8.2 months of inventory for January.
However, the report also showed a 21 percent decline in inventory for single-family homes in the Naples Beach area, which Carroll says can be attributed to a rush of speculative homes sales in that area.
The NABOR® January 2018 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. The NABOR® January 2018 sales statistics are presented in chart format, including these overall (single-family and condominium) findings:
CATEGORIES |
Jan 2017 |
Jan 2018 |
CHANGE |
Total homes under contract (pending sales) (month/month) |
924 |
1,030 |
11% |
Total closed sales (month/month) |
603 | 671 | 11% |
Median closed price (month/month) |
$314,000 | $375,000 | 19% |
Median closed price >$300K (month/month) |
$485,000 | $646,000 | 33% |
Total active listings (inventory) |
6,393 | 6,071 | -5% |
Average days on market |
91 | 91 | 0 |
Single-family closed sales (month/month) |
284 | 280 | -1% |
Single-family median closed price (month/month) |
$397,000 | $430,000 | 8% |
Single-family inventory |
3,219 | 2,961 | -8% |
Condominium closed sales (month/month) |
319 | 391 | 23% |
Condominium median closed price (month/month) |
$265,000 | $320,000 | 21% |
Condominium inventory |
3,174 | 3,110 | -2% |
According to Carroll, the South Naples (34112, 34113) and East Naples (34114, 34117, 34120, 34137) single-family home markets continued to see the strongest increases in value in January, as reflected in 8 and 9 percent increases in median closed prices, respectively.
As reflected in the report, there were 150 closed sales of condominiums in the North Naples area in January (a 150 percent increase over January 2017). By the same token, because the 79 condominiums sold between $1.8 million and $2.5 million, the median closed price in this geographic area increased by 428 percent. The data also showed 0 days on the market for the 79 units. The closings were apparently postponed as a result of the hurricane disruption and not completed until January.
To ensure your next sale or purchase in the Naples area is a success, contact:
Abby Stiller at 239-284-8637
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