Hello Naples Friends!
I want to quickly catch you up to speed with what I've been seeing and experiencing regarding Naples real estate so far this season. Here it is...
1. The general consensus is the tables have clearly turned in most Naples markets regarding seller confidence. (Even if the evidence on paper does not fully prove full recovery) Naples real estate negotiations are geared more in favor of the seller than the buyer at this time. If you are a statistics person, you may find yourself a little disappointed regarding a seller's response in a negotiation as owners are tightening their positions on percentages off list prices and concessions. Many of the negotiations I've dealt with this year have been trying at times and in some cases unsuccessful as some buyers still find an element of skepticism regarding the strength of our economy etc. while determining which way to go on their deal.
2. I found a large influx of stock market-based professionals sniffing around Naples real estate in January. I worked with 5 professionals myself many of which were involved in hedge fund type business. While the feeling was unanimous about uncertain economic conditions, I found some buyers tried to use that as a negotiating tactic (unsuccessfully) while others pulled the trigger and got their deal. I thought this was a very curious wave through our market since many of the people I talked to felt like we are due another stock market correction sometime this year. This makes me wonder if that's why they're looking at repositioning some of their personal equity here.
3. Even with the level of uncertainty I've seen, there is still positive traffic occurring in the Naples real estate market at this time. Here are the statistics for Naples properties that closed between January 1 to February 5th, 2013 compared to last year:
- Naples sales were up 3% this January compared to last.
- Naples sales are up 38% for the first few days in February compared to last year.
- Naples property sales listed at one million and above are up 6% compared to last year.
- Average list price to sales price ratio for Naples property increased 1.5% to 94.9%
- Market time dropped 5%
- Average list price increased 17%
On a side note I think it's curious I'm seeing a very tiny slight uptick in contract back outs this year...is that due to uncertainty or buyers feeling slighted when it comes time to negotiate repairs??? I'm not sure...
4. Other big changes I've seen this year that won't be counted on paper is the seller's willingness to do repairs at their expense. While some sellers will fix everything on an inspection report because they feel it is the right thing to do, some are now saying no to additional expenses. For the past several years sellers have been willing to do just about anything to keep their deal together. I've seen many instances this year where the seller was unwilling to do repairs at their expense. This is something you need to take into account as a small percentage of people expect to use property condition negotiations time to renegotiate or achieve further concessions. Repair concessions might be considered a bonus going forward.
5. There are 93 new homes on the market right now! I just hit the launch in Quail West and Mediterra last week. There are some neat new designs and materials they're using and it's definitely worth it to check out what's going on in the models if you get a chance. Other locations where you can find a fabulous new Naples home is:
1. Aqualane Shores
3. Coquina Sands
4. Escada at Tiburon
5. Estuary at Grey Oaks
7. Olde Naples (12 to choose from there)
8. Park Shore (5 to choose from here)
That's all for now! Please remember if you're headed to town and want to hire me to assist you with your purchase to call in advance! I want to give you the best service possible.
For my northeastern friends, stay warm and safe during this blizzard.
Your Naples Smart Girl!