Naples Florida Real Estate Report on Naples Homes for Sale
The Naples Florida Real Estate Sales' Surge Is not Letting Up
- Naples Florida home sales through May 2009 are 40% higher than the previous year.
- Naples Fl Real estate values appear to be bouncing off the bottom.
- Worthwhile foreclosed homes sell in days.
- Prices of Naples Florida Real Estate has rolled back 5 years or more.
- The number of Naples Homes listed for sale has dropped 35% in 2009.
Pace of Naples Florida Home Sales Remain Strong
Naples home sales since May 2008 have been on fire. With significant year-to-year increases each month. Strong home sales have continued into year 2009:
Naples Florida Real Estate Sales
Number of Monthly Homes Sales
2007, 2008 and 2009
The source of the information in the chart above, and those shown below is from the proprietary database compilation of SunshineMLS, LLC - Naples' Multiple Listing Service. The accuracy of this information on Naples Florida Real Estate is not warranted or guaranteed.
Why is the Naples real estate market experiencing major home sales increases?
- Naples Florida's artificial run-up in real estate prices has returned to before pre-boom pricing. The accumulation of buyers waiting to buy a Naples home at lower prices, can now find Naples affordable.
- Local residents can now afford homes at current price levels. Many are getting great deals on foreclosures.
- The Naples real estate market is driven by second home buyers. And Naples remains a very attractive area to winter.
- Investor buyers have re-entered the real estate market in a big way.
- Many foreign buyers have been snatching up Naples values.
Much of the surge in the Naples Florida home sales can be attributed to current low prices levels. In the early real estate boom years of 2003 and 2004, many buyers were in the $200,000 and under price range. By 2005, homes in that price range had pretty much disappeared. Buyers looking for a Naples home in that price range had been priced out of the market. Now, with the return of pre-boom level pricing, buyers looking for Naples real estate in that price range are back in.
Naples Florida Real Estate Sales Under $200,000
Jan. 1 to April 30 - 2002 to 2009
Foreclosed Properties are Hot Sellers
Foreclosed properties represent one of the hottest selling property segment in the Naples area. Foreclosed properties exist throughout the Naples area, but are concentrated mostly in workforce communities (such as Golden Gate City and Golden Gate Estates which account for nearly 50% of all foreclosures).
Bank owned properties listed for sale have been literally flying off the shelf. Compare for example the number of foreclosed homes that have recently been sold, vs. the number currently listed for sale. There are 5 times as many foreclosed homes recently sold, then currently available for sale.
Naples Florida Foreclosures
Recently Sold vs. Available for Sale
Available for sale as of May 24, 2009.
There are more foreclosures selling each month, than the number of new foreclosures becoming available. The Naples Florida Foreclosed real estate market niche is super-heated. Learn more about Naples Foreclosures.
Naples Florida Real Estate Prices
Homes, communities and pricing vary greatly throughout Naples. The highest priced single family home sold in 2008 went for $12 million, or $2,335 per sq. ft. The lowest priced home sold for $19,000, a tear down selling for less than the lot's value. The average price of those two taken together is $6,009,500. This is an example why an average home prices statistic, for the entire Naples area is not a good measure of what is happening with Naples home values.
A comparison of price changes grouped by similar communities is a much better way of measuring the change in home values. The following chart tracks home prices per square foot for a particular niche within the Naples real estate market. It tracks the average square foot selling price by quarter, for similar size and type properties in the area sold since January 2001, and compares that to a trend line. In Naples, homes prices between communities and neighborhoods can vary greatly based on location and amenities. The selling averages in any particular community could be higher or lower than the examples shown here, but in most cases have followed a similar up and down trend.
The charts compares selling prices as dollars per square foot to 2% growth lines. This does not suggest prices should grow at, below or higher than 2%. The 2% growth lines are to provide scope and scale to the information.
The charts below presents averages and trends of similar properties. It can only be viewed as a general representation of a particular niche. This information should be used only for general discussion and review purposes and not for determining the merits of any specific buying or selling decision. The selling prices per sq. ft. are representative of the communities included in the sample, and can not be applied arbitrarily to all areas in Naples.
Single Family Home Price Index vs. Condo Price Index
Average Selling Prices per Square Foot by Quarter vs. 2% Trend Lines
(updated through 1st Qtr 2009)
Single Family Homes: 1,600 to 3,000 sq. ft homes, similar communities. Condos: Similar size, similar communities.
The above index shows home values dropping 21% in 2006, 15% in 2007 and 20% in 2008. For an overall drop in real estate values since 2005 of 46%. Many neighborhoods comprised mostly of local working residents will show higher drops. Beach properties, lower drops.
Ending price points for both condos and single family homes on the chart above, are similar to price levels during early 2004.
Real estate prices in the Naples area peaked in the Fall of 2005 vs. US home prices which peaked in the Summer of 2006. Approximately 8 months behind Naples. The following chart shows the change in home values from the first quarter average in 2001, for the United States and for Naples.
Percent Change in Home Values
United States vs. Naples
United States Home Price Change are per the Standard & Poor's/Case-Shiller Home Price Indices
Naples Florida Real Estate Report - Part 2 > > > > >
Tom Doyle
Sun Realty Real Estate
3757 Tamiami Trail North
Naples Florida, 34103
Phone: (239) 641-4575