By Robert Nardi, Broker/Owner
Indications that the Naples area housing market is transitioning to a balanced market became more evident during August as inventory and days on the market increased. According to the August 2022 Market Report by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), overall inventory increased 71.3 percent to 2,140 properties from 1,249 properties in August 2021. Of the homes on the market during August, 35.8 percent of them (766) experienced a price decrease, and the overall list price received for the month slipped slightly to 96.4 percent from 99.2 percent in August 2021. These seller and buyer behaviors resemble a healthy market environment.
The overall median closed price continued to increase in August, up 30.7 percent to $575,000 from $440,000 in August 2021. Only 31 single-family homes and 79 condominiums under $300,000 were on the market during August. In August 2019, there were over 1,400 properties on the market for under $300,000. We are on par with new listings compared to pre-pandemic levels in August 2019. There were 850 new listings in August, a 16.9 percent decrease compared to 1,023 in August 2021.
The NABOR® August 2022 Market Report compares single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. NABOR® sales statistics are in a chart format. Please send an email to Robert@NardiRealty.com if you wish to receive a copy.
What does this all mean?
Once again, from all indications, we are moving to a balanced market. Supply and demand are starting to even out. This balance can be attributed to longer days on the market, fewer showings than in the past, and slight price decreases, so inventory appears to be more significant. A balanced market is not such a bad thing. Buyers and Sellers get to play in the same sandbox and come up with a fair market price to sell and buy!
A great time to Sell if you are a Senior!
If you are a Senior, I believe it is a great time to sell in Southwest Florida. Prices are still up, and it is an ideal time to purchase if you are thinking about a 55+ community. It seems like 55+ communities are popping up all over the place. What’s nice about these communities is that there is something for everyone. Some only have single-family homes and offer numerous amenities, even walking/biking trails, and water activities like kayaking. Other communities have step-down facilities. You would start in Independent Living, then move to Assistant Living, Memory Care, and even skilled nursing offerings. In some 55+ communities, you have ownership, while others are simply “renting” the unit.
Most charge a more significant monthly maintenance fee, but you can get a big bang for your buck. Some include chauffeured visits to your doctors, shopping, dinner, etc. Others have activities on campus where you can play bingo, sing karaoke, watch a movie, participate in exercise classes, do water aerobics, etc. Some have meal plans, and some cook breakfast, lunch, and dinner for you.
After Hurricane Ian, many of these 55+ communities did very well. Many are newer and built to withstand a category four hurricane. They are also equipped with generators and have a built-in care system for Seniors. You most likely would not be without a meal or the use of an elevator.
If you are not ready to sell but still want to move to a 55+ community, it may be a great time to put your property up as an annual rental. Unfortunately, many people lost their ability to live in their homes/condos based on the damage caused by Hurricane Ian. It would be a win-win for both you as the Landlord and the Tenant. You have a stream of income every month, and a tenant has a place to stay for a year while they rebuild.
Are you thinking of renting, selling, or buying?
Do you need some guidance with 55+ communities? Nardi Realty can help; please feel free to call me directly at 239-293-3592 or send an email to Robert@NardiRealty.com.
Please stay safe, healthy & happy.