Let’s Talk HOT Off the Press…
3Q Prices Hold Steady with Inventory on the Rise
Naples, Fla. (October 20, 2016) - The Naples Area Board of REALTORS®
(NABOR®) released its Third Quarter 2016 Market Report, which tracks
home listings and sales within Collier County (excluding Marco Island),
and it showed overall inventory increased 40 percent with little change
in median closed prices. In fact, as reflected in the report, the overall
median closed price for homes on the market increased only 4 percent
to $312,000 in the 3Q of 2016 from $300,000 in the 3Q of 2015. This
was predominately driven by a 9 percent increase in the $300,000
and below price category. Comparatively, all other price categories
saw a zero or negative price adjustment.
Upon reviewing the report, NABOR® President and Broker Associate
with Berkshire Hathaway Home Services Florida Realty Rick Fioretti
said, "a quick analysis of price behavior since December of 2015
hows median closed prices leveled out." Several broker experts
agreed with Fioretti, adding that the pricing trend is a natural reaction
to the increase in inventory.
"I think we're seeing the completion of a cycle that began in 2013," said
Cindy Carroll, SRA, with the real estate appraisal and consultancy firm
Carroll & Carroll, Inc. "Prices have remained relatively stable for over a
year, and now I'm noticing more competitive value-based pricing as the
Carroll remarked that her business encounters a small herd of listings
that are still not moving, and believes ongoing increases in inventory
over the next six months will require these sellers to adjust their value
perceptions. "The list to sale price ratio is shrinking and this needs to
continue if we want to compete with new home construction."
"If it's overpriced, then the property sits," said Dominic Pallini, Broker at
Vanderbilt Realty, who went on to say that days on market decreased
12 percent in the $2 million and above price category, but overall, there
was a 10 percent increase in days on market. "Pricing is critical now
more than ever."
While both pending and closed sales decreased 14 percent (quarter over quarter),
inventory continued to rise in all areas of Collier County during the 3Q of 2016.
Overall, inventory rose 40 percent to 5,044 homes in the 3Q of 2016 from 3,606
homes in the 3Q of 2015; with a marked increase in Central Naples, which rose
49 percent to 608 homes in the 3Q of 2016 from 408 homes in the 3Q of 2015.
Inventory increases in the condominium market were also remarkable during the
third quarter of 2016. This home type experienced a 53 percent increase in
inventory to 2,375 condominiums in the 3Q of 2016 from 1,557 condominiums
in the 3Q of 2015.
The NABOR® 3Q 2016 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® 3Q 2016 sales statistics are presented in chart format, including
these overall (single-family and condominium) findings:
"Only 23 percent of homes for sale under $300,000 are single-family
residences," said Brenda Fioretti, Managing Broker at Berkshire Hathaway
HomeServices Florida Realty. "When it's priced right, it sells."
NABOR® also released its September 2016 Market Report, which showed
activity in September 2016 compared to activity in September 2015 was a mixed
bag. For example, while overall pending and closed sales decreased 12 and
19 percent, respectively, median closed prices held steady or decreased in
73 percent of the market in September. In fact, median closed prices for all
homes above $500,000 decreased, with a 12 percent decrease occurring in
the $2 million and over price category.
"While this year's summer activity at the high end was no match to last year's
'banner year' pace, we have started to experience a slight uptick in interest and
inquiries this month when compared to last month," said Richard Prebish, II,
Broker Associate at William Raveis Real Estate. "I anticipate there will be
some more great opportunities at reasonable prices being introduced to the
high end marketplace in the coming months."
The NABOR® September 2016 sales statistics are also presented in
chart format, including these overall (single-family and condominium) findings:
Michelle J. DeNomme, REALTOR, GRI
Cellular Phone I 239.404.7787
E-Mail : Michelle@NaplesHomeSweetHome.com
Berkshire Hathaway HomeServices Florida Realty
E-Fax Number: 239.236.5550
Blog Page: http://michelledenomme.blogspot.com
Twitter Me: DeNommeRealtor
The Naples Area Board of REALTORS® (NABOR®) is an established organization (Chartered in 1949) whose members have a positive and progressive impact on the Naples Community. NABOR® is a local board of REALTORS® and real estate professionals with a legacy of nearly 60 years serving 5,000 plus members. NABOR® is a member of the Florida Realtors and the National Association of REALTORS®, which is the largest association in the United States with more than 1.3 million members and over 1,400 local board of REALTORS® nationwide. NABOR® is structured to provide programs and services to its membership through various committees and the NABOR® Board of Directors, all of whose members are non-paid volunteers.
The term REALTOR® is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribe to its strict Code of Ethics.