Home Inventory at its Highest in 8 Years, Creating a More Stable Housing Market
For everyone who has interest in the Naples Housing Market, this information that just came out from NABOR is some positive news. According to statistical data in the First Quarter 2016 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), buyers, sellers have reason to smile because inventory is on the rise; making the Naples area housing market more stable than any previous quarter in the last eight years.
What We Saw This Season
The 2016 season was off to a slow start but activity has picked up within the last 6 weeks.
Overall Inventory
According to the report, overall inventory for the first quarter of 2016 increased 33 percent t
o 5,651 homes from 4,253 homes in the first quarter of 2015. Leading the rise in inventory by percentage of increase during the first quarter of 2016 were condominiums in the $1 million to $2 million category, which increased 61 percent to 208 condominiums from 129 condominiums in the first quarter of 2015.
o 5,651 homes from 4,253 homes in the first quarter of 2015. Leading the rise in inventory by percentage of increase during the first quarter of 2016 were condominiums in the $1 million to $2 million category, which increased 61 percent to 208 condominiums from 129 condominiums in the first quarter of 2015.
Leading the rise in inventory by the number of units were condominiums in the $0 to $300,000 price category, which increased 33 percent in the first quarter 2016 to 1,181 condominiums from 887 condominiums in the first quarter of 2015. Geographically, the overall inventory in North Naples (34109, 34110, 34119) increased the highest percentage in the first quarter of 2016 by 43 percent to 1,630 homes from 1,142 homes in the first quarter of 2015.
Pending Sales
Overall pending sales (homes under contract) in the first quarter of 2016 decreased 23 percent to 2,786 homes pending from 3,628 homes pending in the first quarter of 2015. The only pending sales category that increased was the single-family $500,000 to $1 million price category, which increased 11 percent to 308 single-family homes pending in the first quarter of 2016 from 277 single-family homes pending in the first quarter of 2015.
The report also showed traditional sales are at the highest level on record at 95 percent since NABOR® began tracking activity in July 2009 when traditional sales were reported at 51 percent of all sales. Only 5 percent of closed sales in March 2016 were non-traditional, short sales or foreclosed properties.
According to Cindy Carroll, SRA, with the real estate appraisal and consultancy firm Carroll & Carroll, Inc., “The report indicated that we had 7.2 months of inventory in March. This is an important number to watch as I think it shows a stabilization trend is well rooted.”
First Quarter Results
The NABOR® First Quarter 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® First Quarter 2016 sales statistics are presented in chart format, including these overall (single-family and condominium) findings:
- Overall pending sales decreased 23 percent to 2,786 in 1Q 2016 from 3,628 in 1Q 2015.
- Pending sales for single-family homes in the $500,000 to $1 million price category increased 11 percent to 308 single-family homes in 1Q 2016 from 277 single-family homes in 1Q 2015.
- Overall closed sales decreased 5 percent to 9,352 homes in the 12-months ending 1Q 2016 from 9,873 homes in the 12-months ending 1Q 2015.
- Overall median closed price increased 12 percent to $311,000 in the 12-months ending 1Q 2016 from $278,000 in the 12-months ending 1Q 2015.
- Overall inventory increased 33 percent to 5,651 homes in 1Q 2016 from 4,253 homes in 1Q 2015.
- Inventory for condominiums in the $300,000 and below price category increased 33 percent to 1,181 condominiums in 1Q 2016 from 887 condominiums in the 1Q 2015.
- Average days on market decreased 9 percent to 77 days in 1Q 2016 from 85 days in 1Q 2015.
About The Author
Kimberley Menkhorst
Kimberley Menkhorst is a Naples Realtor and Luxury Home Marketing Strategist, that’s an advocate for both buyers and sellers. Kim loves all aspects of marketing. Creativity, graphic design and strategic thinking are where she excels. As voracious reader and one who loves to research every little detail about every home, product or place, she also has a passion for social media, storytelling, and the business of digital media. Kim’s a Pennsylvania transplant who totally appreciates the weather, restaurants and lifestyle in Naples and wants to help others find their own fulfilling life here. When she’s not working, Kim can be found around town enjoying the tranquility of Naples with her husband Eddie, and two beautiful little girls.Follow Kim on Facebook, LinkedIn and Instagram.