Please remember that where ever you see highlighted text in this blog entry, you can double click on the highlighted text and be taken to more information.
The Naples Board of Realtors recently released the home sale statistics for February 2009. Not surprisingly, the market is still being driven by sales under $300,000.00. The overall market statistics show that in February 2009 there were 808 pending sales. This is a HUGE increase from the 479 pending sales in February 2008! Out of the 808 pending sales in Feb. 2009, a whopping 587 sales were under $300,000.00!
The overall market does show a slight dip in the average days on the market. Even though the listing inventory has dropped a bit, there is still a 27.9 month backlog inventory of listings in the overall market. Listing inventory for the overall market under $300,000.00 is at 20 months, while the overall market between $500,000.00 - $1,000,000.00 shows a 41.2 month inventory. A normal market is said to be one that has a 6 month inventory of listing inventory.
On another note, back in January my brother, Patrick was in for a visit. Patrick is the one in the white hat in this photo. My husband, Don is in the orange hat.
While Patrick and I were enjoying breakfast on the lanai and reading the paper together, I heard Pat say, "This is not going to be good." He was referring to the article he read in the paper about Chinese drywall. Well, Pat's words proved to be true. Chinese drywall that was used in some new construction in SW Florida has caused corroding of air conditioner coils and other copper and metal surfaces. This drywall is also known to emit a sulfur odor throughout the house.
From what I have read, during the real estate boom hurricane Katrina struck and builders could not get enough drywall for their new construction. Some builders made the decision to purchase drywall that had been made in China to make their deadlines. The result of those decisions have now lead to a huge mess and no doubt many law suites. The Naples Daily News published an article the other day by Tara McLaughlin, entitled Foul smell from Chinese drywall causing health problems, some say What will happen to all the homes that were built with Chinese drywall? I am sure it will take a while to sort out all this mess.
March 12th found Don and I taking a walk down to the beach for sunset. I snapped this photo to share with you!
It always amazes me how so many people are drawn to the beach for sunset. The minute the sun sinks into the water, you can hear people applaud. While the Naples real estate market may take a while to come back to "normal", there are still some fantastic buys in all price ranges. If you owned a home in Naples, you could be enjoying sunsets like this on the beach with your group of friends!
The January 2009 Florida Sales Reports have recently been released. Existing Single Family Homes showed a 24% increase in the number of Realtor® Sales from January 2008. The median sales prices were down 33%.
Existing Condominiums showed a 13% increase in the number of Realtor® Sales from January 2008. The median sale price was down 40%.
Please note that the Naples Board of Realtors® does not contribute statistics to this Statewide report.
If I had a nickel for every time some one asked me if I thought the Naples market had hit the bottom, I could retire from real estate. I actually have a crystal ball on my desk here in my office but I have to tell you that it is ALWAYS cloudy!
My best guess it that all the new construction that was built in the last few years in the Eastern part of Naples is going to take a while to hit bottom. There is still a tremendous amount of inventor out there.
Properties on the water or close to the water may still go down a tic but due to their location, I can't see them tanking. I think we may be seeing the bottom coming up for these properties.
The Naples market still continues to be driven by the under $300,000.00 market. If you are in this price range, you have active competition from other buyers.
The Chicago Tribune recently published an article describing Naples as a peaceful spot where families can enjoy their spring break vacations. From the looks of the beaches in Naples recently, I would say we do have many young families enjoying their spring breaks. I find it delightful to see these families with young children enjoying our beaches. Kids just seem to love chasing sea gulls on the beach.
March is normally a busy month in Naples. We will have more snow birds coming down to enjoy our warm weather. My office has seen an increase in sales contracts written this year compared to the same time period last year. What will this March bring us? Oops! My crystal ball is STILL cloudy!
ContactUs Think Lynn Wilber when buying or selling in SW Florida !!! Downing-Frye Realty, Inc. is a Florida licensed real estate brokerage