Monday, September 21, 2015 / by Michael Donovan
“We are still seeing significant inventory tightness in the lower price ranges...”
Naples single-family homes priciest in Florida
Existing single-family homes in the Naples area were the most expensive in the state last month, more than twice the Florida median, a new report said.
And single-family price growth in both Collier and Lee counties beat the statewide medfian.
Naples-Marco Island ranked fourth in Florida out of 10 metro areas in terms of price growth year-over-year in August, according to a report by Florida Realtors released Monday. The Cape Coral-Fort Myers area ranked sixth.
Single-family home prices in the Naples area reached a median of $414,000 in August compared with a year earlier, when they were $359,000, a 15.3 percent increase.
In Cape Coral Fort Myers, they hit $205,000, up 12.3 percent from $182,500 a year earlier.
Statewide, detached homes rose 11.1 percent, to $199,900 from $180,000.
Town houses and condos in Southwest Florida saw a more moderate pace of price growth. In Naples-Marco Island, they were up 6.7 percent, to $240,000 from $225,000, while in Cape Coral-Fort Myers, they were up 6.3 percent, to $170,000 from $160,000.
By comparison, statewide they were up 10.3 percent, to $150,000 from $136,000.
And in another bit of good news for Florida sellers, the average percentage of original list price received rose slightly over the year, to 94.5 percent for single-family homes, and 93.2 percent for town houses and condos.
Yet the once-frenetic pact of sales throughout the state is moderating, said Florida Realtors chief economist John Tuccillo in the report.
He expects that slower pace to continue for the rest of the year, partly because the number of new listings in both detached and attached housing has shrunk.
“We are still seeing significant inventory tightness in the lower price ranges,” he explained. “That trend, together with rising rents, poses something of a challenge for companies seeking to relocate to Florida in need of potential workforce housing.”
He noted that supply statewide is below the 6-month inventory range considered balanced. For single-family homes it’s 4.3 months, and for condos 5.2 months.
Despite the tight supply, Mike Hughes, president of the Naples Area Board of Realtors, said demand for housing in Southwest Florida remains strong. Those who need financing for a home and are anticipating a rise in mortgage interest rates are particularly eager to buy.
“Everyone became spoiled with interest rates in the 3 and 4 percent range,” he said. “Now they’re worried they soon may be paying a higher rate.”