There have been a lot of developments in the real estate market since the end of 2021. To start with, there’s been a 34.5% increase in new listings which created 19,277 more showings during January compared to new listings and showings in December 2021. While this increase in new listings is customary for season, it definitely shows a solid starting line for the real estate market this year. Although, we still have record low inventory reducing the total number of sales.
Because of the lack of inventory, January 2022 sales activity was not as high as in January 2021. Our normal annual pattern shows month-to-month sales activity during season which peaks through April. However, due to a 74.9% decrease in inventory for January 2022 to 1,122 homes as compared to 4,474 homes in January 2021 cannot spark the same number of sales transactions that occurred last season.
Are there still opportunities for buyers of Naples real estate? Yes. They’re not what they were in 2021, 2020 and certainly not 2019 but it’s still possible to buy. There were 1,272 new listings for potential buyers to explore resulting in a 32% increase in pending sales to 1,373 pending sales during January 2022 compared to 1,038 pending sales reported in December 2021.
Is cash better to gain an advantage in the market? Cash sales exceeded 63% in January which is a good for homeowners and equity in homes. Multiple offers are increasing in this market and homes are selling for more than the original listing price which is great for sellers.
The overall median closed price increased 39% in January to $549,000 from $395,000 in January 2021. The condominium market continued to report sales at an above list price trend for the second month in a row, and a 47.2% increase in median closed price in January to $427,000 from $290,132 in January 2021. The median closed price for single-family homes rose 25.1% in January to $675,000 from $539,500 in January 2021.
We have less than a one-month supply of homes in Naples. Closed sales during January could not achieve the same the level of activity from a year ago and decreased 27.9% to 818 closed sales from 1,134 closed sales in January 2021. Pending sales – which reflect the number of new homes under contract – decreased 37.9% to 1,373 from 2,210 in January 2021; but, as mentioned above, pending sales in January increased by 335 contracts (32%) compared to pending sales reported in December 2021 (1,038).
It’s a great time to sell or reposition yourself in the Naples real estate market. We’ve set new records in several neighborhoods and are on track to set several more this quarter. Thanks for your support and if you need anything, please feel free to reach out to us any time!
