Naples, FL Metro Area Housing Market Analysis - August 2024
The housing market in the Naples, FL metro area presents a complex landscape as of August 2024, characterized by a mix of rising prices and declining sales activity.
The Median Sales Price for homes in Naples has increased by 3.3% year-over-year (YoY), reaching $620,000. This upward trend in sales prices is mirrored by the median Price Per Square Foot, which has seen a modest rise of 0.3% YoY to $355.84. However, the Median List Price has slightly decreased by 0.3% YoY to $652,450, indicating a potential softening in seller expectations.
Despite the increase in sales prices, the market is experiencing a significant decline in sales activity. The number of Homes Sold has dropped by 24.2% YoY to 606 units, and Pending Sales have decreased by 22.1% YoY to 645 units. New Listings have also seen a decline, down by 6.2% YoY to 878 units. This reduction in sales and New Listings is juxtaposed with a substantial increase in inventory, which has surged by 41.8% YoY to 4,276 units. Consequently, the Months of Supply have dramatically increased by 330.0% YoY to 7.10 months, suggesting a shift towards a buyer's market.
The Median Days on Market have risen by 30.0% YoY to 74 days, indicating that homes are taking longer to sell. The average sale to list ratio has slightly decreased by 0.9% YoY to 95.2%, and the percentage of Homes Sold above list price has dropped by 3.2% YoY to 4.0%. These metrics suggest that buyers are gaining more negotiating power.
Price Drops have remained relatively stable, with a minor decrease of 0.4% YoY to 21.6%. However, the percentage of homes going off the market within two weeks has declined by 5.8% YoY to 17.4%, further indicating a cooling market.
In summary, the Naples, FL metro area housing market is experiencing rising prices amidst declining sales and increasing inventory. This dynamic suggests a shift towards a more balanced market, with potential opportunities for buyers as inventory grows and homes take longer to sell.
