Home Values Stay Strong and Inventory Grows in March
In March 2024, the Naples housing market showed continued positive trends, drawing the attention of both buyers and sellers. According to the latest report by the Naples Area Board of REALTORS® (NABOR®), there was a notable 67.6% increase in inventory, rising to 5,283 properties from 3,153 in March 2023. Home prices also experienced steady appreciation, increasing by 6% to reach $649,000 compared to $612,000 in the same month last year. Despite this growth, March saw 2,667 price reductions, the highest in over five years. Analysts suggest these reductions are strategic moves by sellers to remain competitive rather than indicators of a declining market.
Sales Activity and Market Dynamics
Closed sales in March saw a 14.2% decline, dropping to 893 from 1,041 in March 2023. While higher interest rates are often cited as a factor, Budge Huskey of Premier Sotheby’s International Realty emphasizes that the significant increase in home prices over recent years has a more substantial impact on buyers. This is especially true given the region’s lower loan-to-value ratios and the high amount of cash transactions.
Cash Sales on the Rise
Also–63% of transactions in March were cash sales. This underscores the strong presence of cash buyers in the Naples market, despite rising home prices and increased insurance rates.
What Does All of this Mean for You, Prospective Buyer or Seller?
For prospective buyers, the expanded inventory means more options and opportunities to find your ideal home. While home prices are steadily appreciating, the strategic price reductions by sellers can present chances to secure a property at a more competitive price. For sellers, the increased inventory and competitive pricing strategies are crucial to attract buyers in this dynamic market. The high percentage of cash transactions indicates strong confidence in the Naples market, signaling robust demand. Whether buying or selling, staying informed and prepared will help you navigate and succeed in this evolving real estate landscape.
If you are considering buying or selling your home, look to Shawn Stuben Naples Properties. I have the ability to provide an accurate market comparison and give you expert advice on how to take advantage of today’s market conditions. I can ensure your next purchase or sale in the Naples area is a success.
When it comes to navigating this complex real estate market, rest assured, you’re not alone. I am always here to help you make the most informed decision.
It’s time.
Shawn Stuben
