Naples Real Estate Market Update: Limited Inventory & Decreased Sales
Limited inventory of existing homes continues to be the issue in the Naples market. Inventory decreased 9% in the 3rd quarter of 2014 compared to the 3rd quarter of 2013. This low inventory led to a 10 percent decrease in pending sales and an 11% decrease in closed sales compared to last year.
This statistic is misleading because the amount of closed and pending sales in properties above $300,000 has increased.
In fact, the overall closed sales in the $1 million to $2 million category increased 14 percent from 91 in 3rd quarter 2013 to 104 in 3rd quarter 2014.
There is an influx of new construction inventory in the area as new communities are popping up all around town. Although this may help fill the void caused by the lack of resale properties, the resale market is still the most desirable due to location being such an important factor to most buyers.
The overall median home price increased 13% from $234,000 in 3rd quarter 2013 to $265,000 in 3rd quarter 2014.