Olde Naples Market Update 5/8/12

 Olde Naples is in an under-supplied inventory situation but I am not seeing a typical trend here!  With 183 closed sales during the past 12 months and 33 Olde Naples listings currently under contract, you would think prices and negotiations would be changing more in favor for the seller....but that's not what numbers are showing...

Olde Naples sales are up 17% compared to the year before and inventories have since not only stabilized but are tilted slightly towards an under-supply which means negotiations should be tightening and pricing should start going up but look at these results:

During the past 12 months:
70 Olde Naples Homes have sold (20% increase over 12 months prior)
113 Olde Naples multi-family properties have sold (14% increase over 12 months prior)
Avg. list $/sq. ft. multi-family SOLD= $349 (down 4% from 12 months prior)
Avg. sold $/sq. ft. multi-family= $318 (down 2% from 12 months prior)
Avg. list $ to sales $ ratio for Olde Naples multi-family = 91% up 1%
Avg. market time for Olde Naples multi-family SOLD is now 308 days 
Avg. list $/sq. ft. home SOLD= $628 (down 10% from 12 months prior)
Avg. sold $/sq. ft. home= $554 (down 23% from 12 months prior)
Avg. list/sales $ ratio for Olde Naples Homes = 88% (down 8% from 12 months prior)
Avg. market time for Olde Naples Homes SOLD is now 223 days (down 43%)


12 months prior:
58 Olde Naples Homes sold
99 Olde Naples multi-family sold
Avg. list $/sq. ft. multi-family= $362
Avg. sold $/sq. ft. multi-family= $327
Avg. list $ to sales $ ratio for Olde Naples multi-family = 90%
Avg. market time for Olde Naples multi-family  292 days
Average list price per square foot home SOLD= $696
Average sold price per square foot home= $684
Average list price to sales price ratio for Olde Naples Homes= 95%
Average market time for Olde Naples Home was 319 days

If you made it through the numbers you can see there's been quite a bit of movement in Olde Naples during the past 24 months and even though product is selling there are still several signs that show now is an excellent time to be purchasing.  The reason why is because there's proof of plenty of movement and not a whole lot of pricing increases or negotiations tightening so you can easily see proof of value without having to "pay for it" if you will.

The summer is a perfect time to try to negotiate an Olde Naples deal because of these 3 reasons:

1.  Many sellers believe they may have missed their best shot to sell since many people who come down for season have since gone back to where they came from.

2.  The odds of competing with another buyer on an offer (while still possible) may not be as probable which means you may still have a shot at a good negotiation.

3.  If you do it between now and October, you will probably capture the seller's attention since they may not be expecting you and the opportunity to not hold the property through the summer months might be an attractive point to the seller convincing them to negotiate with their best intentions now.

If you've made a conscious decision to purchase during the off season buyer beware.  You aren't the only one here purchasing right now and to come in with no strategy with the concept that you're the only one here doing what you're doing may end up biting you in the tail. 

You want an excellent negotiation strategy even now if you're purchasing in Olde Naples or for that matter, anywhere in Naples.  You have some excellent points to discuss and I've found if you present those points in a tasteful manner, you can often come to a successful negotiation.  

Contact me when you have your travel plans arranges so I can assist you with gaining access for viewing and allow you the most optimum opportunity for a successful negotiation! 

Best Regards,

Shannon Lefevre, PA
Your Naples Smart Girl!

PS~Happy Mother's Day to all of my Mommy Naples Real Estate blog readers! You have a special gift, and beautiful job. Bless you.

Naples Luxury Real Estate Market Update

Hello Naples Fans! I just attended a contract seminar presented by one of the best real estate attorneys in Naples.  He shared best practice points on how to protect buyers and sellers from some of the gruesome pitfalls he's seen so far this year.  Also in the audience were about 45 of the other top agents in town. This is an invite only seminar which means this type of information is not readily available to just any agent and yet another reason why you want to list and buy with a Naples Realtor who:

• is properly connected
  
• knows the contract
  
• knows how to protect their client
• has their finger on the Naples real estate pulse

While I was there I took the opportunity to have Kevin quickly describe the Naples real estate market through his eyes.  The most stand out thing he had to say was that he wasn't seeing too much golf course community sales right now but that Naples beachfront was on fire.  This lead me to do some further research of my own to quantify his remark.  $1,000,000+ pending properties are up 45% during the last 30 days compared to this time last year.  This is GREAT if you're a Naples luxury real estate seller, not as great news if you're a Naples luxury real estate buyer.  As an example 5 Olde Naples homes listed over $1,000,000 have gone under contract during the past 30 days. That's significant considering that's 7% of the current Olde Naples single family home market.  Naples beachfront is doing well by the way. As an example 3 Contessa at Bay Colony units have gone under contract during the last 30 days. That's 42% of the current inventory in that building sold in 30 days. Several other Naples beachfront sales were documented as well.

If you're a Naples luxury buyer: Please know this year you are not alone and while cash will usually always speak louder than a mortgage contingency, you will want to act when you see something you like compared to waiting around til the end of season to pull the trigger.  I saw a few people last year attempt this and they lost.
  This does not by any means signify that we're at the stage in the market where you need to pay full price or over list in almost all cases.  This does mean that you will want to behave a little more aggressively to avoid competing with another buyer and be a little more strategic about your negotiations than you've needed to during the past several years to make the best attempt to get your deal done.
If you're a Naples luxury seller:  and your property is located on the beach you're in a great spot to make something happen this season provided you don't get too carried away on pricing.  The object of the game is to price well, be exposed properly and be prepared to negotiate the best terms possible for you.  If you price your property well, the odds of getting two buyers competing for your property at the same time are much better this year. This can be a great way to get the most for your unit if handled well. That's why you want to list your property with an expert who knows not only how to put your property in MLS but can also enthusiastically help you negotiate the best terms.  If you're not located on the beach, let's talk about your scenario on a case by case basis. Many of you will still have good news to hear.

Here's something else I found interesting. For the first 12 days of December last year there were 208 properties that went back on the market. Those are properties that had been withdrawn off the market and went back on and properties that were under contract, the contract terminated and then they went back on the market.  This number is usually higher during a poor market and lower during a stable market.  This year during the same time frame that number is down 42%. Another sign of market stability.


On a side note I want to mention how difficult it can sometimes be to explain a topic that's so inconsistent with the rest of the world.  Naples real estate is rarely on the same playing field as so many other markets and has a history of not conforming to what is happening with real estate with the US market as a whole. We were one of the first markets to cool and appear to be one of the first markets to recover. We are happy and consider ourselves fortunate for this.  If you have not been following me for long you will be happy to know I am an agent who values true transparency.  That's why you'll see actual sales data on my website to help you better understand the Naples market.  I do this in an effort to win your business which by the way is my goal.  That's why I am so interested in helping you achieve your goal.
Please help me help you by making appointments in advance.  It bums me out when I can't assist you personally!
I hope you enjoyed my Naples luxury real estate update.  Please contact me direct when you're ready to dive in!
Best Regards,
Shannon Lefevre, PA
Your Naples Smart Girl!