01 Aug Bonita Bay Real Estate News | August 2023
As of August 1, 2023, there are 44 active listings in our area multiple listing service (MLS) in Bonita Bay; 7 less than last month.
For comparison, last year on August 1, there were 14 listings in Bonita Bay.
There are 11 single-family homes on the market from $795,000 to $4,600,000. The average list price is $2,425,636 and the average days on the market is 97. The combined days on the market is 146.
There are 14 listings in the carriage, mid-rise, townhouse, and attached villa market with prices ranging from $454,900 to $950,000. The average list price is $638,621 and the average days on the market is 71. The combined days on the market is 99.
In the high-rise market, there are 19 active listings in Bonita Bay ranging in price from $1,199,000 to $5,499,000. The average list price is $2,909,211 and the average days on the market is 184. The combined days on the market is 186.
In the high-rise market, there are 23 active listings in Bonita Bay ranging in price from $869,900 to $5,550,000. The average list price is $2,756,865 and the average days on the market is 152. The combined days on the market is 154.
A reminder, you have access to the most comprehensive website devoted to Bonita Bay, BonitaBayRealty.com. I’ve included maps, floor plans, photos, and descriptions of each neighborhood within this desirable community.
Please contact me for all your real estate needs in Bonita Bay. With over 35 years of helping buyers and sellers in SWFL, my experience will be invaluable in this fast-moving, low-inventory market.
Your Bonita Bay REALTOR®,
Ed Gongola
SUMMARY OF BONITA BAY HOME SALES
If you are considering selling your Bonita Bay home, here are some statistics that may help you decide to place your home on the market:
BONITA BAY CARRIAGE, MID-RISE, TOWNHOUSE AND ATTACHED VILLA HOMES
- Within the last 12 months, there were 55 sales with an average sales price of $693,044; these condos were on the market an average of 30 days; combined days on the market is 75.
- During the 12 months previous, there were 100 sales with an average sales price of condominiums was $598,031; these homes were on the market for 9 days; combined days on the market is 51.
BONITA BAY HIGH-RISES
- During the last 12 months, there were 60 sales with an average sales price of $3,338,375; these homes were on the market an average of 121; combined days on the market is 451.
- During the 12 months previous, there were 69 sales with an average sales price of $1,987,745; these homes were on the market for an average of 39 days; combined days on the market is 97.
SINGLE-FAMILY BONITA BAY HOMES
- During the last 12 months, there were 47 sales with an average sales price of $2,173,250; these homes were on the market an average of 35 days; combined days on the market is 102.
- During the 12 months previous, there were 46 sales with an average sales price of $2,065,832; these homes were on the market for an average of 35 days; combined days on the market is 99.
For a list of BONITA BAY homes sold in the last 12 months, click here.
For a list of BONITA BAY homes that are pending at the moment, click here.
Meet Ed Gongola and discover how he can help you with his concierge style of service when buying or selling your home.
August 2023 Market Update
DOWNING-FRYE: SUMMER COOLS AS SALES HEAT-UP
“As the kids head back to school, it’s a reminder that summer is coming to a close,” said Mike Hughes, V. P. and Gen. Mgr. of Downing-Frye Realty, Inc. “Several observations can be made as we look back on our Downing- Frye summer season. First is that the high-end buyers were more active this summer than what we normally see. Second, a higher percentage of offers from buyers that are financing their purchases were being accepted this summer compared to what we saw earlier in the year. Third, while our inventory has risen over what is was a year ago, it has not increased all that much since buyer activity has been keeping inventory levels largely in check. And the last observation is that the number of our rental listings has risen 36% since the end of 2022, allowing many more opportunities for people to come and enjoy Southwest Florida. Now we are getting ready for the fall season, and buyers will enjoy viewing the wide variety of listings available in our area. Hopefully the hot temperatures will cool down a bit as the fall sales heat up!”
BONITA / ESTERO: 3-MONTH INVENTORY SUPPLY
In comparing June 2022 to June 2023, the Bonita Springs-Estero market saw a decrease in new listings by 23.7%, a decrease in median closed prices by 2.5%, and an increase in days on the market from 15 days in June 2022 to 45 days in June 2023. There was also a 31% increase in active inventory.
June 2023 experienced the highest number of financed transactions at 40% since August 2022 (when rates were in the low 5% range), indicating an increasing number of buyers aren’t viewing the current mortgage rates as an obstacle and are moving forward with their purchases. In June 2023 there were 258 new listings, 211 pending sales and 278 closed sales. The median closed sales price was $536,000. Cash sales accounted for 60% of all sales and the sales prices averaged 97.4% of the listed prices.
NAPLES AREA: MARKET PRIME FOR SUMMER BUYERS
The dip in overall closed sales for June (837 for June 2023 vs. 969 for June 2022) appears temporary and did not affect the median closed price, which was $602,484, an increase of 0.4%. The percent of list price received during June decreased 2.9% to 96.2% from 99.1% in June 2022. Overall inventory continues to rise compared to 2022 levels. June had an 8.2% increase in overall inventory to 2,659 homes from 2,457 homes. But according to the area’s top brokers, this increase was due to low sales for the month and not because of new listings, which decreased 28.2% to 860 new listings from 1,198 new listings in June 2022. In comparing June 2023 to June 2022, total closed sales were down 13.6% while pending sales were up 0.8%. The average days on the market for all property types increased from 19 days in June 2022 to 50days in June 2023.
MARCO ISLAND AREA: 69% CASH BUYERS
The Marco Island Area Assoc. of Realtors® reported June 2023 figures: 35 homes were sold for the median sell price of $1.7M (home sales up 59% from June 2022) averaging 76 days on the market; 37 condos were sold for the median sell price of $750K (condo sales down 29% from June 2022) averaging 46 days on the market; 6 lots were sold with the median sell price of $710K (lot sales down 14% from June 2022) averaging 76 days on the market. The total inventory at the end of June 2023 was 462 properties (up 62% from June 2022).
FLORIDA: PRICES STABILIZING
In June 2023 closed sales of existing single-family homes statewide totaled 26,071, down 7.9% year- over-year, while existing condo-townhouse sales totaled 10,494, down 11% over June 2022. The statewide median sales price for single-family existing homes in June was $420,000, the same as the previous year, while the statewide median price for condo-townhouse units was $325,000, relatively the same as the June 2022 figure. On the supply side of the market, single-family existing homes were at a 2.8-months’ supply in June, while condo-townhouse properties were at a 3.6-months’ supply.
USA: NOT ENOUGH HOMES FOR SALE
Existing-home sales dropped 3.3% in June to a seasonally adjusted annual rate of 4.16 million. Sales trailed off by 18.9% from one year ago. At $410,200, the median existing-home sales price for June was the second-highest price ever recorded and just 0.9% less than the all-time high from one year ago of $413,800. At 1.08 million at the end of June, the inventory of unsold existing homes was the equivalent of 3.1 months’ supply at the current monthly sales pace.
Sources: The Bonita Springs-Estero REALTORS®/SWFLMLS, Naples Area Board of REALTORS®, National Assoc. of REALTORS®, Florida REALTORS® and Marco Island Area Assoc. of REALTORS®
Florida’s Real Estate Transfer Tax: What to Know
By Michael Iakovou and Olivia Piluso
Florida charges a transfer fee – a documentary stamp tax – on most real estate transactions, but there are exceptions. What is it, when is it applied and how much is charged?
What is transfer tax? Transfer tax is a tax imposed on the seller during a conveyance of property. In Florida, transfer tax is referred to as a documentary stamp tax.
So, what do you need to be aware of when it comes to Florida’s real estate transfer tax, primarily as it relates to transfers between private parties?
Conveyances commonly subject to transfer tax in Florida are:
- Deeds conveying real property for consideration
- Exchanges of real property
- A deed in lieu of foreclosure transferring real property from a defaulting borrower to the lender (Conveys title to a lender when a defaulting borrower wants to prevent foreclosure.)
- Real property sold under foreclosure (Once a property is foreclosed on, transfer tax must be paid on the highest bid received for the property at the foreclosure sale.)
- Contracts, agreements, leases, and other documents conveying an interest in standing timber, pine stumps, oil or gas leases, and assignments or conveyances of oil, gas, mineral rights, or royalty interested affecting land in Florida
- Instruments granting a tenant-stockholder the right to occupy an apartment in a building
- Instruments conveying an ownership in a condominium unit
- Documents conveying cemetery lots, interment rights or sepulcher rights
- Easements transferring an interest in real property
- Conveyances to or by banks or savings and loan associations
- An installment contract (Installment contract is also known as an Agreement for Deed.)
- A cancelation of an agreement for a deed (If the purchaser has no personal liability for a default, then the cancelation is not taxable.)
- A gift of real property encumbered by a mortgage (Tax is based on the unpaid balance of the mortgage at the time of transfer.)
- The sale of a mobile home if it is permanently affixed to the land
- An assignment of a lease if consideration is paid
- An assignment of a successful bid at a foreclosure sale
- An assignment of a beneficial interest in a Florida land trust
- A deed between spouses which transfers an interest in Florida real property
- A deed to or from a trustee conveying real property (This is only applicable when the deed transfers the beneficial ownership of the real property; and consideration is given or paid for the transfer.)
- Certain direct transfers of real property by a partnership to one of its partners
Generally under Florida law, when ownership interests in an entity owning real property are transferred, transfer taxes are usually not triggered. The exception to this rule is transfers of interest in conduit entities.
A conduit entity is a legal entity to which real property is transferred without full consideration by a grantor who owns a direct or indirect interest in the entity. If ownership interests in a conduit entity are transferred for consideration within three years after real property is conveyed to the conduit entity, then the transfer of ownership interest is subject to transfer tax. (If the conduit entity owns other assets, then the required transfer tax is prorated based on: the value of the transferred real property/the value of all assets owned by the conduit entity.)
Transfer of ownership interests in a conduit entity is not subject to transfer taxes if one or more of the following applies:
- The transfer is a gift
- The entity shares are publicly traded on a regulated security exchange
- The transfer is made for estate planning purposes by a natural person to an irrevocable grantor trust
Conveyances not subject to transfer tax in Florida are:
- A mortgage, release of mortgage, a satisfaction of mortgage, or a reconveyance of real property
- A gift of unencumbered real property
- A deed conveying real property when the consideration is nominal
- Corrective deeds recorded to correct an error or deficiency in a previous deed on which the tax has already been paid
- A personal representative’s deed given by a personal representative under the terms of a will
- A deed conveying real property from an agent to the agent’s principal if the real property is purchased for the principal and with the principal’s funds
- A partition deed of unencumbered real property
- Leases of real property if the only consideration given to the landlord is the tenant’s promise to pay future rent
- Conveyances from a bank, savings and loan association, or other mortgagee to a federal agency under a guaranty contract
- Conveyances between exempt parties (Exempt parties include: the United States Government; the State of Florida; Florida counties, municipalities, and public agencies; Federal and state agencies and their instrumentalities. Note that conveyances between exempt and nonexempt parties are still subject to tax.)
- Conveyances to the United States or its agencies
- Cancelling a non-recourse agreement for deed
- Conveyances to governmental entities
- An assignment or transfer of real property from certain nonprofit organizations
- A transfer of interest in real property under a confirmed bankruptcy plan
- Under certain specific circumstances – a deed transferring the martial home between spouses
- A transfer for a real property agreement for certain educational facilities
- A contract to sell the residence of an employee relocating (This exemption only applies when the contract is between the employee and the employer or the employee and an employee relocating services business.)
- Consideration
Transfer tax is calculated based on the total consideration for the conveyance.
What is consideration? Consideration is the price paid for the real property interest acquired. If property other than money is exchanged for real property, then it is presumed – for the purposes of consideration – that the amount is equal to the fair market value of the real property interest being transferred.
Transfer tax rate
The current transfer tax rate is $0.70 for every $100.00 of consideration (i.e., 0.70%). An additional surtax may be charged by charter counties in Florida. This surtax cannot be more than $0.45 for every $100.00 of consideration (i.e., 0.45%).
The only county that authorizes an additional surtax is Miami-Dade County. For transfers that involve no consideration, other than a stated nominal consideration, a minimum tax of $0.70 must be paid.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
© Mondaq Ltd, 2023; Originally published 03/09/2023. Michael Iakovou, KI Legal, 40 Wall Street, 49th Floor, New York, NY
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Naples Housing Market Prime for Summer Buyers
Broker analysts reviewing the June 2023 Market Report by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), believe a surge in summer travel contributed to the reduction in home sales in Naples during June.
Broker analysts reviewing the June 2023 Market Report by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), believe a surge in summer travel contributed to the reduction in home sales in Naples during June.
The report showed a 13.6 percent decrease in overall closed sales for the month to 837 closed sales from 969 closed sales in June 2022. Though the dip in closed sales appears temporary and may not linger into July’s closed sales data as overall pending sales (homes under contract) in June increased 0.8 percent to 800 pending sales from 794 pending sales, and June’s showings increased slightly from showings reported in June 2022. Fortunately, slow sales in June did not impact home prices as the median closed price reported in June increased 0.4 percent to $602,494 from $600,000 in June 2022.
Upon reviewing the report, Dominic Pallini, Broker at Vanderbilt Realty, Inc., remarked that he believes “a change in consumer sentiment is coming as people get more comfortable with higher interest rates. I think they went up too fast and it frightened a large segment of home buyers. But we’re starting to see more price negotiations and realistic list prices.”
The percent of list price received during June decreased 2.9 percent to 96.2 percent from 99.1 percent in June 2022. “Last year, sellers were immobile on prices,” said Wes Kunkle, President and Managing Broker at Kunkle International Realty. “But I haven’t heard of any bidding wars this year, and the drop in list price received indicates more price negotiations.”
“Buyer hesitation today is fueled by the three horsemen of the homebuying apocalypse: insurance, property taxes and interest rates,” said Jillian Young, President, Premiere Plus Realty. “Despite these challenges, the Naples area remains a highly desirable lifestyle destination for high-net worth individuals. In the last year, there have been 193 home sales over $5 million.”
Overall inventory continues to rise compared to 2022 levels. June had an 8.2 percent increase in overall inventory to 2,659 homes from 2,457 homes. But according to the area’s top brokers, this increase was due to low sales for the month and not because of new listings, which decreased 28.2 percent to 860 new listings from 1,198 new listings in June 2022.
The NABOR® June 2023 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. NABOR® sales statistics are presented in chart format, including these overall (single-family and condominium) findings for 2023:
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“Travel is the elixir that will make people feel inspired to buy again once they return home from summer vacations,” said Cindy Carroll of Carroll & Carroll Appraisers & Consultants, LLC. “It’s been 15 months since the market peaked [December 2021]. We’ve been through a pandemic and hurricane and still the monthly reports fail to indicate a market correction will happen anytime soon as median and average closed prices continue to hold steady.”
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If you are looking to buy or sell a home in Naples, contact a Naples REALTOR® who has the experience and knowledge to provide an accurate market comparison or negotiate a sale. A REALTOR® can ensure your next purchase or sale in the Naples area is a success. Search for your dream home and find a Naples REALTOR® on Naplesarea.com.
The Naples Area Board of REALTORS® (NABOR®) is an established organization (Chartered in 1949) whose members have a positive and progressive impact on the Naples Community. NABOR® is a local board of REALTORS® and real estate professionals with a legacy of nearly 60 years serving 6,000 plus members. NABOR® is a member of the Florida Realtors and the National Association of REALTORS®, which is the largest association in the United States with more than 1.3 million members and over 1,400 local board of REALTORS® nationwide. NABOR® is structured to provide programs and services to its membership through various committees and the NABOR® Board of Directors, all of whose members are non-paid volunteers.
The term REALTOR® is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribe to its strict Code of Ethics.
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Why Chose Me as Your REALTOR®?
To learn more about me and my real estate business and Bonita Bay real estate specifically, I encourage you read the About Ed section as well as the Testimonial section of the site. Over the years, my clients have expressed their satisfaction in my services and I’ve showcased their kind words so you can determine if I am the right REALTOR® to represent you.If you are curious as to my sales success, visit my Sold Homes page. This gives a clear picture of exactly what I’ve accomplished and, more importantly, what I can accomplish for you. |
