01 Dec Bonita Bay Real Estate News | December 2023
As of December 1, 2023, there are 77 active listings in our area multiple listing service (MLS) in Bonita Bay; 15 more than last month.
For comparison, last year on Dec. 1, there were 19 listings in Bonita Bay.
There are 21 single-family homes on the market from $775,000 to $6,995,000. The average list price is $2,720,714 and the average days on the market is 93. The combined days on the market is 125.
There are 27 listings in the carriage, mid-rise, townhouse, and attached villa market with prices ranging from $395,000 to $1,375,000. The average list price is $714,554 and the average days on the market is 72. The combined days on the market is 86.
In the high-rise market, there are 29 active listings in Bonita Bay ranging in price from $1,199,000 to $5,900,000. The average list price is $2,734,793 and the average days on the market is 125. The combined days on the market is 153.
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 61 sales with an average sales price of $700,056; these condos were on the market an average of 38 days; combined days on the market is 85.
- During the 12 months previous, there were 82 sales with an average sales price of condominiums was $626,528; these homes were on the market for 13 days; combined days on the market is 55.
BONITA BAY HIGH-RISES
- During the last 12 months, there were 69 sales with an average sales price of $3,045,422; these homes were on the market an average of 125; combined days on the market is 419.
- During the 12 months previous, there were 56 sales with an average sales price of $2,102,552; these homes were on the market for an average of 30 days; combined days on the market is 90.
SINGLE-FAMILY BONITA BAY HOMES
- During the last 12 months, there were 51 sales with an average sales price of $2,094,348; these homes were on the market an average of 37 days; combined days on the market is 103.
- During the 12 months previous, there were 43 sales with an average sales price of $2,164,076; these homes were on the market for an average of 37 days; combined days on the market is 105.
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.
December 2023 Market Update
DOWNING-FRYE: THE WINTER HIGH-SEASON HAS BEGUN
“Visitors are starting to arrive in Southwest Florida,” said Mike Hughes, V. P. and Gen. Mgr. of Downing-Frye Realty, Inc. “This annual occurrence is always welcome news to our Downing-Frye agents. November was a bit slow for closings (Downing-Frye agents had 106 closings for the month), but factors are changing. We now have a rising inventory of available listings, and, according to Dr. Lawrence Yun, Chief Economist for the National Association of Realtors, mortgage rates are projected to be in the 6-7% range in 2024 – both of which will help buyers as more options are available. We expect inventory levels to be higher this winter season (Christmas to Easter) than last year, helping to bring our market into balance. One final note for 2023 is that the high-end market continues to be quite active, so the final 2023 numbers for this market segment should be quite good. All in all, our Downing-Frye agents are prepared for season!”
BONITA / ESTERO: MORE CHOICES FOR BUYERS
Inventory levels surged in October 2023. Active inventory rose from 539 to 931 listings for a substantial 72.7% increase, leaving the current market with 3.9 months’ worth of inventory, signifying a 105.3% rise from last year. Moreover, there was a notable 57.8% increase in new listings. (The surge in inventory has also led to an increase in available rental properties.) Despite the increased inventory, the median closed price continued its upward trend, rising by $40,000 from $540,000 in 2022 to $580,000 in October 2023. Interest rates remain a significant factor influencing the overall market, but cash transactions continue to dominate, comprising 66.3% of all transactions, underscoring the current limited influence of interest rates on local market dynamics.
NAPLES AREA: OCTOBER INVENTORY EXPANDS
From October 2022 to October 2023, condominium listings rose 61.9% from 378 new listings in October 2022 to 612 new listings in October 2023, while single-family home new listings increased 11.3% from 556 to 619 new single-family home listings. (One factor contributing to a rise in new listings this October was the need for many homeowners to postpone listing their properties for sale until damage from Hurricane Ian could be repaired.) In October 2023, the median closed price was $705,000 for single-family homes and $439,500 for condominiums. At the end of October 2023, theoveralllistinginventorywas3,367properties, up 29.6% over the year ago figure. Average days on the market went from 41 days in October 2022 to 56 in October 2023.
MARCO ISLAND AREA: VOLUME SOLD +18%
The Marco Island Area Assoc. of Realtors® reported October 2023 figures: 22 homes were sold for the median sell price of $1.7M, averaging 91 days on the market; 25 condos were sold for the median sell price of $580K, averaging 97 days on the market; 6 lots were sold with the median sell price of $863K, averaging 102 days on the market. The total inventory at the end of October 2023 was 419 properties (up 30% from October 2022).
FLORIDA: PRICES STABLE
In October 2023, closed sales of existing single-family homes statewide totaled 19,729, down 5.3% year-over-year; existing condo-townhouse sales totaled 8,115, down 2.9% over October 2022. The median price for single-family homes was up 2% ($410K), the median price for condos was up 3.9% ($321K). Florida had a 3.5-month supply of single- family existing homes in October 2023, up 29.6% year-over-year. Meanwhile, condo-townhouse units reported a 4.6-month supply, up 84% over the October 2022 level.
USA: PRICES CLIMBING
Existing-home sales dropped 4.1% in October to a seasonally adjusted annual rate of 3.79 million. Sales slumped 14.6% from one year ago. The median existing-home sales price climbed 3.4% from one year ago to $391,800 – the fourth consecutive month of year-over-year price increases. The inventory of unsold existing homes grew 1.8% from the previous month to 1.15 million at the end of October, or the equivalent of 3.6 months’ supply at the current monthly sales pace.
Florida Population Growth Continues
By Ryan Dailey
A state report this week found Fla. with 22.6M residents – 1.61% more than it had a year earlier. But they also predict growth will slow over the next several years.
Florida continues to grow as it attracts people from other parts of the U.S., but that growth is projected to slow in the coming years as groups that have been moving to Florida in droves get older, according to state economists.
The Legislature’s Office of Economic and Demographic Research released a report this week that showed the state’s estimated population in April was 22,634,867, an increase of nearly 359,000 people, or 1.61%, from a year earlier.
The increase was bolstered by the number of people moving to Florida from elsewhere in the U.S. being “the highest number it’s ever been,” according to Stefan Rayer, population program director with the Bureau of Economic and Business Research at the University of Florida.
“Population growth is still growing strong in the state. Slightly more than the year before, but still, if you compare long-term averages which have been just under 300,000, it’s been really remarkably strong,” Rayer said during a Nov. 28 meeting that led to this week’s report.
A likely growth slowdown
Population projections through 2028 show growth could begin to taper off, however. The rate of growth is expected to slow to 1.51% next year, 1.37% in 2025, 1.3% in 2026, 1.24% in 2027 and 1.18% in 2028.
But while the rate would slow, the population would still increase by an average of about 300,000 people a year during the period. Senate President Kathleen Passidomo called attention to that in a Nov. 9 memo to senators announcing plans to make changes in the health-care system to try to accommodate anticipated demand.
“In fact, our estimates suggest that over the next five years, our population will grow by almost 300,000 new residents per year, over 800 per day. That is like adding a city slightly smaller than Orlando, but larger than St. Petersburg every year,” Passidomo wrote.
Key to understanding the potential slowing growth rate is looking at who has been moving to the state.
In 2022, the 60-to-69-year-old age group represented the largest share of people moving to Florida from other states, according to the data, taken from the U.S. Census Bureau’s American Community Survey. The second-largest age group moving to Florida was people ages 50 to 59.
Margaret Snyder, a representative of Gov. Ron DeSantis’ office at the Nov. 28 meeting, said people in the 20-to-39-year-old age range “have consistently not shown the same desire to move to Florida.” Snyder said people ages 50 to 69 have driven numbers of residents moving from other parts of the U.S. – but a change could be coming.
“When it comes to domestic migration, we have relied heavily on the older population, especially ages 50 to 70. With baby boomers about to leave this age group, we believe in the next several years these numbers will start to decline, or at least not grow at the levels we’ve seen over the past five years,” Snyder said.
If that trend were to continue, the annual growth rate could dip below 1% in the 2030s, according to state economists.
“The end of the decade continues to be an inflection point with the entry of the final baby boomer cohorts into retirement. Annual growth drops below 1.00% thereafter,” an executive summary of the report said.
© 2023 The News Service of Florida.
October Inventory Expands in Anticipation of Winter Buyers
Real estate brokers reviewing the October 2023 Market Report by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), were encouraged to see a 31.8 percent increase in new listings to 1,231 new listings from 934 new listings in October 2022. The report also showed the median closed price of homes in Naples during October increased 4.5 percent to $580,000 from $555,000 in October 2022.
The report also showed the median closed price of homes in Naples during October increased 4.5 percent to $580,000 from $555,000 in October 2022.
According to broker analysts, these two factors indicate rumors of an extreme market correction were false. They also illustrate renewed seller confidence, which will be good news for buyers seeking more options in the coming months.
“October had the highest number of new listings added to the market compared to any October in the last two years,” remarked Dominic Pallini, Broker at Vanderbilt Realty, Inc. Historically, and according to NABOR®’s monthly market reports, October and January have the highest number of new listings. New listings in October for the condominium market shot up 61.9 percent to 612 new condominium listings from 378 new condominium listings in October 2022. Single-family home new listings in October also increased at a healthy rate of 11.3 percent to 619 new single-family home listings from 556 new, single-family homes listings in October 2022. Obviously though, one factor contributing to a rise in new listings this October was the need for many homeowners to postpone listing their properties for sale last October until damage from Hurricane Ian could be repaired.
“The value of working with a REALTOR® in Naples is priceless,” said Jillian Young, President, Premiere Plus Realty. “Unlike housing markets in other areas of the country or Florida, Naples can be a bit of a tough nut. You might think your house is priced right based on a comparison of homes for sale nearby, but without a REALTOR® who understands the nuances of the existing home market or what planned new community developments are on the horizon, you might risk your home being overlooked by buyers if it lingers on the market too long because it wasn’t priced right.”
Pent up consumer travel during the summer distracted attention away from home sales as the report showed both pending sales (homes under contract) and closed sales activity were lower than pre-pandemic levels reported for an October. This can be traced to lower showing activity during the recent summer compared to summer 2022 levels. As such, overall pending sales in October decreased 1.2 percent to 665 pending sales from 673 pending sales; and overall closed sales in October decreased 12.8 percent to 594 closed sales from 681 closed sales in October 2022.
Higher days on the market also contributed to lower sales in October. For example, in the summer of 2022, days on market were below 20 days. Whereas, this past summer, days on market were over 50 days.
For October, days on market increased 36.6 percent in October to 56 days from 41 days. Given this data, brokers anticipate healthy pending and closed sales activity in the coming months as showings during October increased 14 percent to 21,180 showings from 18,654 in October 2022.
The NABOR® October 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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| View the October 2023 Market Statistics |
According to NABOR® President Nick Bobzien, a broker associate at Downing-Frye Realty, “Interest rates are not as much an obstacle in Naples as cash sales continue to exceed 50 percent of all our sales, but they are for many northern home sellers who rely on buyers that require financing. There’s talk that some buyers are also sitting on the fence waiting for rates to drop. But regardless of when and whether the rates drop next year, our area is still well below a balanced market level [4.5 months of supply in October].”
Sherry Stein, CRB, Managing Broker, Berkshire Hathaway HomeServices, responded to Bobzien’s comments by stating, “It’s also likely that when rates go down, prices will go up. So, delaying a home purchase until the Fed lowers the interest rate ignores the real possibility that the home you can finance today might increase in price beyond what you can afford to finance when the rate is eventually lowered. In any event, nothing is stopping a buyer today from refinancing when the rate drops down the road.”
Incidentally, and according to Cindy Carroll, of Carroll & Carroll Appraisers & Consultants, LLC, a balanced market for Naples is when there is a 12-month supply of homes in inventory. As noted by Young, “The Naples Beach area [34102, 34103, 34108] has a 10-month supply of single-family homes for sale, and that’s even with the average closed price for single family homes decreasing 12 percent in October.”
Sales of luxury properties continue to drive the metrics for the real estate market in Naples. Looking at October’s market report, Stein said, “The average closed price of all properties – year to date – in Naples is over $1 million. And compared to last October, there are now 275 homes for sale in the $5 million and above price category, a 55.4 percent increase.”
The good news for buyers is that the percent of list price received has decreased 2.7 percent and 3.5 percent in the single-family and condominium market over the past 12 months, respectively. Pallini commented that “there were also 1,004 price reductions in October, basically a third of all homes for sale. If inventory continues to rise at its current pace, there will likely be more opportunities for buyers to negotiate.”
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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. |
