01 May Bonita Bay Real Estate News | May 2022
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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:
- Within the last 12 months, there were 84 sales with an average sales price of $539,074; these condos were on the market an average of 9 days; combined days on the market is 50.
- During the 12 months previous, there were 93 sales with an average sales price of condominiums was $388,434; these homes were on the market for 90 days; combined days on the market is 171.
- During the last 12 months, there were 81 sales with an average sales price of $1,809,912; these homes were on the market an average of 73; combined days on the market is 126.
- During the 12 months previous, there were 90 sales with an average sales price of $1,356,732; these homes were on the market for an average of 153 days; combined days on the market is 241.
- During the last 12 months, there were 66 sales with an average sales price of $1,855,788; these homes were on the market an average of 27 days; combined days on the market is 82.
- During the 12 months previous, there were 82 sales with an average sales price of $1,680,516; these homes were on the market for an average of 104 days; combined days on the market is 194.
May 2022 Market Update
The Home-Renovation Boom Continues
Renovation activity and spending hit their highest rate since 2018. Homeowners report a 20% increase in the median renovation spend, reaching $18K.
Home renovation activity and spending reached its highest rate since 2018, according to the Houzz & Home survey, conducted by the home remodeling site Houzz and reflecting the opinions of nearly 70,000 respondents.
Homeowners are reporting a 20% increase in the median renovation spend, reaching $18,000. Houzz researchers note a big part of that growth is from homeowners with higher budget projects who increased their budgets from $85,000 in 2020 to $100,000 in 2021.
The remodeling surge doesn’t appear to be letting up either. More than half of homeowners surveyed say they plan to renovate in 2022, and 46% plan to decorate their home. Their planned budget has increased to $15,000 for 2022 versus the $10,000 amount it had been for the past three years, Houzz notes in its study.
“Renovation activity remains strong due to market fundamentals, including limited and aging housing stock, despite heightened product and material costs driven by supply chain disruptions,” says Marine Sargsyan, Houzz staff economist. “Homeowners are clearly committed to investing in their homes and are exploring diverse funding sources. This is especially pronounced among recent homebuyers, who rely heavily on cash from previous home sales to fund their projects and spend significantly more than the national median.”
Indeed, recent home buyers spent nearly double the national median ($30,000), according to the survey. Long-term homeowners – those who moved into their home six or more years ago – spent a median of $15,000. Short-term homeowners – those who moved into their home between one and five years ago – spent a median of $19,000 on home renovations.
What they’re renovating
Investments in home remodeling rose for interior rooms, the Houzz survey finds. Kitchens saw an increase of 25% in 2021 compared to 2020, or $15,000 versus $12,000, respectively. Kitchens remain the most popular interior room for home updates and also the most expensive to complete.
Other interior rooms in a home that posted an increase in remodeling included guest bathrooms, laundry rooms, living rooms and guest bedrooms, according to the survey.
Homeowners also are spending more on security systems. Outdoor security systems are the second most frequently installed outdoor upgrade behind lighting.
Financing the home renovation
More homeowners are starting to finance their house projects. The number of homeowners who are relying on cash from savings to fund their renovation projects fell by seven percentage points in 2021 to 76%. Homeowners financing renovation projects with credit cards increased six percentage points to 35%. Recent home buyers and short-term homeowners were more likely to rely on cash from a previous home sale (42% and 19%, respectively) to fund their house projects. On the other hand, long-term homeowners were the most likely to use secured home loans at 17%.
As homeowners spruce up their homes, they may find benefits of those upgrades at resale. The National Association of Realtors®, along with the National Association of the Remodeling Industry, recently released a report that highlights the home remodeling projects that offer potentially the biggest boost at resale.
In the 2022 Remodeling Impact Report, they found that refinishing hardwood floors is the remodeling project that pays back the most.
Source: “The Houzz & Home Survey,” Houzz (April 27, 2022)
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Rising Inventory Encouraging
Demand for the Naples lifestyle remains strong as closed sales in March increased 49.9 percent compared to closed sales reported in February. Although closed sales decreased 36.5 percent to 1,205 in March 2022 from 1,899 in March 2021, the increase from February to March was a welcome result of a steady wave of new listings. According to the March 2022 Market Report released by the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales within Collier County (excluding Marco Island), new listings decreased only 4.3 percent to 1,637 new listings from 1,711 new listings in March 2021. If this wave of new listings remains steady during the coming months, it could mean more options for buyers navigating the area’s limited inventory.
“New listings are almost where they were a year ago,” said Mike Hughes, Vice President and General Manager for Downing-Frye Realty, Inc. “Overall, the report showed new listings have risen since the end of last year, over a three-month period.”
The March report showed inventory decreased 23.5 percent to 1,392 properties from 1,819 properties in March 2021. However, the good news is that March inventory increased 20 percent compared to inventory levels NABOR® reported in February (1,176 homes). More homes for sale in March meant sellers enjoyed 43,206 showings that ultimately inspired 1,611 pending sales (homes under contract). The median closed price continued to increase in March, up 39.6 percent to $575,000 from $412,000 in March 2021, and 62.7 percent of the month’s closings were cash sales.
Upon reviewing the report, Molly Lane, Senior Vice President at William Raveis Real Estate, said, “As winter visitors go back up north, it’s likely we’ll start to see more new properties come onto the market as homeowners and landlords will want to cash out and take advantage of their ability to make a profit.”
The NABOR® March 2022 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 2022:
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.
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.