Market Update- October 2020

DOWNING-FRYE: ONE OF THE BEST SEPTEMBERS IN 20 YEARS

“September is usually a quiet month – but not this year,” said Mike Hughes, Vice President of Downing-
Frye Realty, Inc. “This September our closed sales were up 41 percent over last September, and our
pending sales were up an incredible 63 percent – making it one of the best Septembers in the last 20 years.
Pending sales in the $1 million+ market were up 78 percent compared to last September. The high-end buyers
are not waiting to purchase later in the season. They’re here now (or virtually here) making their picks while there
are still choices. (Purchasing earlier helps buyers avoid multiple-offer situations.) And, due to the incredible work
of our listing agents, our inventory of available properties increased last month despite having 250 closings.
We’ve now closed $162 million in volume for two months in a row.”

NAPLES AREA: SALES MOMENTUM CONTINUES
Homebuying activity (3,133 closed sales) in Naples
during June, July and August exceeded activity
reported (2,659 closed sales) for January, February
and March, the peak resident season. August had
the highest month-over-month increase in overall
pending sales in 2020, with a 70.4 percent increase to
1,479 overall pending sales from 868 pending sales in
August 2019. (Pending sales of single-family homes in
August increased by 76.4 percent while pending sales
of condominiums increased 63.9 percent.) Overall
median closed prices in August increased 26.7 percent
over August 2019 to $399,000. The median price for
single-family homes was $457,000 (up 15.7 percent),
and for condominiums was $290,000 (up 18.4 percent.)

MARCO ISLAND AREA: SALES HEALTHY
The Marco Island Area Assoc. of Realtors® reported
that September 2020 compared to September
2019 showed the following: Total inventory (891
properties) was down by 35.2 percent and closed sales
(236 properties) more than doubled (up by 112.61
percent), with a dollar volume ($142,357,254 ) that
was 119.03 percent higher – again more than double.
The September median sales price was 438,000.

BONITA / ESTERO: BUYER DEMAND CONTINUES
Area brokers have reported that buyers are challenged
with finding homes to buy, as inventory for resale
homes continues to shrink. The market is still seeing
an influx of buyers from the Northeast and Midwest
United States, and if Canada lifts their Covid-19
safety ban of entry into the United States prior to the
beginning of 2021, the demand could increase more.
In comparing August 2020 activity with the previous
August: new listings increased by 36.5 percent, pending
sales increased by 82.7 percent, and closed sale units by
30.5 percent. The median closed sales price in August
2020 was $335,500, up 9.8 percent from August 2019.

FLORIDA: HOUSING MARKET SHOWS GAINS
Florida’s housing market reported more closed sales,
more new pending sales, higher median prices and
more new listings in August compared to a year ago.
Single family existing homes sales (29,495 homes) were
up 8.8 percent compared to August 2019, while existing
condo-townhouse sales (11,100 homes) increased 10.3
percent.
The statewide median sales price for single-family
existing homes was $300,000, up 13.2 percent from
the previous year, and for condo-townhouse units was
$217,500, up 14.5 percent. New listings rose year-overyear
in both property type categories in August, up by
2 percent for single-family existing homes and 15.1
percent for condo and townhouse units. Inventory
(active listings) remains restricted, particularly in
the single-family existing home category, which was
at a limited 2.3-months’ supply in August. Condotownhouse
inventory was at a 5.3-months’ supply.

USA: HIGHEST LEVEL OF SALES SINCE 2006
Existing home sales continued to climb in August,
marking three consecutive months of positive sales
gains, and up 10.5 percent from a year ago. The
median existing home price for all housing types in
August was $310,600, up 11.4 percent from August
2019 ($278,800), as prices rose in every region.
Total housing inventory at the end of August totaled
1.49 million units, down 0.7 percent from July and
down 18.6 percent from one year ago. Sixty-nine
percent of homes sold in August 2020 were on the
market for less than a month. First-time buyers were
responsible for 33 percent of sales in August, while
individual investors or second home buyers, who
account for many cash sales, purchased 14 percent.
Distressed sales – foreclosures and short sales –
represented less than 1 percent of August’s sales.
Properties typically remained on the market for 22
days in August, down from 31 days in August 2019.

Sources: The Bonita Springs-Estero REALTORS®/SWFLMLS, Naples Area Board of
REALTORS®, National Assoc. of REALTORS®, Florida REALTORS® Marco Island Area Assoc. of REALTORS®

If your property is currently listed with another broker, this is not a solicitation of that listing.

 

Market Update-September 2020

DOWNING-FRYE: SUMMER OF SURPRISES

“This was a busy summer,” said Mike Hughes, Vice President of Downing-Frye Realty, Inc. “In June, July
and August 2020, we had 31 percent more pending sales than last summer, and 74 percent more in sales
volume. Our average closed sales price is now $576,830, with sales spanning all price ranges. Last August
we had 960 properties available for sale, and this August we have 972. We’re listing properties quickly to
keep up with buyer demand. Now that more people are able to work from home, they’re choosing to leave
the cities and head south. There is high demand especially for single family homes. Fortunately, we have
a great array of all types of homes. With virtual showings and tours, sales are expected to continue at the
current intensity.”

NAPLES AREA: SUMMER SALES SURGE
There were 15,634 showings during July, less than
half the number of showings during June (36,912),
yet pending sales increased which indicates that
properties are being purchased virtually, sight unseen.
July’s pending sales spiked to 1,446 pending sales in
July 2020 from 919 pending sales in July 2019. The
majority of sales that resulted in the 35.4 percent
increase in overall closed sales during July occurred
in the single-family home market, which saw a 42.8
percent increase in closed sales compared to a 27.3
percent increase reported in the condominium market.
Overall inventory decreased 28.8 percent in July to
4,390 properties from 6,168 properties in July 2019.
The overall median closed price for July increased 13.5
percent to $368,750 from $325,000 in July 2019.

MARCO ISLAND AREA: SALES UP
The Marco Island Area Assoc. of Realtors® reported
that July 2020 compared to July 2019 showed the
following: Total inventory (654 properties) was down
by 31 percent and closed sales (105 properties) were up
by 36 percent with a dollar volume ($68.3 million) that
was 24 percent higher. The median single family sales
price for July 2020 ($735,000) was 10 percent lower
than the year ago figure, and for condos ($450,000)
was 26 percent higher than last July.

BONITA / ESTERO: HIGH DEMAND FUELS SALES
Comparing this July with last July, the days on
market decreased by 16.8 percent, as pending sales
increased by 60.2 percent. New listings increased by
50.7 percent, but some brokers say the new inventory
is still not enough to keep up with increasing buyer
demand. Closed sales were up 0.4 percent and the
median closed sales price of $293,500 was up 7.1
percent. The current inventory stands at 1,198
available properties, which is down 18.2 percent from
last July, and represents 4.2 months supply.

FLORIDA: POSITIVE MOMENTUM
“New pending sales of single-family homes also
showed big gains, up by 21.7 percent compared to July
of last year,” said Florida Realtors Chief Economist
Dr. Brad O’Connor. “Coupled with the 23.2 percent
year-over-year increase in new pending sales in June,
all indications are that this wave of closed sales will
continue on through the end of the summer and
perhaps beyond. Year-to-date through July, statewide
single-family existing home sales are only down by
about 4 percent compared to last year – so it’s quite
likely that by the end of August, we will be in positive
territory overall for 2020.” The statewide median sales
price for single-family existing homes was $295,000,
up 10.1 percent from the previous year, and for condotownhouse
units was $210,000, up 11.7 percent.
According to Freddie Mac, the interest rate for a 30-
year fixed-rate mortgage averaged 3.02% in July 2020.

USA: SALES SOAR 24.7 PERCENT IN JULY
Existing-home sales continued on a strong, upward
trajectory in July, marking two consecutive months of
significant sales gains. Total existing-home sales jumped
24.7 percent from June to a seasonally-adjusted annual
rate of 5.86 million in July. “The housing market is
well past the recovery phase and is now booming with
higher home sales compared to the pre-pandemic days,”
said Lawrence Yun, NAR’s chief economist. “With
the sizable shift in remote work, current homeowners
are looking for larger homes and this will lead to a
secondary level of demand even into 2021.” The median
existing-home price for all housing types in July was
$304,100, up 8.5 percent from July 2019 ($280,400).
Total housing inventory at the end of July totaled 1.50
million units, down from both 2.6 percent in June and
21.1 percent from one year ago (1.90 million). Unsold
inventory sits at a 3.1-month supply at the current sales
pace, down from 3.9 months in June and down from

the 4.2-month figure recorded in July 2019.

 
Sources: The Bonita Springs-Estero REALTORS®/SWFLMLS, Naples Area Board of
REALTORS®, National Assoc. of REALTORS®, Florida REALTORS®
Marco Island Area Assoc. of REALTORS®
If your property is currently listed with another broker, this is not a solicitation of that listing.
Market update-August 2020
DOWNING-FRYE: SUMMER SALES SIZZLE 

"We’re selling as many properties as we’re listing," said Mike Hughes, Vice President of Downing-Frye Realty, Inc. "We began the year with 1,006 properties for sale and now we have 1,010, but in the meantime we’ve had 1,513 closed transactional sides. This summer has exceeded all expectations. Comparing this June and July to the same period last year, our pending sales volume is UP 71 percent with $310 million in pending sales volume compared to $181 million during the same period last year. Our pending sale transactions are up 33 percent with increases in every price range. Notably, pending sales above $1,000,000 are up 120 percent, and single family homes continue to be the most desirable property type."

NAPLES AREA: STRONG SUMMER SALES

Pending sales in June 2020 increased 61.3 percent compared to June 2019, while new listings during June 2020 increased 25.8 percent compared to June 2019. The desirability of the Naples real estate market was undeniable in June, especially in the single-family home market where pending sales increased 83.9 percent to 835 pending sales from 454 pending sales in June 2019, while pending sales of condominiums increased 38.7 percent to 634 pending sales from 457 pending sales in June 2019. Inventory decreased 27.6 percent to 4,739 homes in June 2020 from 6,547 homes in June 2019, with the majority reported in the single-family home market, which decreased 34.5 percent. The condominium market had a decrease in inventory of 20.3 percent.

MARCO ISLAND AREA: SALES UP, INVENTORY DOWN

The Marco Island Area Assoc. of Realtors® reported that June 2020 compared to June 2019 showed the following: Total inventory (736 properties) was down by 26 percent and closed sales (95 properties) were up by 22 percent with a dollar volume ($82.6 million) that was 62 percent higher. The median single family sales price for June 2020 ($800,000) was 3 percent lower than the year ago figure, and for condos ($405,000) was 17 percent higher than last June.

BONITA / ESTERO: DEMAND HIGH, INVENTORY LOW

As of June 2020, the days on market decreased by 18 percent, as pending sales increased by 44.7 percent. New listings increased by 59.4 percent over June 2019, but area brokers say the new inventory is still not enough to keep up with increasing buyer demand. In comparing June 2020 with June 2019, pending sales are up 44.7 percent and the median closed sales price of $325,000 is up 6.6 percent. The current inventory stands at 1,272 available properties, which is down 20.8 percent from last year, and represents 4.6 months supply.

FLORIDA: STRONG MARKET POINTS TO RECOVERY

June’s closed sales of single-family homes statewide rose 1.3 percent year-over-year, totaling 27,650, while condo-townhouse sales decreased 10.9 percent, for a total of 8,996. In June, the statewide median sales prices for all housing types rose year-over-year for 102 consecutive months. The statewide median sales price for single-family existing homes was $282,000, up 4.4 percent from the previous year. Florida Realtors Chief Economist Dr. Brad O’Connor said, "Statewide new pending sales of single-family homes were up 23.2 percent year-over-year. Meanwhile, new pending sales of condo-townhouse units rose 19.8 percent compared to June 2019. Several factors are playing into this renewed demand for housing, but by far, the most important factors are record-low mortgage interest rates and the release of all the pent-up demand from our derailed spring buying season."

USA: SALES CLIMB IN JUNE

Existing-home sales rebounded at a record pace in June, showing strong signs of a market turnaround after three straight months of sales declines caused by the ongoing pandemic. "The sales recovery is strong, as buyers were eager to purchase homes and properties that they had been eyeing during the shutdown," said Lawrence Yun, NAR’s chief economist. "This revitalization looks to be sustainable for many months ahead as long as mortgage rates remain low and job gains continue." The median existing-home price for all housing types in June was $295,300, up 3.5 percent from June 2019 ($285,400). Total housing inventory at the end of June totaled 1.57 million units, up 1.3 percent from May, but still down 18.2 percent from one year ago (1.92 million). Properties typically remained on the market for 24 days in June, seasonally down from 26 days in May, and down from 27 days in June 2019. Sixty-two percent of homes sold in June 2020 were on the market for less than a month.

If your property is currently listed with another broker, this is not a solicitation of that listing.

Sources: The Bonita Springs-Estero REALTORS®/SWFLMLS, Naples Area Board of REALTORS®, National Assoc. of REALTORS®, Florida REALTORS®, Marco Island Area Assoc. of REALTORS®

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