What Is Happening in the Real Estate Market
It could be easy for someone to misinterpret what recent real estate market activity actually means, especially if only looking at percentages or just a 1-year comparison. Let’s look at some of Lee County’s single family home statistics for May 2022, as well as the previous few years, to put things into perspective regarding our local market.
Closed Sales
In May, the number of closed single family home sales was down 5.4% compared to May of last year. In fact, the number of single family home sales in Lee County has been down 9 out of the last 10 months year over year. Keep in mind, this is after 13 straight months of the number of sales being up. The decrease in number of sales has mostly been due to the shortage of inventory. And more recently, has also been impacted by the combination of surging interest rates, record high inflation, and high home prices making homeownership unaffordable for some buyers.
Although May 2022’s 1,594 closed single family home sales is down 5.4% compared to May 2021 with 1,685 sales, May 2022 is up 72.5% compared to May 2020 with 924 sales, and up 5.3% compared to May 2019’s pre-pandemic number of sales at 1,514. There has only been 6 months out of the past 36 months with more than 1,594 closed single family home sales.
Sales Prices
It has been a wild ride as sales prices have continued to climb. May 2022’s median sales price for single family homes in Lee County was $469,950, up 28.8% compared to May 2021’s median sale price at $365,000. May 2021’s median sales price was up 38.7% compared to May 2020’s median sales price at $263,225. May 2020’s median sales price was down just slightly, by 0.7% compared to May 2019’s pre-pandemic median sales price at $265,000.
Increased Inventory
Active listings are up for the third month in a row. Inventory is rising, but is still so far below pre-pandemic levels that it will take some time for inventory to build. More active listings means more competition for sellers, making appropriate pricing even more important, and likely that sellers will see fewer multiple offer situations. Buyers who remain in the market will enjoy more homes to choose from, and what should be more realistic list prices. May 2022’s single family home active listings are up 57.1% with 2,419 active listings (a 1.7-month supply of inventory), compared to May 2021 with 1,540 active listings (a 1-month supply of inventory). May 2021 was down 65.9% compared to May 2020’s active listings at 4,522 (a 4-month supply of inventory). May 2020 was down 27.5% compared to May 2019’s pre-pandemic active listings at 6,234 (a 5.7-month supply of inventory).
There are still more buyers than there are homes for sale, and this imbalance between supply and demand is expected to maintain upward pressure on home prices. Although more moderate than 2021, experts do predict ongoing price appreciation throughout 2022.
Make no mistake, the housing market is shifting. Real estate market conditions are always changing. Invariably, sellers and buyers need to turn to a local experienced Realtor® for their expertise, knowledge, and support. I have a proven track record and pride myself in helping people make knowledgeable real estate decisions, as well as making the process as easy as possible. Please call me at 239-699-3498 or email me at sue.jones@c21.com, if you or someone you know has a real estate question, or is interested in buying or selling real estate in Southwest Florida.
Southwest Florida Real Estate Market Update
In May, Single Family Home Active listings in Lee County were up 57.1% compared to May of last year, while Condo & Townhouse listings were up 33.8%. That relates to a 1.7-month supply of inventory for Single Family Homes and a 1.2-month supply of inventory for Condos & Townhouses. Still very much a Seller’s Market, May’s Median Sales Price for Single Family Homes in Lee County was up 28.8% and the Median Sales Price for Condos & Townhouses was up 38.6%.
During the 3rd week of each month, the Florida Association of Realtors releases the official numbers from the prior month’s activity. Below are some of May’s numbers, for your reference. If you are interested in learning more about market activity in a specific neighborhood, development, city, or zip code, please let me know. I will be happy to provide you with a customized market analysis..
Lee County Single Family Home Sales – May 2022
Closed Sales 1,594 (May 2022) 1,685 (May 2021) -5.4%
Median Price $469,950 (May 2022) $365,000 (May 2021) +28.8%
Average Price $658,886 (May 2022) $515,030 (May 2021) +27.9%
Active Listings 2,419 (May 2022) 1,540 (May 2021) +57.1%
(Source Florida Association of Realtors, Data released June 21, 2022)
If you are looking to sell your home on the best possible terms, let’s connect to discuss how you can secure a top-dollar sale of your home and net you more proceeds.
We are still in a great Seller’s market and my marketing plan and strategy to sell your home is solid. I’ll help you make a knowledgeable real estate decision you will feel good about, and I will make the process as easy as possible for you. Call me at 239-699-3498 or email me at sue.jones@C21.com.
QUESTIONS? I am always available to answer your questions and help you with all of your Real Estate needs. I have Real Estate contacts all over the world. Please don’t hesitate to call me if there is anything I can do for you or someone you know.
Sue Jones | Realtor®
Direct: 239.699.3498
Sue.Jones@Century21.com
SueJonesRealtor.com
3409 Del Prado Blvd S #103,
Cape Coral, FL 33904
