Southwest Florida Real Estate Market Update
Home prices continue to climb. There simply are 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 predict ongoing price appreciation throughout 2022.
In April, Single Family Home Active listings in Lee County were up 23% compared to last year, while Condo & Townhouse listings were down 16.8%. That relates to a 1.3-month supply of inventory for Single Family Homes and a 1-month supply of inventory for Condos & Townhouses. Still very much a Seller’s Market, April’s Median Sales Price for Single Family Homes in Lee County was up 32.4% compared to last year and the Median Sales Price for Condos & Townhouses was up 44.6%.
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 April’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 would be happy to provide you with a customized market analysis.
Lee County Single Family Home Sales – April 2022
Closed Sales 1,621 (April 2022) 1,911 (April 2021) -15.2%
Median Price $470,000 (April 2022) $355,000 (April 2021) +32.4%
Average Price $611,198 (April 2022) $523,952 (April 2021) +16.7%
Active Listings 1,844 (April 2022) 1,532 (April 2021) +23.0%
(Source Florida Association of Realtors, Data released May 19, 2022)
If you are looking to sell your home quickly and on the best possible terms, now is the time. Let’s connect to discuss how you can secure a speedy, top-dollar sale of your home, and net you more proceeds.
Although we are in a great Seller’s market, I don’t cut corners. 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.
Rising Interest Rates Impact on the Market
Mortgage rates have increased over two percentage points this year. According to Freddie Mac, the average interest rate on a 30-year mortgage was 5.27% the first week in May, and experts say interest rates will continue to rise (although more moderately) in the months ahead. For buyers needing to finance, higher interest rates mean less home for their money.
“Mortgages now compared to just a few months ago are costing more money for homebuyers,” said Lawrence Yun, chief economist or the National Association of Realtors at a May 4 forum in Maryland. “For a median-priced home, the price difference is $300 to $400 more per month, which is a hefty toll for a working family.”
“Wages have risen by 6% from one year ago and that’s good news,” Yun said, “but inflation is at 8.5%.”
Inflation’s significant rises in grocery and fuel prices, combined with the higher mortgage rates, will price out some potential entry-level buyers.
Frustrated buyers and rising interest rates will certainly affect some U.S. markets, but Florida’s rising demand and lack of inventory is likely to offset a potential cooldown.
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
