Metas
Bonita Springs Real Estate Update - Homes - 3rd Qtr 07
How is the Bonita Springs real estate market performing in the single family home segment of the real estate market? When looking at the statistical information for the third quarter of calendar year 2007 and compare it to the same period in 2006, it appears encouraging, but a seller should not get excited and think about raising their list price or putting their property on the market, unless they need to sell. For buyers, if they are thinking of holding the property for three or more years, it might be a good time to buy, because there are many excellent opportunities within the Bonita Springs real estate market.
MEDIAN PRICE:
The median price for a home in Bonita Springs for the quarter ending September 30th was $540,750 versus $437,500 in 2006. In addition, the trend line for the median prices paid over the 15 month period is an increasing trend. The question remains will the increasing trend continue? In looking at some of the sales in lower price range for the third quarter of 2006, it was noticed that some residences that are in fact condominiums were improperly classified as single family homes. Therefore, the price increase may not be sustainable or in fact totally accurate. The median sold price may in fact not reflect an increase.
CLOSED SALES:
The volume of closed sales of single family homes in Bonita Springs for the 3 months ending September 30th reflects a slight increase of 7 (84 versus 77) homes from the same period in 2006. The large number of closings in the second quarter of 2007 reflects the pending sales volume in the first quarter of 2007. Largely this is due to the seasonal nature of real estate in the southwest Florida area.
PENDING SALES:
The pending sales for the third quarter of 2007 were 81, which is 6 more homes than in the same quarter in 2006, where the number pending sale were 75. The volume is a little surprising considering the impact of closings being cancelled due to the reduction of subprime lenders and the credit crunch which occurred during the 3rd quarter of 2007. The graph does show an increasing trend for the pending sales.
NEW LISTINGS:
The new listings for single family homes in the Bonita Springs real estate market shows a flat trend line. This is good for the real estate market, because the number of homes coming on the market (or being relisted) is not increasing. The actual number of homes listed in the 3rd quarter of 2007 was 400 versus 381 in the same period a year earlier. The increase in new listings is not a positive sign for the real estate market in Bonita Springs as there is an existing inventory of single family homes of about 29 months or 2.5 years.
SUMMARY:
The Bonita Springs single family home real estate market at this time even though showing signs of strength does show some weaknesses in the number of homes for sale, which is greater than demand. This equates to a stronger buyers market with excellent values on the market for the prospective buyer. However, the pricing may not reflect the drastic price reductions in other areas of the overall Florida real estate market for single family homes.
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