Listings:

The new listings for the month of August 2009 were 468 condos in the Naples real estate market. The number of condos listed in August 2008 was 513. The decline of new condo listings coming on the market condos was 9 percent. In August 2007, the new listings were 564, representing a drop of 96 condos or decline of 17 percent.

In July 2009 the new listings were 557.

Of the 468 condos listed approximately 20 percent were potential short sales, 12 percent were foreclosed (bank owned), and the remaining 68 percent were traditional listings.

Median list price for potential short sales was $129000, foreclosed properties were $86200, and traditional listings were $239500.

Closed Sales:

In the month of August 2009 the number of condos sold was 204. In August 2008 a total of 171 condos were sold. The year over year was 19 percent increase. In August 2007 a total of 122 condos were sold. The increase over 2007 was 82 condos or about a 67 percent.

Of the 204 condos sold, approximately 11 percent were approved short sales, 21 percent were foreclosures, and the traditional sales were 68 percent.

A graphic presentation for the composition of the closed sales is shown below.

Composition of sold condos in Naples for August 2009

The breakdowns of the median sold prices are discussed in the median sold price section below.

Pending Sales:

During August 2009 a total of 341 condos had an offer accepted by the seller. In August 2008, 184 condos had offers accepted. The increase from August 2009 represents an increase of 157 condos or about 85 percent.

In August 2007 a total of 110 condos were pending sale. The increase between August 2009 and August 2007 was 231 condos or about 210 percent.

The total number of condos pending sale in the Naples area as of the end of August 2009 was 4095. The graph below reflects the composition of these pending sales.

Composition of Total Pending Sales for Naples

Median Sold Price:

During the month of August 2009, the median sold price of a condo in Naples was $163500. The median price is the sold price represents the middle value of the all sold prices within a stated range. The median sold price can vary from area to area within a local real estate market.

In August 2008, the median sold price was $216000. In the year over year comparison median sold price declined $52500 or roughly 24 percent.

In August 2007 the median sold price was $285000. In comparing August 2007 to August 2008 the price declined $121500 or about 43 percent.

Median sold price for approved short sales was $123900, foreclosed properties were $63600, and traditional listings were $218900.

The difference between the list price and sold price for approved sales was about 81 percent, foreclosed properties 95 percent, and traditional listings 90 percent.

Listings:

The new listings for the month of August 2009 were 608 homes in the Naples real estate market. The number of homes listed in August 2008 was 797. The decrease in the number of new listings of homes was 189 or about 24 percent. In August 2007, the new listings were 950, representing a reduction of 342 homes or a decline of 36 percent compared with August 2009.

In July 2009 the new listings were 728.

Of the 608 homes listed approximately 27 percent were potential short sales, 20 percent were foreclosed (bank owned), and the remaining 53 percent were traditional listings.

Median list price for potential short sales was $165000, foreclosed properties were $119800, and traditional listings were $399000.

Closed Sales:

In the month of August 2009 the total homes sold were 331. In August 2008 a total of 220 homes were sold. The year over year was 51 percent increase. In August 2007 a total of 164 homes were sold. The increase over 2007 was 167 homes sold or about a 102 percent.

In July 2009 the number of homes sold was 400.

Of the 331 homes sold, approximately 18 percent were approved short sales, 39 percent were foreclosures, and the traditional sales were 43 percent.

The pie chart below shows the composition of closed sales in graphical format.

Composition of homes sold in Naples for August 2009

The breakdowns of the median sold prices are discussed in the median sold price section below.

Pending Sales:

During August 2009 a total of 518 homes had an offer accepted by the seller. In August 2008, 274 homes were pended. The increase from August 2009 represents an increase of 244 homes or about 89 percent.

In August 2007 a total of 160 homes were pending sale. The increase between August 2009 and August 2007 was 358 homes or about 224 percent.

The composition of  the August 2009 homes pending for sale in the Naples area is shown below.

Composition for the month of August pending sales

The total number of homes pending sale in the Naples real estate market is 1133. The pie chart below shows the percentage break down.

Composition of Total Pending Sales for Naples

Median Sold Price:

During the month of August 2009, the median sold price of a home in Naples was $185000. The median price is the sold price represents the middle value of the all sold prices within a stated range. The median sold price can vary from area to area within the local Naples real estate market.

In August 2008, the median sold price was $257750. In the year over year comparison the median sold price declined $72750 or roughly 28 percent.

In August 2007 the median sold price was $404000. In comparing March 2007 to March 2008 the price declined $219000 or about 54 percent.

Median sold price for approved short sales was $190000, foreclosed properties were $118000, and traditional listings were $304500.

The difference between the list price and sold price for approved short sales was about 93 percent, foreclosed properties 99 percent, and traditional listings 88 percent.

The Naples real estate market for homes is starting to show signs of strengthening in many aspects and prospective buyers should be aware of the positive changes. The statistics presented and discussed below are global in nature for the Naples area and do not represent the more important micro-market views which can vary greatly between the North Naples, Naples West, Naples Central, Naples South, Pelican Bay, Pelican Marsh, The Vineyards and Golden Gate Estates areas.

Listings:

During the month of May a total of 689 homes were listed for sale. In May 2008, the number of homes listed for sale in the Naples area was 840. In addition the 689 homes listed for sale was less than the 852 homes in May 2007. The downward trend of new listings is continuing.

The listed homes in May 2009 was the lowest number of homes listed since October 2005. The noteworthy item about this fact, is that in October 2005, was the start of the real estate erosion even though the median sold price of homes peaked in January 2007 with January 2006 as the next highest median sold price month.

Pending Sales:

During the month of May 2009, a total of 590 homes had offers accepted by sellers (pending). The figure for pending home sales in May represents a substantial increase over both May 2008 and May 2007 were the pending sales were 297 and 206, respectively. The increase represents 108 percentage upwards change over May 2008 and a 186 percentage increase. The increase in pending sales for May can largely be attributable to the lower median sold prices of homes.

Over the past three months the number of pending sales in the Naples area have been higher than in previous years, dating back to at least March 2005, even though the real estate market erosion could be earmarked back to October 2005.

Closed Sales:

There were a total of 419 closed (sold) in May 2009. In a year over year analysis, the 419 sales is higher than May 2008 and May 2007, where 272 and 222 sales respectively took place. The sales in May represents a 54 percent increase and 89 percent over May 2007 and May 2008, respectively.

The closed sales in May, represents the highest number of homes sold since June 2005.

Since January 2009, the number of homes sold has been on a strong upward trend. This is the continous of an upward trend starting in March 2008.

The increase is largely due to the lower median sold price of homes in the Naples area.

Median Sold Price:

The median sold price (the sold price at which half the homes sold and half below) for May 2009 was $185000. This figure may not be good news for existing homeowners or sellers, but it is good news for prospective buyers. However, prospective buyers need to be aware that since November 2008, the median sold price for a home in Naples has been ranging from $204000 to $177,200. Over the past 3 months the median sold price has been showing a slight upward trend.

The median sold price in May represents a 50 percent decline from May 2008 when the median sold price was $370,000 and a 58 percent decline from May 2007 when the sold price was $437500.

The lower median sold price has a direct affect on the increased volumes for pending sales and sold homes. The lower volume of new listings could have an eventual impact on the median sold prices, as the volume of new listings coming on the market for homes declines. Can the current statistics represent a stablization of the Naples home real estate market or has the bottom of the real estate been realized? Only the national economy and time will tell.

Listings:

The new listings for the month of March 2009 were 749 condos in the Naples area. The number of condos listed in March 2008 was 721. The increase of new listings of condos was 4 percent. In March 2007, the new listings were 861, representing a drop of 112 condos or decline of 13 percent.

In February 2009 the new listings were 710.

Of the 749 condos listed approximately 18 percent were potential short sales, 11 percent were foreclosed (bank owned), and the remaining 71 percent were traditional listings.

Median list price for potential short sales was $154900, foreclosed properties were $76000, and traditional listings were $275750.

Closed Sales:

In the month of March 2009 the sale of condos were 248. In March 2008 a total of 222 condos were sold. The year over year was 12 percent increase. In March 2007 a total of 217 condos were sold. The increase over 2007 was 31 condos or about a 14 percent.

Of the 248 condos sold, approximately 5 percent were approved short sales, 16 percent were foreclosures, and the traditional sales were 79 percent.

The breakdowns of the median sold prices are discussed in the median sold price section below.

Pending Sales:

During March 2009 a total of 413 condos had an offer accepted by the seller. In March 2008, 280 condos were pended. The increase from March 2009 represents an increase of 133 condos or about 48 percent.

In March 2007 a total of 207 condos were pending sale. The increase between March 2009 and March 2007 was 206 condos or about 100 percent.

Median Sold Price:

During the month of March 2009, the median sold price of a condo in Naples was $169000. The median price is the sold price represents the middle value of the all sold prices within a stated range. The median sold price can vary from area to area within a local real estate market.

In March 2008, the median sold price was $276250. In the year over year comparison median sold price declined $107250 or roughly 39 percent.

In March 2007 the median sold price was $310000. In comparing March 2007 to March 2008 the price declined $141000 or about 45 percent.

Median sold price for approved short sales was $130950, foreclosed properties were $80875, and traditional listings were $205000.

The difference between the list price and sold price for approved sales was about 93 percent, foreclosed properties 97 percent, and traditional listings 90 percent.

Listings:

The listings for the month of March 2009 were 938 homes in the Naples area. The number of homes listed in March 2008 was 761. The increase of new listings of homes was about 23 percent. In March 2007, the new listings were 971, representing a drop of 33 homes or decline of 3 percent.

In February 2009 the new listings were 848.

Of the 938 homes listed approximately 20 percent were potential short sales, 27 percent were foreclosed (bank owned), and the remaining 53 percent were traditional listings.

Median list price for potential short sales was $200000, foreclosed properties were $109900, and traditional listings were $479000.

Closed Sales:

In the month of March 2009 the sale of homes were 296. In March 2008 a total of 183 homes were sold. The year over year was 62 percent increase. In March 2007 a total of 213 homes were sold. The increase over 2007 was 83 homes or about a 39 percent.

Of the 296 homes sold, approximately 9 percent were approved short sales, 25 percent were foreclosures, and the traditional sales were 66 percent.

The breakdowns of the median sold prices are discussed in the median sold price section below.

Pending Sales:

During March 2009 a total of 659 homes had an offer accepted by the seller. In March 2008, 288 homes were pended. The increase from March 2009 represents an increase of 371 homes or about 129 percent.

In March 2007 a total of 274 homes were pending sale. The increase between March 2009 and March 2007 was 385 homes or about 141 percent.

Median Sold Price:

During the month of March 2009, the median sold price of a home in Naples was $183,500. The median price is the sold price represents the middle value of the all sold prices within a stated range. The median sold price can vary from area to area within a local real estate market.

In March 2008, the median sold price was $365000. In the year over year comparison median sold price declined $181500 or roughly 50 percent.

In March 2007 the median sold price was $495000. In comparing March 2007 to March 2008 the price declined $311500 or about 63 percent.

Median sold price for approved short sales was $190000, foreclosed properties were $96000, and traditional listings were $235,000.

During the month of February 2009 a total of 228 homes were sold with a median sold price of $211,300 for the Naples area.

The number of homes sold when compared with February 2008 shows an increase in sales volume of 85 homes or roughly 59.4 percent.

The February 2009 homes sold also represents an increase over February 2007 by 81 homes or roughly 55.1 percent.

In addition the 2009 homes sold figure is 25.3 percent higher than February 2006 by 46 homes.

The median price of a single family home sold in the Naples area does reflect a devaluation from the median sold price of $400,000 in February 2007 or $188,700, which translates to roughly 47.2 percent.

In February 2006 the median sold price was $445,000. The devaluation is $233,700 or roughly 52.5 percent.

The $211,300 median sold in February is higher than the median price paid in the months of November, December and January, where the median sold prices were $204,000, $204,500, and $188,200, respectively.

Noteworthy is that the areas of Golden Gate Estates ($102,500), Golden Gate City ($79,900), Naples Park ($184,000) and Naples Manor ($60,000), where there is a high volume of foreclosures and potential short sales when removed from the sold homes the median sold price was $395,000 in the Naples area or roughly 34.7 percent from the median sold price in February 2008, when deducting the above referenced areas. The median sold prices for the referenced areas are shown in parenthesis.

For buyers the above data is important to keep in mind when looking for homes in the Naples area.

Within the immediate 4 months of median sold prices relatively close, it could suggest that prices are bouncing at the bottom of the market. The bottom of the market can be impacted by the current economic conditions being experienced without the United States.

Pending sale for the month of February 2008 was 484 homes. A pending sale is where a seller and buyer have agreed to both price and terms to sell the home and has been removed from the homes available for sale. The 484 pending home sales was the highest since May 2005. Over the past four months there has been a steady increase in the number of pending sales. Pending sales represent future sales of homes.

New listings coming on the market in February was 848 homes which is less than in previous February’s dating back to 2006. In February 2008 – 996; February 2007 – 1002; and February 2006 – 1,139.

In summary, the month of February the number of homes closed increased over the prior three years, median sold price has declined from previous years but the largest declines are in four neighborhoods, the volume of pending sales is the highest since May 2005, and fewer new listings came on the market than in the past three years.

Prior to presenting the analysis for August we need to reflect on the events which took place last August 15 – the sub-prime and liberal loan programs came to a screaming halt along with liquidity issues for lenders lasting for a couple of months. The result was a further weakening of already weak real estate market. Sub-prime and liberal loan programs accounted for about 16 percent of the purchases which had taken place previous to August 2007.

Going forward the monthly statistics will bear monitoring to assess the strengthening or weakening of the of the Naples home market.

Strengthening does not necessarily mean price appreciation, but takes into effect a lower volume of new listings (even though it is anticipated more listings will come on the market due to seasonal fluctuations), pending sales increasing, and closed sales over the previous year.

Weakening of the market will reflect just the opposite.

Another consideration to be explored is how developments or subdivisions where subprime borrowing took place may affect the overall performance statistics for the overall Naples home market, and leaving both sellers and buyers with what could be incorrect perceptions. An example of this is being seen in the drastic decline of the median price paid for homes during the month August in the year over year analysis; however, after excluding some developments or subdivisions the median price decline is not quite so drastic. Proving once again that real estate is so local that it has to be looked very closely.

August Activity:

Listings:

During the month of August 711 Naples homes were listed for sale. For the same month in 2007, 838 homes were listed for sale; this represents a decrease of 15.2 percent. The decrease from 2006 was 17.4 percent from the 833 new listings.

In July 2008 there were a total of 837 homes listed for sale.

The available for sale Naples homes have dropped from 6386 in February 2008 to 5247 at the end of August. This represents a reduction of 1139 or 17.8 percent.

The number of months of inventory or the absorption rate is presently 29 months down from February’s 38 months.

Additional detailed information will be posted to explain where the listings and identification of where distressed properties and non-distressed properties are located for a better understanding of the Naples real estate market for both buyers and sellers.

Closed Sales:

A total of 201 homes were sold during August 2008. Comparing the same month in 2007 there were a total of 164 homes sold, the higher volume of 37 homes represents an increase of 22.6 percent. In August 2006 a total of 195 homes were sold or an increase of 3.1 percent (or 6 more homes).

In July 2008 a total of 205 homes closed or 4 fewer homes.

Homes with a sales price of less than $200000 represented about 33.8 percent of the total 201 homes closed.

Homes with a sales price between $200000 and $300000 represented another 20.6 percent.

Four areas within the Naples area accounted for 37.7 percent of the August closings – Golden Gate Estates (20.6 percent), Golden Gate City (9.8 percent), Naples Park (3.9 percent), and Verona Walk (3.4 percent).

Pending Sales:

In August 2008 329 homes were placed under contract or pending for closing (pending sales are where a buyer and seller have agreed on the price and terms of a purchase and the condominium is no longer available for sale). The 329 homes is an increase over the 160 homes (106 percent) in 2007 and 202 homes (62.9 percent) in 2006.

August 2008 was higher than the 293 homes in July 2008 and lower than the 313 homes in June 2008.

Median Price Paid:

During the month of August the median price paid for a home was $265,000. In the previous year, 2007, the median price paid was $404000 or a reduction of 34.4 percent. In 2006 the median price was $434000 or reduction of 38.9 percent compared to August 2008.

In July 2008 the median price paid was $300,000 down 11.7 percent on a month to month basis.

Referring back to closed sales the areas comprising the largest percentage of closings in August shows the following:

• Golden Gate Estates – $164000 a reduction in value of 54.4 percent from the 2007 median price of $359900.

• Golden Gate City – $150900 a reduction in value of 38.4 percent from the 2007 median price of $245000.

• Naples Park – $247000 a reduction in value of 36.7 percent from the 2007 median price of $390000.

By excluding the above areas, the median price paid for a home in the Naples area was $369000 in August 2008 compared to $421950 or a reduction of 12.6 percent.

The analysis of the median price paid shows sellers and buyers should not only be aware of national, state, or area (city or town), but also by development or neighborhood to make an informed decisions in the real estate market.