Our Incredible Resilient Southwest Florida Real Estate Market
The desire to live and vacation in Southwest Florida continues to fend off the aftermath of Hurricane Ian and the Fed’s most aggressive interest rate increases in 40 years. Prices have held steady after substantial gains during Covid. While inventory is up (approximately 25% in Collier), inventory is still historically low—a 4-month supply. Pre-Covid inventory ran between 6,000-7,000 properties. Inventory currently runs 2,500-3,000 properties. Inventory was depleted between 2020-2022 & will take months to recover. Bidding wars are much less frequent, but demand remains high for well-priced quality homes and condos. “Condition” is as important as location. Homes finished to current design trends sell quickly.
Locally, luxury real estate sales during the first six months were sluggish (down 20-25%). This softening trend was not unique to Florida, causing national economists to declare a “Richcession” — meaning a pullback in purchases of luxury items from automobiles to real estate.
The Naples luxury market rebounded in the third quarter as fears of recession subsided. Third quarter GDP was a
whopping 4.9%. Real estate sales in August were greater than August 2022. The Grant Group sales are extremely active, even setting sales records in several communities. Florida’s growth continues to impress with over 800 new residents per day. The allure is not just weather and beaches, but a great place for business development—not to mention a tax haven with no state income tax.
As we approach “season” we thank you for your continued confidence.
