Southwest Florida Real Estate Market Update [New for August 2022]

Southwest Florida Real Estate Market Update - JulyAugust marks the height of summer and the summer sales season. Are you thinking about selling your current home or buying a new one? If the answer to either of those questions is "yes," you won't want to miss the August 2022 real estate market update from Palm Paradise Real Estate.

For informational purposes only. Always consult with a licensed real estate professional before proceeding with any real estate transaction.

Interest rates are dropping!

And which real estate-related search term on Google hit its all-time peak at the beginning of August?

Plus how did the real estate market in Southwest Florida perform in the month of July?

Hi, it's Marcus Larrea, Team Lead at Palm Paradise Real Estate. July has brought about a more balanced real estate market that many buyers have been waiting for. 

Your August 2022 Real Estate Market Update for Southwest Florida

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Single Family Stats for July 2022

Lee County
Jul 2021Jul 2022% (+-)
Closed Sales 1,537 1,143 -25.6%
Closed Sales YTD 11,328 10,020 -11.5%
Median Sale Price $360,000 $424,000 17.8%
Average Sale Price $462,541 $555,774 20.2%
(Inventory) Active Listings 4,189 5,298 26.5%
Months Supply of Inventory 3 5 66.7%
Close Price to List Price Ratio 100% 100% 0%
Median Time to Contract 6 10 66.7%
Collier County
Jul 2021Jul 2022% (+-)
Closed Sales 661 333 -49.6%
Closed Sales YTD 5,328 3,675 -31%
Median Sale Price $650,000 $750,000 15.4%
Average Sale Price $1,184,460 $1,351,462 14.1%
(Inventory) Active Listings 1,917 2,258 17.8%
Months Supply of Inventory 3 7 133.3%
Close Price to List Price Ratio 100% 98% -1.8%
Median Time to Contract 7 16 128.6%

Townhouses & Condo Sales in July 2022

Lee County
Jul 2021Jul 2022% (+-)
Closed Sales 720 472 -34.4%
Closed Sales YTD 6,430 4,607 -28.4%
Median Sale Price $245,000 $334,500 36.5%
Average Sale Price $321,799 $388,690 20.8%
(Inventory) Active Listings 1,478 1,757 18.9%
Months Supply of Inventory 2 4 100%
Close Price to List Price Ratio 100% 99% -1%
Median Time to Contract 5 8 60%
Collier County
Jul 2021Jul 2022% (+-)
Closed Sales 674 372 -44.8%
Closed Sales YTD 6,675 4,180 -37.4%
Median Sale Price $364,787 $439,500 20.5%
Average Sale Price $594,191 $622,272 4.7%
(Inventory) Active Listings 1,635 1,741 6.5%
Months Supply of Inventory 2 5 150%
Close Price to List Price Ratio 100% 99% -1.1%
Median Time to Contract 7 12 71.4%

*Data pulled from Southwest Florida MLS on 8/5/2022

Months' supply of inventory in all areas has increased from four months for condos and townhomes in Lee County to seven months for single-family homes in Collier County.

Remember, months' supply of inventory is how long it would take to sell all of the homes currently on the market. We are in a seller's market if there are under 6 Months of inventory and a Buyers market if there are over 6 months of inventory. A balanced market is considered six months of inventory.

Median days to contract are up quite a bit from this time last year to between 8 and 16 days depending on the county and property type. These numbers are still relatively low looking back long term.

While prices are still significantly higher than last year, the year-over-year price increases have slowed.

Another stat that shows we are heading away from a seller's market is the Close Price to List Price Ratio. We have not seen numbers under 100% in over a year. This means buyers are now starting to gain negotiating power after having next to none over the last year or so.

One of the primary reasons for the market balancing out has been rising interest rates. Finally, some good news on that front! Mortgage interest rates dropped just below 5% in the week ending August 4th for the first time in months. Some experts are saying that mortgage interest rates may be beginning to balance out finding a new home in the 5% range.

Many buyers that have been waiting on the sidelines are taking advantage of the current market situation while rates have dipped a bit and as more inventory has hit the market.

What real estate-related search term hit its peak at the beginning of August?  According to Google, the search term "sell my home" hit its all-time peak in popularity. This supports all the data that shows we will continue to see more inventory become available in the coming months.

Want to Get In on the Summer Sales Season? Palm Paradise Real Estate Can Help

Whether you are looking to buy or sell, if you have any questions or would like a free valuation of your home, our team of experienced agents at Palm Paradise Real Estate is here for you. Visit us at www.PalmParadiseRealEstate.com today to see how we can help!

Thanks for watching, and see you in the next video!

For informational purposes only. Always consult with a licensed real estate professional before proceeding with any real estate transaction.

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