A bit of positive real estate news for Naples and Collier County. In August, real estate sales volumes of were up for the 7th consecutive month. August saw 373 closings up from 293 in August of 2007. Median selling prices have declined dramatically during this period, from $375,000 to $238,000.
Reports like this reinforce the fact that Southwest Florida has suddenly become quite affordable again. Many projects are now selling for less than replacement cost. Prices should remain below replacement levels until the investor fueled speculative inventory is worked through. This low-end inventory overhang is helping to compress luxury home prices as well, even though this sector was much less investor impacted.
Sales increase again for Naples real estate [Naples Daily News]