Summer has traditionally been the cool time of year for real estate, but this coming season is predicted to be another hot one like last year.
In 2013 we had a record summer season, and year-on-year prices rose by 24% in Old Naples. This summer is set to become another very active buying season. Inventories are low, prices are rising, and smart buyers know that if they do not find something now, they are likely going to pay a lot more when they return to look for property during next tourist season. Building lots are like hens teeth and every sale sets new records. Spec homes are going under contract at new levels on every block.
On top of this, interest rates are low and the stock market is setting records. People with discernment and money want to be in Port Royal, Aqualane Shores, Old Naples, or on the water or in high rise condos in Park Shore. That's the high-end market. Property values in all these neighborhoods are being bid up and up with every contract. While many buyers balk at buying in a booming market, I tell my clients that if they want a deal, it is going to anything they bought a year ago, and next year, if the market stays on this trajectory, they will feel they got a good deal. Buying in the select neighborhoods of Naples is a high price game. You have to ante up, or you will priced out of the market before you know it. I see it happen over and over.
So where are the smart buyers? While the snowbirds have mostly migrated, smart buyers still here looking, or they are scheduling a return trip soon. This market is waiting for no one.
Give me a call if you want to the chill out of next year's prices by buying during this doubly hot summer season.
Bill Van Arsdale