Special Report | Naples 34102 Housing Market Update

Back to the subject at hand of this Special Report. There were four homes in 34102 that sold for above $10,000,000 in April 2024. Two of those were in Port Royal and two were in Aqualane Shores. Notable mention goes to the property at 1960 Kingfish in Royal Harbor which sold for just under $10M at $9,350,000. Not bad considering the last Royal Harbor properties to sell above $10M were 2380 Kingfish Rd & 2655 Tarpon Rd at $15,450,000 (April 2022) & $10,000,000 (July 2023), respectively. March 2024 saw four homes in 34102 sell above $10M as well but it was May 2023 that holds the record over the last 2 years with seven homes sold above $10M. Three of those were above $20M. Welcome to Naples. Want a sneak preview of the Overall Naples Market Median Sales Price for April 2024? $650K. Just about flat from March 2024.

Check out the list below for the April 2024 sold properties above $10M. Maybe stop by to welcome your new neighbors with some cookies:)

3631 Rum Row –  $25,000,000
1447 Galleon Dr –  $12,300,000

Port Royal & Aqualane Shores Recent Solds | April 2024

Looking at the Median Sales Price (Homes and Condos) for 34102, there was a drop from March 2024 to April 2024 of 26.8%. The Median Sales Price (Homes & Condos) in 34102 is now 10.1% lower than April 2023, but still on the up trend since Sep 2012, with the the angle increasingly sharp since early 2020. Golly, what happened in early 2020? But if we break away Homes from Condos, we see that the Median Sales Price for Homes is actually UP from April 2023 119.2%! 34102 tends to show big swings in the Medians Sales stats, but I see that the Medians Sales Price in 34102 has been above $6,000,000 since December 2023. That is 5 consecutive months! This is certainly a record. Stretching back as far as the charts will allow me to go back, I see that from April 2017 – August 2017 there was almost a five month run of Median Sales price above $3M, but June 2017 dropped the ball when it clocked in at $2,987,500. Looking back at the Homes only chart, you can see that the peak Median Sales Price for 34102 was in January 2022 and has been trending down ever since… until December 2023.

34102 Homes | Median Sales Price | April 2024

The Median Sales Price for Condos in 34102 peaked in November 2023 at $2,035,000 and is now sitting at $915,000 in April 2024. This is a 50.5% decline since April 2023. Do you think Senate Bill 4-D signed by Governor DeSantis in May of 2022 has anything to do with the sudden decline? Are the falling sales in April 2024 vs April 2023 of 34102 condos (- 21.6%) having an effect on sales of 34102 homes (+ 18.2%)? Will this continue to bolster the prices of homes as condo owners flee skyrocketing condo costs? Maaaaaaaaaybe. Below the graph is an excerpt from Floridabar.org on the subject of this law that was spurred by the tragic collapse of the Champlain Towers South in Surfside, Florida. Condo owners are starting to feel the effect in their pocket book.

34102 Condos | Median Sales Price | April 2024

• Milestone Inspections — The first significant aspect of S.B. 4-D is not a change to the condo act. Instead, it adds a section to the Florida Building Code, entitled “Mandatory structural inspections for condominium and cooperative buildings.” The new mandate, referred to as a “milestone inspection,” has two phases: 1) a visual inspection of the building for substantial structural deterioration; and 2) possible destructive or nondestructive testing, and only required if substantial structural deterioration is found during phase one.

It is worth noting, however, that the milestone inspection is required only for condominium and co-op buildings that are three stories or higher. Applicable buildings that received their certificate of occupancy (CO) on or before July 1, 1992, must complete the milestone inspection by December 31, 2024, and then every 10 years thereafter. All other applicable buildings must complete the milestone inspection by December 31 of the year in which the building reaches 30 years of age, or 25 years if the building is located within three miles of the coastline, as defined in F.S. §376.031 — and then every 10 years thereafter.

I personally know people who are trying to sell their condos due to rising Condo fees, not to mention the feeling that the board members are completely overwhelmed, not effective and/or leading the community in the wrong direction. Has anyone ever been an HOA board member? Seems like a thankless job. My hat is off to anyone who takes that role on and remains friends with their neighbors. I lived in an HOA once and didn’t care for it. But that’s just me. I would much rather own a single family home, especially on the water in Naples. There are a finite amount of homes on the water and only 3-4 neighborhoods that don’t have any bridge restrictions to get out to the Gulf. Talk about a safe investment. Even with a once in 60 year flood event that happened in September 2022, these waterfront homes in Naples that got flooded are still selling for millions. Did I mention that the $2,618 (2023) flood insurance policy on 1660 Sandpiper is transferrable to the new owner? Pass the word around.

Let’s check out housing categories for ZIP 34102 that look are tracking at 10-year historical levels, based on pre-covid sales stats. This will be for Homes & Condos.

ZIP 34102 | April 2024 vs April 2015- 2019

New Listings | April 2024 – 62

34102 New Listings | April 2024

Inventory | April 2024 – 492

34102 Inventory | April 2024

Pending Sales | April 2024 – 48

34102 Pending Sales | April 2024

Total Sales | April 2024 – 42

34102 Total Sales | April 2024

Days on Market | April 2024 – 70

34102 Days On Market | April 2024

Months of Supply | April 2024 – 15.5

34102 Months of Supply | April 2024

Months of Supply has been a topic from would-be investors as a reason for hesitation on purchasing distressed properties. I understand that fear, but I can’t help but think there are other factors leading investors down this path of thinking. In April 2024 we had 15.5 Months of Inventory in 34102. Checking the graph, we had 15.4 Months of Inventory in Feb 2017 and 15.6 in Feb 2019. Things change. We peaked this time in March 2024 with 16 Months of Inventory while February 2024 was at… 15.6, just like Feb 2019. Now is the time to be writing offers.

Josh Amolsch – REALTOR® | Naples Real Estate

So… quite a lot of statistics to absorb. What sticks out to you? Isn’t it interesting to see that Pending Sales & Total Sales are almost at the average level going back what seems to be a lifetime ago. New Listings have been consistent the whole time, like a well oiled machine. Days on Market are right in that level of March 2014 – April 2016. It was actually the Summer of 2016 – Late 2019 that shows elevated Days on Market. Yes, 34102 shows 52.2% higher Days on Market in April 2024 vs April 2023, but the current market is still normalizing after the Covid effect. Just look at the graphs and take the “unicorn years” of Covid out. It is also worth pointing out that this “coming back to normal” is occurring despite the elevated post-covid bump in prices. Doesn’t this suggest a pretty healthy market considering all that is happening in the world? Check out my Overall Naples Housing Market Update that will be released next week to compare the numbers from this special report. The bigger picture might help glue these concepts together for anyone looking for glue. I’m getting older now and often have to pull books away from my eyes until words come into focus. This analogy works well for understanding that we need to cast our vision further back in the sales records to understand what is happening today. By reflecting on the past we can illuminate the present.

To buy or sell real estate in Naples, hire a diligent and highly communicative REALTOR®. Call Josh Amolsch at 239.302.8475 to get started.