June 2022 Real Estate Market Update
We're headed into June now, and as always, we've got the latest information for you about the Southwest Florida real estate market. Is this summer the perfect time to buy or sell your Florida home? We've got the data to help you find out with this June real estate market update.
For informational purposes only. Always consult with a licensed real estate professional before proceeding with any real estate transaction.
Are we finally starting to see a more balanced market? Let's find out!
Hi, it's Marcus Larrea with Palm Paradise Real Estate, and we have all the data from the real estate market across Southwest Florida.
Your SWFL Real Estate Market Update Going Into June 2022
In May, the median sale price across Southwest Florida remained over 32% higher compared to this time last year.
Single Family Stats for May 2022
| May 2021 | May 2022 | % (+-) | |
|---|---|---|---|
| Closed Sales | 1,691 | 1,562 | -7.6% |
| Closed Sales YTD | 7,999 | 7,294 | -8.8% |
| Median Sale Price | $364,900 | $470,000 | 28.8% |
| Average Sale Price | $504,048 | $650,709 | 29.1% |
| (Inventory) Active Listings | 4,487 | 4,941 | 10.1% |
| Months Supply of Inventory | 3 | 3 | 0% |
| Close Price to List Price Ratio | 100% | 100% | 0% |
| Median Time to Contract | 6 | 6 | 0% |
| May 2021 | May 2022 | % (+-) | |
|---|---|---|---|
| Closed Sales | 803 | 623 | -22.4% |
| Closed Sales YTD | 3,821 | 2,836 | -25.8% |
| Median Sale Price | $650,000 | $859,000 | 32.2% |
| Average Sale Price | $1,214,460 | $1,567,368 | 29.1% |
| (Inventory) Active Listings | 2,273 | 2,213 | -2.6% |
| Months Supply of Inventory | 3 | 4 | 33.3% |
| Close Price to List Price Ratio | 100% | 100% | 0% |
| Median Time to Contract | 7 | 7 | 0% |
Townhouses & Condo Sales in May 2022
| May 2021 | May 2022 | % (+-) | |
|---|---|---|---|
| Closed Sales | 918 | 772 | -34.98% |
| Closed Sales YTD | 4,761 | 3,462 | -60.06% |
| Median Sale Price | $248,000 | $345,000 | 86.02% |
| Average Sale Price | $336,124 | $441,916 | 69.3% |
| (Inventory) Active Listings | 1,854 | 1,845 | -1.1% |
| Months Supply of Inventory | 2 | 2 | 0% |
| Close Price to List Price Ratio | 100% | 100% | 0% |
| Median Time to Contract | 6 | 5 | -36.74% |
| May 2021 | May 2022 | % (+-) | |
|---|---|---|---|
| Closed Sales | 1,051 | 749 | -63.14% |
| Closed Sales YTD | 5,064 | 3,167 | -82.5% |
| Median Sale Price | $345,000 | $510,000 | 105.16% |
| Average Sale Price | $604,976 | $851,617 | 89.76% |
| (Inventory) Active Listings | 2,067 | 1,946 | -12.98% |
| Months Supply of Inventory | 2 | 3 | 110% |
| Close Price to List Price Ratio | 100% | 100% | 0.44% |
| Median Time to Contract | 10 | 6 | -88% |
*Data pulled from Southwest Florida MLS on 6/6/2022
Inventory still remains to be a problem, but we are starting to see more and more inventory hit our market. Inventory across the Southwest Florida MLS is up 3.4% from last year.
Homes are still selling fairly fast with the median days to contract still at 6 days.
We have noticed 2 things in the market recently. Home prices are still going up. Prices are not expected to tumble anytime in the near future.
And secondly, the large advantage sellers have had over the last year is is beginning to deminish.
What Does This Mean For Buyers and Sellers?
Now don't get me wrong, we are still in a seller's market, but the days of listing your house high and getting multiple offers well above list price within a few days are most likely behind us.
We will continue to see more price decreases from listings as many sellers will continue to try and push the market higher when they initially list. This does not mean that prices are going down, but that year over year price appreciation will begin to slow down and normalize.
So to answer the question at the beginning of this video, it is safe to say we are still in a seller's market, but there are signs that the market may be starting to shift towards a more balanced market.
If selling, it will be important to list with an experienced agent to help you navigate the changing market conditions and still get top dollar for your home.
If buying, I would still recommend buying sooner than later to take advantage of today's interest rates, as they are still expected to rise and prices are not expected to fall.
Not Sure If It's a Good Time to Jump Into the Real Estate Market? Palm Paradise Real Estate Has the Knowledge You Need
If you'd like to discuss your upcoming real estate needs in the ever-changing market, whether you are considering buying or selling, you can reach any of our experienced team members online or give us a call at 239-349-2487.
Thanks for watching.
Records Continue in June 2021! When Will Home Price Increases Start to Slow?
Halfway through the year and all sorts of records are being broken in our real estate market across Southwest Florida! When will home price increases start to slow down?
Hi, it's Marcus Larrea with Palm Paradise Real Estate, and if you are keeping up with the real estate market in Southwest Florida, you do not want to miss this update!
We are now halfway through 2021 and we have seen a record number of homes sold across Southwest Florida. Through June, there have been approximately 27,174 homes sold in our MLS. That's 51% more homes sold than the previous best in the last decade when 17,993 units were sold through June in 2015!
Median single-family home prices in both Lee County and Collier County continue to increase through June, up 37% from June last year in Lee County and up 40% from June last year in Collier County.
So, what is causing this seller's market to keep gaining momentum? And why do home values continue to climb?
Single Family Stats for June 2021
| Jun 2020 | Jun 2021 | % (+-) | |
|---|---|---|---|
| Closed Sales | 1,265 | 1,713 | 35.4% |
| Closed Sales YTD | 6,720 | 9,638 | 43.4% |
| Median Sale Price | $266,000 | $364,250 | 36.9% |
| Average Sale Price | $361,379 | $497,882 | 37.8% |
| (Inventory) Active Listings | 6,380 | 4,270 | -33.1% |
| Months Supply of Inventory | 5 | 2 | -60% |
| Close Price to List Price Ratio | 97.8% | 100.0% | 2.2% |
| Median Time to Contract | 45 | 5 | -88.9% |
| Jun 2020 | Jun 2021 | % (+-) | |
|---|---|---|---|
| Closed Sales | 556 | 796 | 43.2% |
| Closed Sales YTD | 2,776 | 4,544 | 63.7% |
| Median Sale Price | $475,000 | $665,000 | 40% |
| Average Sale Price | $928,437 | $1,108,806 | 19.4% |
| (Inventory) Active Listings | 3,585 | 2,096 | -41.5% |
| Months Supply of Inventory | 6 | 3 | -50% |
| Close Price to List Price Ratio | 96.3% | 100.0% | 3.8% |
| Median Time to Contract | 68 | 7 | -89.7% |
Townhouses & Condo Sales in June 2021
| Jun 2020 | Jun 2021 | % (+-) | |
|---|---|---|---|
| Closed Sales | 536 | 917 | 71.1% |
| Closed Sales YTD | 3,313 | 5,656 | 70.7% |
| Median Sale Price | $190,000 | $255,000 | 34.2% |
| Average Sale Price | $248,331 | $334,613 | 34.7% |
| (Inventory) Active Listings | 3,590 | 1,622 | -54.8% |
| Months Supply of Inventory | 7 | 2 | -71.4% |
| Close Price to List Price Ratio | 96.4% | 100.0% | 3.7% |
| Median Time to Contract | 52 | 6 | -88.5% |
| Jun 2020 | Jun 2021 | % (+-) | |
|---|---|---|---|
| Closed Sales | 426 | 871 | 104.5% |
| Closed Sales YTD | 2,777 | 5,903 | 112.6% |
| Median Sale Price | $280,000 | $350,000 | 25% |
| Average Sale Price | $491,800 | $555,568 | 13% |
| (Inventory) Active Listings | 3,906 | 1,768 | -54.7% |
| Months Supply of Inventory | 9 | 2 | -77.8% |
| Close Price to List Price Ratio | 95.4% | 100.0% | 4.8% |
| Median Time to Contract | 67 | 7 | -89.6% |
*Data pulled from Southwest Florida MLS on 7/6/2021
In past videos I've discussed the key drivers for this seller's market:
- Low interest rates
- Low housing inventory caused primarily by a housing development hangover from 2009
- Both of the above factors further amplified by many of the factors revolving around COVID-19
But, there is yet another factor influencing median home values across Southwest Florida.
How Inflation is Affecting the Real Estate Market
Another reason we're seeing values increase so much is due to inflation. There's no doubt about whether our economy is experiencing serious inflation right now. The debate is about whether we're going to see hyper-inflation. Even though home values are at record highs, many buyers are concerned that they'll be even higher in the future due to inflation.
I wouldn't presume to make any long-term macro-economic predictions. But, I do believe it's safe to say that local home values are going to remain very high throughout 2021, especially as many buyers look to take advantage of the low interest rates before they start climbing to fight off inflation.
So What Does This All Mean For Home Sellers And Buyers?
For home sellers, it is safe to assume that your home will sell at a premium right now and sell fast. This is true, to a certain extent. Market conditions are prime for a high-value sale, but it is not guaranteed you are maximizing your potential earnings. Positioning, pricing, and a marketing strategy geared for current market conditions are key, and experience in this market matters.
Here on the Palm Paradise Team, we have completed well over 300 transactions in the last 12 months, split between both buy sides and sell sides, giving us the experience and up-to-date market knowledge needed in this market to help our customers win. Choosing the right team with the right strategy makes all the difference in maximizing the value of your home when selling.
For home buyers in this market, success also depends on strategy.
This year alone, the Palm Paradise Team has helped nearly 200 families beat out the competition to go under contract or close on a home to live their unique Florida lifestyle.
In almost every case we were up against a bidding war. But, because we are highly in tune with the market and because we know how to ask the right questions, we have been able to help our customers come out on top, time and time again.
Let Palm Paradise Real Estate Help You Win in This Competitive Market
If you'd like to discuss selling or buying a home in this unprecedented, fast-moving market, I invite you to reach out to myself or one of our team members through our contact page or give us a call at 239-349-2487.
Thank you so much!
For informational purposes only. Always consult with a licensed real estate professional before proceeding with any real estate transaction.
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