7 Things To Know About Naples Real Estate 9.16.20

Hello Naples Friends!

Can you believe Fall is less than a week away? Today I’ll be covering what I’ve seen this summer and how those cooler winds are blowing through the Naples real estate market! Here are the 7 things to know about Naples real estate!

The Summer Discount Window Has Closed

Overall, buyers were enthusiastic to purchase Naples real estate this summer. Sellers were excited to see buyers coming…maybe a little too excited as confident sellers held firm on what they perceive to be fair pricing in a hot market. Something changed a few weeks ago. I’m noticing many buyers are trying to use unproven points of conversation to sway sellers to lower prices. Unfortunately, those talking points are falling on deaf ears and buyers are getting a little disgruntled because of it.

Planning a purchase within the next few months? You will be most successful with negotiations if your points are valid, current, and factual. Forecasting a bleak future due to economic forecasts, health complications, and election results do not fall into those categories. I can help you come up with a sound purchasing strategy but you should know, not every seller is going to be wildly flexible especially now pre-season is less than 2 weeks away. I am also seeing a number of sellers who want MORE than what recent sellers were able to negotiate due to depleted inventory. In areas where inventory is extremely limited, you can expect this. This is how markets appreciate and Naples is no different.

Avoid mistaking valid, current, and factual negotiating points with your plans for the future. I’ve heard buyers say, “well, I have to furnish it so I want a better concession from the seller.” Sorry, your furniture doesn’t change the value of the property or fall on the shoulders of the Seller. Neither does your renovation plan. A large majority of our Naples luxury high-rises are due for a remodel so is near everything sold during the past several years. The seller isn’t paying for your renovation by making a larger concession on the sales price.

Buyers Are Already Calling About Inventory Concerns

We are getting calls from nervous buyers who have been watching the market and are realizing their favorite listings

are now sold. Many buyers do not realize there has been a mass sell-off in our favorite markets this summer. Properties that would typically re-enter the market between now and January has already re-entered the market and sold between May and today. Shadow inventories are going to be WAY smaller this year which is going to add to the possibility of price increases and fewer options. I will make every attempt to provide inventory reports like I did last year but due to time constraints, I may not be able. If you have specific questions about specific locations in Naples, I will be happy to update you. Shoot me an email or text!

Website Traffic Is Up Substantially This Year

Many buyers are banking there will be less competition this year due to fears of other buyers not willing to travel. The Naples Area Board of REALTORS does not quantify the number of “site unseen” transactions that took place but I can tell you both from personal experience and conversations I’m having with several agents around town, those types of transactions are up considerably compared to past years. Just because buyers won’t travel doesn’t mean they aren’t purchasing. Let’s take a look at some real estate stats as a reference.

Naples Real Estate Statistics As Of 9/14/20

Active 3,868

Pending 2,203

Closed Past Year 5,642

There are just over 8 months of inventory right now.

We like to see at least 12 months of inventory for a stable market.

9/1/20-9/14/20

964 new listings – up 27% compared to last year.

560 sold properties – up 66% compared to last year.

920 pending contracts – up 206% compared to last year.

180 price increases – up 44% compared to last year.

435 price decreases – down 16% compared to last year.

Pending sales up 206% compared to the same time last year! That’s pretty impressive!

Make Wise Alliances For The Best Protection!

We are also seeing a few buyers who are bouncing around with different agents and buyers who are seeking out the listing agent to negotiate directly. Some people think they’ll get a better deal if they work directly with the agent. That’s actually unethical and the agent could find themselves dealing with an ethics situation. Don’t forget the listing agent has an alliance with the SELLER. Where do you fit in? Just because you can see past sales doesn’t mean you know everything we do about the most recent sales. Take Bay Colony as an example. I have been finding myself in several conversations with buyers and sellers these days helping people understand the value. I’ve been in an overwhelming number of these properties and can tell you first hand what other buyers have said about those properties and what I saw with my own eyes.

“Online property condition intelligence never trumps onsite property condition intelligence!” ~Shannon Lefevre

Get Your Paperwork Together!

Cash is king, expected, and still the most popular way people purchase Naples luxury real estate today. You could be asked to provide proof of funds a bank statement or letter from your financial institution should suffice. If you’re planning on doing a loan, you’ll need to be pre-qualified and have a pre-approval letter when submitting a contract in most cases. Also, don’t be surprised if some sellers don’t accept a lender involved offer. In areas like Pelican Bay, some sellers may opt to wait for a cash buyer. If you’re competing, cash could easily win if the other terms are the same.

Keep Your Eyes Open For Great New Listings!

In areas where inventory is hyper-light, expect lots of competition with buyers who have signed up for new property updates! The number of buyers looking at new property notifications is up 744% compared to last year and the leaves are barely starting to change color. That means well-priced properties and exceptional properties will go quicker this year compared to last year. 21% (nearly 100 properties) of the pending sales posted during this past week went under contract in one week or less! If you haven’t signed up for new property notification for all of your favorite locations, you’re getting you could be missing the exact property you want!

Let’s Orchestrate Your Best Experience!

Make your plans now. I’ve had several calls from buyers who want to “pop in” to see neighborhoods (especially on rainy weekend days) at the last minute with no notice. We want to help you but this is a recipe for disaster. If you’re coming, let us know in advance so we can uncover additional properties that aren’t currently being marketed.

Get on our calendar before somebody else beats you to it! I‘m keeping in close contact with all of the best vendors to monitor timelines to make sure we can accommodate all of your real estate needs. My favorite attorney hinted towards having an overflowing book of business and may have to start turning business away. My favorite inspector has required as much as a14 day notice on some occasions this summer. Since most contracts only give a 15 day inspection period, that can cut very close to important deadlines. Our best contractors are booking several days if not weeks and even years in advance. Call, text, or email me today so I can make arrangements~

Ok, that’s it for my Naples real estate update! I hope you found it informative. Please let me know how I can be of assistance!

Best Regards,

Shannon Lefevre, PA

Your Naples Smart Girl!

239-595-6223