Posted on Thursday, February 02, 2012
If we see some volume to go along with these lower supply levels it could get interesting. When Dr. Silander, my economics professor, first drew that supply vs. demand graph for me I had little idea it would apply to my real estate career – but the forces still work fine.
NABOR (Naples Area Board of REALTORS) and The Naples Daily News reported Naples real estate levels are at five year lows – that could be good for price support. The national news is similar. Florida Realtor and Realtor.com reported last week that “Housing inventory slid to 1.89 million homes in December – down 6 percent from the previous month and 22.3 percent from the prior year.” Predictably prices went up along with this news – in the same report “the national median price edged up 5 percent year-over-year.”
We need the demand side of my professor’s graph to go along with the supply side. Volumes are a little light right now – as previously reported – but you have to like these lower supplies to put a foundation under this market.
I am looking forward to the rest of 2012.
No legal or investment advice or suggestions are being given in this Blog. Actual real estate price and sales results are subject to market forces and are not completely predictable. Please consult a lawyer or investment advisor for such legal and investment advice. The writings of this Blog are intended for the sole use of our clients.
Mark Goebel, PA is a REALTOR with Coldwell Banker on 5th avenue in Naples, Florida with 35+ years of visiting and living in Naples. After 25 years at Accenture, Mark retired as a managing director and spends his time helping non profits and building a Naples real estate team with his wife Nan. Talk to Mark and Nan about life in Naples and why they chose this place to live full-time over all others and enjoy Naples real estate.
Mark Goebel, PA
Naples Best Addresseses – Where The Best Address in Naples Real Estate Is Yours