As we weave our way through the daily changes and updates associated with the virus, Naples real estate has remained solid under the conditions. It has been interesting – surprising to some – that contracts are being written and new listings have come onto the market for sale. Although showing homes from both the buyer perspective and the seller perspective has not been without challenges, there is still activity. We have kept a close eye on the communities and price ranges that have been strong throughout this ordeal.
What should we expect as the state of Florida and Collier County “open up” for business? Since the beginning of business closures, real estate has been regarded as an essential business. We will continue to conduct real estate business but, on a practical level, there will some changes in how we show homes to buyers, how we market properties for sellers, how we write a contract and the timeline for the transaction process.
Buyers should expect:
- More advance notice for showing appointments to show homes. Some properties will be vacant and easier to show. Homes and condos that are owner occupied will require making arrangements ahead of time.
- Limitations on Open House events. At this time, there are no Open House events allowed so, you will need a licensed Realtor to provide access to properties of interest.
- With more uncertainties, cash is king more than ever. We will be able to negotiate the best deals with a cash purchase and a quick close. Nothing new here but, some sellers have experienced nervous buyers and a seller is going to want every confidence that the deal will close smoothly.
- If you are going to take advantage of the crazy low interest rates, just prepare ahead of time by aligning yourself with a lender to start the application process.
- The timeline to closing may be a bit longer. A cash purchase can be expedited but buying with a loan is going to take more time than normal.
- Some more forms…….the local real estate board wants to protect everyone – both buyers ad sellers – against unforeseen delays or circumstances. Nothing to be alarmed about, just another page of paperwork.
- As always, the sales price and terms of a contract are going to be negotiated on a case-by-case basis. Don’t assume that every seller is in a panic to sell. Every owner is going to motivated to sell at his or her own level. We only find out just how motivated a seller is when we get a response to a written contract.
Sellers should expect:
- Fewer showings will be the norm. However, the buyers that are active in the market are much more likely to be serious about purchasing.
- Pro-active marketing of your listing is going to be more important than ever.
- Good photographs of your property are absolutely imperative nowadays. This has always been the case to attract attention and get showings but potential buyers are spending many, many hours on the internet looking at homes before they choose possibilities or come into town.
- Some buyers are going to make low ball offers. Expect it and don’t be offended. Let them fall in love with your house or condo and put something in writing as a starting point. In the end, a fair deal in current market conditions for both parties is the target.
- Particularly if a buyer is making the purchase with a mortgage, the timeline to closing is likely to be a little longer. Lenders are busy because of the low interest rates (people purchasing but also re-financing) but running under-staffed in some offices.
- We might see more use of the “As Is” contract. This is a double edged sword with pros and cons. Call us for more details about how this would work for you.
Market conditions remain stable with a good equilibrium between buyers and sellers. One side does not have overwhelming leverage at this time and negotiations are normal. As always in any market, parties have different motivations. If you are a buyer, this time of year is advantageous for all of the same reasons that buyers are successful in our area during the “off season” – less competition with other buyers, serious sellers are on the market because they really want to sell and low interest rates are incentive. If you are a seller, it’s a good time because the number of listings is still very low and the buyers are serious. Years ago the real estate activity was concentrated during “season” but that is ancient history. Trends and actual facts confirm that the bulk of transactions take place now through September.
Click on the links below to check out properties currently for sale in some communities and locationss that we expect to see a flurry of activity as the restrictions loosen up. Call or email us with questions about the market and specific properties.
As full time real estate professionals, we represent both buyers and sellers in Naples. No Realtor team has a better track record in Naples Park and Conners of Vanderbilt Beach. If you are a seller, we market your home to local, national and international buyers for the best results. If you are a buyer, we listen well and will find your own “Piece of Paradise” at the best negotiated price and terms.
Tim Cranch at 239-272-4848 or Ellie Penaranda at 239-776-4848