Executive Summary
- The median single-family home price in Lee County fell 5% year-to-date to $364,900.
- October single-family home sales increased 18.7% year-over-year, though this figure is likely inflated due to hurricane-related disruptions in the prior year.
- Inventory levels remain high, with a 7.3-month supply of single-family homes and a 12.3-month supply of condos, indicating a strong buyer’s market.
- Real estate experts cite seller price reductions as a critical factor for driving sales in the current market.
In Lee County, the single-family housing market experienced a slight increase in sales this October compared to the previous year, alongside a continued decline in median home prices, according to a recent report from the Royal Palm Coast Realtor Association. The data indicates a persistent buyer’s market, characterized by elevated inventory levels and increasing price reductions from sellers.
Market by the Numbers
The report, which includes data for Lee and Hendry counties, showed that the median price for a single-family home fell 5% year-to-date, settling at $364,900. In October, there were 1,001 closed single-family sales, marking an 18.7% increase from the same month last year. However, association members noted this year-over-year jump is likely skewed, as sales activity in the prior year was disrupted by Hurricane Milton. Overall, year-to-date sales remain nearly flat with a marginal 0.7% increase.
Inventory and Expert Analysis
A key factor in the market’s current state is inventory. At the end of October, there was a 7.3-month supply of single-family homes. The condo market showed an even greater supply, with 12.3 months of inventory available. Karen Borrelli, president of the association, attributes recent activity to both lower prices and interest rate movements. “The decrease in pricing appeals to a larger pool of buyers who can afford it,” Borrelli stated.
Jason Jakus, the association’s director of technology and MLS, observed that sellers are frequently adjusting their asking prices. “We’re seeing a lot more price reductions,” he said, adding that correctly priced homes are selling quickly, with the median days on market decreasing from 77 to 65 last month. Denny Grimes of Keller Williams Realty echoed this sentiment, stating, “We do not have a demand problem here in Florida, we have a pricing problem… Sales are slowing because we don’t have realistic sellers.”
Key Takeaways
The Lee County real estate market continues to adjust from its post-pandemic peaks. While lower prices are beginning to stimulate some buyer activity, high inventory levels give purchasers significant negotiating power. Experts suggest that seller willingness to reduce asking prices to meet current market conditions is the primary driver of sales volume moving forward.
