May condo sales dip, prices and active listings higher
Through the first five months of 2022, the year-to-date number of closed condominium sales in Cape Coral came in considerably lower than they were a year ago, while median sales prices for condos through the month of May were considerably higher. Despite this pullback in closed condo sales compared to the record level of sales in 2021, we are still currently on pace for the second highest all-time number of sales. But, these results were all prior to the Jerome Powell-led Federal Reserve being forced to deal with the economic impact of the extremely high levels of “non-transitory” inflation as they raised interest rates sharply on June 16. With the Fed setting out on a course of trying to regain control over inflation, which will likely take the painful form of creating demand destruction, we will be watching the impact on our local real estate market closely in the second half of this year.
Overall, the Cape Coral condo market is still in a tight inventory seller’s market, however, we are seeing what could be the very early stages of a shift to more of a balanced, or neutral market. Whether or not the market actually completes this shift is yet to be determined, but the number of active Cape condo listings in the MLS have climbed by 12.4 percent since June 7, and they have increased by 258 percent since Feb. 1 of this year. However, we still remain some 41 percent below the number of active listings from 20 months ago.
As of Tuesday, June 28, there were a total of 118 active listings for Cape Coral condos through a Realtor in the MLS at prices ranging from $95,000 to $1.7 million. The listing at $95,000 was for a one-bedroom, one-bathroom unit built in 1984 with 708 square feet of living area in need of remodeling, while the second lowest priced condo in the Cape was listed for $158,000. There were a total of 36 condos on the market at $250,000 and under, with 15 of these units priced below $200,000. Eleven condos were listed above $500,000 with two of these units priced above $1 million. The median list price for condos in Cape Coral came in at $299,900. There are currently 80 condos under contract with buyers as pending sales at prices ranging from $169,700 to $2.2 million, with 28 of these pending at $250,000 and under. Twelve condos were pending at $500,000 and above, including two units priced above $1 million. There were no condos listed in the MLS as foreclosures.
Back on June 7, there were 105 active Cape condo listings with 20 of these units available at $250,000 and under, including 7 units priced below $200,000. The median list price for condos in the Cape was at $315,000 on June 7, with 12 units listed for $500,000 and up. There were 75 condos under contract as pending sales three weeks ago, with 32 of these at $250,000 and under, including 11 at prices below $200,000. We had nine units pending at prices above $500,000 on June 7. Going back to Feb. 1 of this year, there were only 33 active condo listings in the MLS, while about 20 months ago on Nov. 1, 2020, there were 202 condos on the market with three units priced below $100,000.
In the overall Cape condo market, there were 88 closed sales in May, which was 2.2 percent lower than the 90 closed sales in May 2021, and 4.3 percent below the 92 sales in April of this year. In the first five months of 2022, there were a total of 363 condos sold overall in the Cape, down 21.6 percent from the 463 condo units sold in the first five months of 2021.
The May median sales price came in at $279,950 for the overall Cape Coral condo market, which was 36.3 percent above the $205,450 posted in May 2021, and it was 1.7 percent higher than the $275,250 in April of this year. In the first five months of 2022, the median sales price averaged $274,540 per month in our overall condo market, or 36.7 percent above the average of $200,770 per month in the first five months of 2021.
Gulf access canal condos
In the Cape Coral gulf access canal condo segment, which includes all “saltwater” canal condos, there were 43 closed sales in May. This was 2.4 percent more than the 42 condos sold in May 2021, and 10.3 percent above the 39 sales in April of this year. In the first five months of 2022, there were a total of 173 gulf access condos sold in the Cape, or 19.2 percent less than the 214 units sold in the first five months of 2021.
The May median sales price came in at $330,000 for the Cape’s gulf access saltwater canal condo segment, which was 32 percent above the $250,000 posted in May 2021, but 5.7 percent lower than the $350,000 in April of this year. In the first five months of 2022, the median sales price in this segment averaged $322,500 per month, which was up 38.7 percent versus the average of $232,540 per month in the first five months of 2021.
Direct sailboat access canal condos
In the Cape Coral direct sailboat access canal condo segment, which is a subgroup of gulf access condos where boaters have no bridges to go under in the canal system, there were 28 closed sales in May. This was up 27.3 percent from the 22 condos sold in May 2021, and even with the 28 sold in April of this year. In the first five months of 2022, there were a total of 110 condos sold in this segment, which was 4.3 percent less than the 115 condo units sold in the first five months of 2021.
The May median sales price came in at $390,000 for the Cape’s direct sailboat access condo segment, which was 20.9 percent above the $322,500 posted in May 2021, and up 11.4 percent from $350,000 in April of this year. In the first five months of 2022, the median sales price in this segment averaged $362,390 per month, which was up 25.9 percent versus the average of $287,940 per month in the first five months of 2021.
Dry lot condos
In the Cape Coral dry lot (non-canal) condo segment, there were 42 closed sales in May, which was 7.7 percent higher than the 39 condos sold in May 2021, but 12.5 percent below the 48 sales in April of this year. In the first five months of 2022, there were a total of 164 dry lot condos sold in the Cape, which was 17.6 percent less than the 199 dry lot condo units sold in the first five months of 2021.
The May median sales price came in at $249,450 for the Cape’s dry lot condo segment, which was 55.9 percent above the $160,000 posted in May 2021, but 1.0 percent less than the $252,000 in April of this year. In the first five months of 2022, the median sales price in this segment averaged $230,515 per month, or 48 percent above the average of $155,789 per month in the first five months of 2021.
The sales data for this article was obtained from the Florida Realtors Multiple Listing Service Matrix for Lee County, Fla., as of June 26, 2022, unless otherwise noted. It was compiled by Bob and Geri Quinn and it includes information specifically for Cape Coral condominiums, townhouses and villas, and it does not include any single-family homes, short sales or foreclosures. The data and statistics are believed to be reliable, however, they could be updated and revised periodically, and are subject to change without notice. The Quinns are a husband and wife real estate team with the RE/MAX Realty Team office in Cape Coral. They have lived in Cape Coral for over 42 years. Geri has been a full-time Realtor since 2005, and Bob joined Geri as a full-time Realtor in 2014. Their real estate practice is mainly focused on Cape Coral residential property and vacant lots.