Bob and Geri Quinn

The number of closed single-family home sales in Cape Coral during January were down sharply while the number of currently active listings were substantially higher than a year ago, as home prices continued to come under downward pressure. However, pending home sales have increased sharply from the beginning of this year creating a nice “seasonal pop,” while remaining well below last year’s frenzied pace as our market has “slumped” back to pre-COVID sales levels.

We continue to see a lot of Internet activity in the form of home searches from potential out-of-town buyers, with some telling us they are patiently “watching” for now and hoping for prices to go lower before they get serious about buying a home.

Earlier this week the National Association of Realtors announced that nationwide the real estate market suffered a record 12th straight monthly decline in existing home sales with January posting a record 36.9 percent plunge in sales versus January 2022. On a seasonally adjusted annual rate, the number of total existing home sales, which includes single-family homes, townhomes, condos and co-ops, is at its weakest level since October 2010. However, the January median sales price edged 1.3 percent higher from January 2022, to $359,000. While this marked a record 131 consecutive months of year-over-year price gains, the NAR noted it was the smallest annual gain in prices since January 2012, indicating price gains are decelerating. This came on the heels of last week’s stubbornly high and “sticky” inflation numbers which caused interest rates to spike higher, as it became clear the Federal Reserve will likely be forced to move interest rates higher for longer in its war on inflation.

As of Tuesday, Feb. 21, there were 1,349 active listings in the Multiple Listing Service for Cape Coral single-family homes at prices ranging from $255,000 to $4.275 million. This was up from 1,321 listings a week ago, and above the 1,330 listings at the beginning of this year on Jan. 3. More notable is the fact that the number of active single-family home listings through a Realtor in the Cape has more than tripled from the 424 listings a year ago on Feb. 22, 2022, when list prices ranged from $238,500 to $5.995 million.

The current median list price is up a bit to $519,000 from $509,873 on Jan. 3 of this year, but down 13.1 percent from $597,450 one year ago. There are currently 177 homes listed for $1 million and above, up from 151 listings on Jan. 3, and well above the 83 such listings a year ago. We currently have 143 single-family homes in the Cape listed at $350,000 and under, making up 10.6 percent of the homes for sale on the market, with 22 of these homes priced under $300,000. This compares to a year ago when there were only 26 homes, or 6.1 percent of the 424 active listings, priced at $350,000 and under, with only five homes listed below $300,000.

Shifting over to pending home sales, as of Feb. 21, there were 803 single-family homes in the Cape under contract with buyers at prices ranging from $215,000 to $3.29 million. This is up from 765 pending home sales one week ago, and it is a 53.8 percent increase from 522 pending sales back on Jan. 3. Pending sales are down 21.7 percent from a year ago on Feb. 22, 2022, when there were 1,025 homes in the Cape under contract with buyers. We currently have 38 pending sales at $1 million and above, to go along with 232 pending sales, or 29 percent of the market, at $350,000 and below. The median price for pending sales, with half above and half below this price, is currently at $405,000.

In the overall Cape Coral single-family home market, there were 320 closed home sales in January, which was 33.9 percent lower than the 484 closed sales in January 2022, and 8 percent below the 348 closed sales in December. The median sales price in the Cape’s overall single-family home market was $402,495 in January, or 1.6 percent higher than the $396,000 posted in January 2022, and up 0.6 percent from $399,995 in December.

The monthly supply of unsold homes in the overall Cape home market came in at 7 months in January, which was up from both the 4 months of supply in January 2022, and the 6 months of supply in December.

Indirect gulf access canal homes

In the Cape Coral single-family indirect gulf access canal home segment (meaning canal homes with bridges in the canal system), there were 21 closed home sales in January. This was 55.3 percent lower than the 47 closed sales in January 2022, and 4.5 percent less than the 22 closed sales in December. The median sales price in this segment was $775,000 in January, which was 3.3 percent higher than the $750,000 posted in January 2022, and it was 4.7 percent above the $740,000 in December. The monthly supply of unsold homes in this segment was 11 months in January, compared to the 4 months of supply in January 2022, and 9 months in December.

Direct sailboat access canal homes

In the Cape Coral single-family direct sailboat access canal home segment (meaning canal homes with no bridges in the canal system to get out to open water), there were 37 closed home sales in January. This was 30.2 percent lower than the 53 closed sales in January 2022, but 27.6 percent above the 29 sales in December. The median sales price in this segment was $670,000 in January, which was 16.3 percent below the $800,000 posted in January 2022, but 0.8 percent higher than the $665,000 in December. Keep in mind that these sales price numbers are likely skewed lower than normal due to the distressed sales of storm damaged homes creating some price distortions. The monthly supply of unsold homes in this segment came in at 6 months in January, compared to the 3 months of supply recorded in January 2022, and the 7 months of supply in December.

Freshwater canal and lake homes

In the Cape Coral single-family freshwater canal and lake home segment, which consists of landlocked canals and lakes with no access to the river or to the Gulf of Mexico by boat, there were 31 closed home sales in January. This was 43.6 percent lower than the 55 closed sales in January 2022, and down 13.9 percent from the 36 closed sales in December. The median sales price in this segment was $470,000 in January, or 2.5 percent below the $482,000 posted in January 2022, and 11 percent lower than the $528,200 in December. The monthly supply of unsold homes in this segment came in at 7 months in January, compared to 3 months of supply in January 2022, and 6 months of supply in December.

Dry lot homes

In the Cape Coral single-family dry lot (non-canal) home segment, there were 229 closed home sales in January, which was 29.5 percent lower than the 325 closed sales in January 2022, and 12.6 percent below the 262 closed sales in December. The median sales price in this segment was $357,990 in January, or 3.5 percent above the $346,000 posted in January 2022, but down 5.2 percent from $377,495 in December. The monthly supply of unsold homes in this segment came in at 7 months in January, compared to the 4 months of supply in January 2022, and the 5 months of unsold supply in December.

The sales data for this article was obtained from the Florida Realtors Multiple Listing Service Matrix for Lee County, Fla., as of Feb. 19, 2023, unless otherwise noted. It was compiled by Bob and Geri Quinn and it includes information specifically for Cape Coral single-family homes, and does not include condominiums, 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 43 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.