Bob and Geri Quinn

While expert economists, media pundits, politicians and various market analysts continue sorting through the details of the recent banking crisis and how it will impact the Fed’s next moves, there is a growing debate about the potential fallout from these developments. The view seems to be that some of the benefits that will be derived from a Fed pivot to lower interest rates sooner, versus the pre-banking turmoil expectations of higher interest rates for longer, will likely be partially offset by tighter lending and regulatory standards. In other words, even with lower interest rates it may become more difficult for consumers and businesses to obtain loans and credit, which would put a squeeze on spending and help tame inflation. Some economists think a debt crisis will be the resulting chain reaction to emerge from the banking crisis, while others believe everything has been contained.

For now, the Cape Coral condo market seems to be tracking the general trends of the national real estate market, in that we posted solid month-over-month gains in the number of closed condo sales in February versus January of this year, but sales are down substantially from February of last year. Median sales prices remain mostly firm to higher in the face of about four times as many active condo listings in the Multiple Listing Service right now compared to a year ago. Pending condo sales are 18% lower than a year ago, but up 89% from only 54 pending sales back on Jan. 5 of this year. We are currently in a higher inventory buyer’s market, which is a complete change from the low inventory seller’s market one year ago.

As of Tuesday, March 28, there were 213 active condo listings in the Cape through a Realtor in the MLS at prices ranging from $176,100 to $3.9 million. A total of 33 of these condos were listed from $519,900 to $825,000 and another 17 units – all in Tarpon Landings – were listed at $1.1 million and above. At the other end of the spectrum, 95 condos were listed at $300,000 and under, including 9 units listed below $200,000. There were 102 Cape Coral condos under contract as a pending sale at prices ranging from $159,900 to $795,000. Forty-nine of these pending condo sales were priced at $300,000 and under, including 11 pending sales for less than $200,000. There were only 7 pending condo sales in the Cape at prices above $529,900. The median list price came in at $320,000 for condos in the Cape on March 28, while the current median pending sales price was $305,000.

This compares to a month ago on Feb. 28, when there were 224 active condo listings in the MLS at prices ranging from $169,900 to $3.9 million and our median condo list price was at $319,950. A month ago there were 97 pending condo sales in the Cape at prices ranging from $149,900 to $1.795 million and the median pending sales price was $300,500.

About one year ago on April 5, 2022, there were only 53 active condo listings in the Cape through a Realtor ranging in price from $160,000 to $999,999 with a median list price of $299,000. At that time, there were 124 Cape Coral condos under contract as pending sales ranging in price from $139,000 to $1.495 million.

In the overall Cape condo market, there were 45 closed sales in the month of February, which was 25% lower than the 60 condos sold in February 2022, but 73.1% above the 26 sales in January of this year. In the first two months of this year, there were a total of 71 condos sold overall in the Cape, down 37.2% from the 113 condo units sold in January and February of 2022.

The February median sales price came in at $295,000 for the overall Cape Coral condo market, which was 12.4% above the $262,500 posted in February 2022, and it was up 28.3% from $230,000 in January of this year. In the first two months of 2023, the median sales price averaged $262,500 per month in our overall condo market, or 2.3% below the average of $268,750 per month in January and February 2022.

Gulf access canal condos

In the Cape Coral gulf access canal condo segment, which includes all “saltwater” canal condos, there were 24 closed sales in February. This was 27.3% lower than the 33 condos sold in February 2022, but 200% above the 8 sales in January of this year. In the first two months of 2023, there were a total of 32 gulf access condos sold in the Cape, or 47.5% less than the 61 units sold in January and February 2022.

The February median sales price came in at $364,950 for the Cape’s gulf access condo segment, which was 12.3% above the $325,000 posted in both February 2022, and in January of this year. In the first two months of 2023, the median sales price in this segment averaged $344,975 per month, which was up 13.1% versus the average of $305,000 in January and February 2022.

Direct sailboat access canal condos

In the Cape Coral direct sailboat access canal condo segment, which is a subgroup of gulf access condos representing properties with no bridges in the canal system, there were 11 closed sales in February. This was down 50% from the 22 condos sold in February 2022, but 266.7% higher than the 3 units sold in January of this year. In the first two months of 2023, there were a total of 14 condos sold in this segment, which was 63.2% less than the 38 sailboat access condo units sold in January and February of 2022.

The February median sales price came in at $395,000 for the Cape’s direct sailboat access condo segment, which was 2.6% above the $385,000 posted in February 2022, and up 19.7% from $330,000 in January of this year. In the first two months of 2023, the median sales price in this segment averaged $362,500 per month, which was up 2.5% versus the average of $353,750 per month in January and February of 2022.

Dry lot condos

In the Cape Coral dry lot (non-canal) condo segment, there were 15 closed sales in February, which was 34.8% lower than the 23 condos sold in February 2022, and even with the 15 sales in January of this year. In the first two months of 2023, there were a total of 30 dry lot condos sold in the Cape, which was down 25% from the 40 dry lot condo units sold in January and February of 2022.

The February median sales price came in at $243,000 for the Cape’s dry lot condo segment, which was 9% above the $223,000 posted in February 2022, and 15.7% more than the $210,000 in January of this year. In the first two months of 2023, the median sales price for dry lot condos in the Cape averaged $226,500 per month, or 5.8% above the average of $214,000 per month in January and February of 2022.

The sales data for this article was obtained from the Florida Realtors Multiple Listing Service Matrix for Lee County, Fla., as of March 24, 2023, 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 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.