How Strong Is Housing

Just How Strong Is Housing?

How Strong Is Housing in Naples FLHow strong is housing? The residential real estate market has definitely been the shining light in this country’s current economic situation. All-time low mortgage rates coupled with a new appreciation of what a home truly means has caused the housing market to push forward through this major health crisis. Let’s look at two measures that explain the resilience of the real estate market.

Purchase Mortgages

The number of buyers getting a mortgage to purchase a home is a strong indicator of the strength of a housing market. Below is a graph of the week-over-week percent change in that number, as reported by the Mortgage Bankers’ Association:

The number dropped dramatically in March and mid-April when the economy was shut down. It increased substantially from later in April through the middle of June. The strong increase in May and June was the result of the pent-up demand from earlier in the spring along with the normal business that would have been done during that time.

Since July, the market has remained consistent on a weekly basis, but still reflects a double-digit increase from the levels one year ago. The August 12 report shows a whopping 22% increase over last year.

Pending Contracts

Like purchase mortgages, pending contracts are also a powerful indicator of the strength of the real estate market. Zillow reports each week on the percent change in the number of homes going into contract. Here’s a graph of their data:

Change in Pending Sales

The graph mirrors the one above, showing a drop in early spring followed by a strong recovery in late spring and early summer. Then, in July, it settles into a consistent level of deals. That level, like the one for purchase mortgages, is well ahead of the level seen last year. The last report revealed that pending deals were 16.9% greater than the same time last year.

So, both indicators prove the housing market recovered quickly from the early setback caused by the shelter-in-home orders. They also show that Americans have realized the importance of their homes during this time and are buying more houses than they did prior to the pandemic.

Begin Your Own Property Search for Your Own Naples Luxury Home:

How strong is housing in Luxury Naples Golf CommunitiesSo, if you’re ready to begin your search for your own Naples Heritage Bay property or another Southwest Florida Luxury dream home or condo, I encourage you to explore our website to find information about communities in the area.  If golf is your game, we specialize in golf community real estate and would be happy to help you navigate the more than 150 different golf communities in our area.  If you prefer a more direct approach, we will provide a list of properties that meet your criteria and/or communities that meet your needs.

Also, if you are considering new construction, remember the contractor’s real estate agent represents the builder’s best interest, not yours.  There is no cost for you to have an agent represent you. In fact, we may be able to help you save money and negotiate for extras which the builder may not let you know about.

Lastly, we will handle all contract negotiations and provide paperless transactions for your property from offer to close!

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Bottom Line:

If you’re looking for a focused and goal-oriented Realtor in Naples, Bonita Springs, Estero or Fort Myers who will help you achieve your Real Estate needs, please reach out to us directly.

Additionally, if you are looking for a golf community expert or you are considering buying or selling a home, a luxury home, luxury vacation home, luxury golf home or dream home, call us or text 239-370-0892 or email Matt@NaplesGolfGuy.com

About Matthew Klinowski, PA


Naples Golf GuyLuxury Real Estate AgentThe above insights about how strong is housing was provided by Matt Klinowski, an expert in Southwest Florida real estate.  When you are ready to buy or sell a single family home or condo in Naples, Bonita Springs, Estero or Fort Myers, contact me. With almost 20 years of experience, I can help provide the market information and insights into individual communities to help you buy or sell a home.

Contact Matt:  Matt@NaplesGolfGuy.com

or at 239-370-0892

August 19th, 2020 Posted by NaplesGolfGuy