Naples Real Estate Market Overview
Naples Market Overview
Naples and the Collier County area has consistently been cited as one of the top growth areas in the United States and in Florida. The semitropical weather and availability of numerous upscale services, makes Naples a very desirable second home and retirement destination. Most of the working residents are employed servicing the second home market, whether it is construction, development, maintenance, hospitality or the many other services sought by the second home owner group.
Overall, Naples real estate prices are higher than others, due to Naples great appeal to second home buyers, and the buying demand they represent.
What Makes Naples So Attractive
What is it about Naples that makes it so attractive to baby-boomers and other second home buyers?
- Naples is in a semi-tropical weather zone. Semi-tropical weather = warn and dry winter weather.
- Miles and miles of sugar sand beaches.
- Easy beach access throughout the area. Just drive west and you're at the beach - no congested bridges to cross.
- Beautiful tree lined boulevards. Flora and fauna everywhere.
- Very neat and clean, low crime.
- No "smoke stack" or heavy industry. The economy is driven by the housing demand of second home buyers, and the services required to support them and those residents supplying those services.
- Protected bays and backwaters for boating and fishing.
- Many great recreational, shopping and dining areas.
The economy is based on a industry driven by seasonal residents or visitors who normally reside outside the area. As long as the Naples area is considered a desirable escape by those living in northern climates, the economy should continue to grow and prosper.
Baby Boomers Expect to Contribute to High Growth Rates
Those born in 1946, are the first year of the baby boom generation that reached 60 years of age. In the next 10 years over 35 million baby boomers will be reaching the 60 year threshold. According to the The Urban Institute of Tabulations of Dynasm, the individuals in this group will have on average, over $1 million in wealth. This is 20% higher than the generation that proceeded them.
Births in the United States
Naples Area Expansion
Collier County extends from the middle of Florida to the Gulf
Coast. Naples refers to the western edge of Collier County and
consists primarily of separate communities within the county. The city of
Naples itself, represents only a small part of the
population and geographic area.
The Naples area is surrounded by swamp and farm lands to the east and south, and by Lee County to the North (Bonita Springs, Estero, Ft. Myers).
The majority of the Naples population lives within planned urban developments - PUDs. These are large tracks of land where developers took care of building the roads, sewers, boulevards, housing, golf courses, community amenities, etc. (See Naples Communities)
The far western edge of Naples has been mostly built-out. The opportunity to build something new, is usually confined to something that needs to be torn down. Teardowns is a common occurrence in the most desirable locations. In these case the house that sits on a lot can virtually be worthless when compared to the land that it sits upon.
Large tracks of land in western Naples no longer exists, only a few smaller tracks suitable for small communities. New communities that require large tracks of lands (golf course communities for example) can only exist in the northeast and southeast reaches of Naples.
On the eastern edge of Naples is Golden Gate Estates. This is a very large area consisting of residential lots of an acre or more. This area is carved out of former swamp land, that was drained in the early 60s through a series of cannels. Single family homes and lots can be purchased, but no development exist within that area.
As residential growth continues, new housing trends will head further east and south within the Naples area.