TOM & SUE DEMOGENES...
"YOUR INFORMED REAL ESTATE COUPLE"
Per the charts below, Cape Coral median home prices hit $190,000 in December, up an astonishing 32% from one year earlier. This follows a 20 % year-over-year price increase from Dec 2010 to Dec 2011. Cape Coral has now had 28 straight months of year-over-year home price increases, and appreciated by 52% in 24 months. Home prices in the Cape also broke through the $100 per square foot milestone ($105). It has been years since Cape homes seen either of these price levels.....and I strongly believe the highest appreciation is yet to come.
Fort Myers homes which are traditionally 25% higher priced than Cape Coral, also saw an impressive 26% gain in median year-over-year prices. Fort Myers broke the $100 per sq ft barrier in mid 2012 and rose to $116 per square foot in December.
* Median home prices in the first month or two of 2013 will actually fall below December's $190 K prices, before a price explosion erupts beginning in March. This projection is based on my analysis of MLS info for "Pending" and "Active" home Listings.
* Average home prices in the Cape will reach $220,000 (16% increase over Dec 2012) within the first six months of the year. Cape Coral average prices will reach $230 K sometime in 2013, and possibly even $240 K...a big jump from $190 K.Fort Myers home prices will exceed $250,000 within six months.
* Even though the Cape has had 28 straight months of year-over-year price increases, I believe that at least 11 months of this year will exceed same month prices of 2012. My gut tells me to go out on a limb and predict it will be all 12 months, but 40 straight months of price increases is almost too much to ask for, even in our exploding market.
With Lee County prices, and Cape Coral prices in particular, rising so much in the past few years, is it too late to purchase?
Tom: No, for four reasons:
1. Steadily climbing listing prices, low inventory, and low interest rates are all strong indicators that prices will continue to rise for the foreseeable future. Sue and I will continue to invest heavily in Cape Coral real estate until we see signs to discourage us. We see none on the horizon.
Topics: Short Sales vs Foreclosures - Major CC Gov't Happenings - Future Appreciation in SWFL
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Topics: Cape Coral Prices Highest in 5 Years - Million Dollar Homes Selling Again