NAPLES, Fla. — After a long recessionary dry spell, a flood of new homes inundated the Southwest Florida housing market over the past six years.
Now the question becomes: Is this flood about to recede?
The Naples Daily News reports (http://bit.ly/2coeXI7) while starts and closings remain positive for the present, permits — an indication of future growth — have started to taper off. The biggest reason for the market cool down, industry experts agree, is oversupply.
In a report on the second quarter, in Collier County, housing inventory totaled 1,967 units, equating to 10.8 months of supply, higher than the nine months of supply he considers “normal” for the Southwest Florida market,
In Lee County, where houses are more affordable and absorbed more quickly, inventory totaled 1,380 units, or 7.3 months of supply.
Information from: Naples (Fla.) Daily News, http://www.naplesnews.com