In 1964, Raymond L. Lutgert purchased a stretch of land on a pristine stretch of the Gulf Coast. Lutgert spent the next four years working with architects and engineers, developing the 760 acres into what would eventually become the neighborhood of Park Shore in Naples, Florida. Today, the area boasts lavish Mediterranean-style homes that overlook beautiful Venetian Bay. This sought-after quiet community of approximately 6,400 residents gains popularity from its luxurious homes, peaceful surroundings, and walkability. The idyllic neighborhood also offers music events, yoga, and cycling activities.
The ins and outs of Park Shore's housing market
Real estate prices in the area keep increasing as the demand for properties goes up, and the average time a Park Shore home is on the market remains low due to the demand for this popular area. If you’re looking for Park Shore homes for sale, it’s best to work with a local agent like Walter Patrick.
Housing inventory: everything you need to know
Does the type of housing inventory impact supply and demand?
New construction considers the median income of the area's current dwellers. Other factors for consideration include interest rates and the cost of building materials.
Factors that affect Park Shore's housing demands
Significant influencers of the market include:
- Economic conditions.
- Interest rates.
- Housing inventory.
- Local climate.
- Area amenities.
The housing inventory stands as relatively balanced in the Park Shore areas. The availability of luxury homes remains limited, but the demand focuses on more affordable living. Interest rates average about 7%, with a slightly lower rate for a 15-year mortgage.
Retirees and young families continue to move to Naples for the weather, especially the mild winters. However, extreme weather resulting from climate change and rising costs, such as flood insurance, also concern some buyers.
Naples continues to make great strides in counteracting and planning for the effects of natural disasters, such as severe hurricanes and other consequences of the warming ocean.
Demand is high for Park Shore real estate
The city of Naples recognizes the impact of human behavior on the Earth's changing climate and actively addresses climate change by doing the following:
- Planning and adapting for climate change impacts, such as violent storm surges and flooding.
- Reducing emissions of greenhouse gases throughout the community.
- Developing a Climate Adaption Plan to prepare the community for the impact of climate change on public health, the infrastructure, and the ecosystem.
Factors affecting the housing supply in Park Shore
How do these factors influence the housing supply in Park Shore?
Local legislation encouraging the housing development industry also helps to create new jobs and drive down unemployment. Some recent legislation promotes the growth of affordable housing and encourages families and young professionals to relocate or stay in the area. However, though the law signed by Florida Governor DeSantis encourages the building of new homes, it does not address rent control.
Florida Governor DeSantis signed Senate Bill 102 (The Live Local Act) into law on March 29, 2023. The total package of $711 million far exceeds any previous housing development legislation for affordable housing. It also provides property tax exemptions for housing developers substantially increasing the number of development contracts.
How does Park Shore's housing inventory affect the market?
When supply exceeds demand, it becomes a buyer's market. Currently, building contracts align fairly closely with demand, making a somewhat balanced market throughout Naples.
What buyers need to know
It's also advisable to secure preapproval to know the qualified mortgage amount. Prequalifying will give a buyer an advantage over the competition.
What sellers need to know
When selling a home, listing it with an accurate description is essential. In addition to providing information about the house, it's also advisable to record information about the area's amenities and the quality of the schools. Working with an experienced realtor makes sense, as they will make suggestions regarding needed repairs and improvements and may even make staging recommendations.
What investors need to know
Demand for homes in this area also adds to the value and subsequent sales price of homes in Naples. The Park Shore neighborhood offers an exemplary class of homes along with luxury shopping and dining options and fabulous water views. These features put the demand for homes in Park Shore at an even higher level.
The risk of purchasing a home in the Naples area remains relatively low. Economic consumer confidence, fire, and drought come with a low risk, with flood representing the only significant risk. Flood insurance is readily available and advised for those who purchase a home in the Naples area.
Strategies for navigating a competitive housing market with low inventory levels
Working with a real estate professional who knows the market and the specific area also makes sense if you want to find the ideal home and secure the best possible financial terms, whether the intent is to live there for a lifetime or sell relatively soon as an investment.
Walter T. Patrick can help you with your real estate needs
Walter's strong work ethic and reputation for honesty and integrity attract high-profile clients who demand exemplary service and results. If you need more information about buying, selling, or investing in a property, contact Walter T. Patrick today.