If you’ve been waiting for the scarce supply of new homes around Southwest Florida to ease up, you’re in luck – prospects are looking up for 2014.
As the past months and years reflected soaring prices for the few new homes available, reports for this previous year show that starts and permits jumped sharply both locally as well as around the country, giving builders and buyers alike a renewed confidence for the future.
Nationally, permits are running at peak highs for the past half-decade, and Southwest Florida itself is outpacing the nation for one- and two-family homes. In November of last year, some 634,000 single-family homes were permitted across the country – a 10.5% increase from the same month of 2012, according to the U.S. Census Bureau and U.S. Department of Housing and Urban Development. In Collier County alone, 136 single-family homes and duplexes were filed that month as a staggering 72% increase from 2012, according to Collier’s growth management division.
Similarly, multi-family buildings with more than five units saw a 5% increase nationwide – Collier County, however, slid 29% to just seven permits in November, while Lee County’s permits were up 55% to 31 permits.
Meanwhile, builders all around Southwest Florida are taking out permits as fast as possible, and are worried about maintaining consistency against a relentless demand for new homes over the coming years. Construction is expected to rise by as much as 20% over that time – as example, Quail West in Naples saw explosive sales throughout 2013, and begin this year with 325 brand-new homes under construction. Prices rose by 11% to accommodate the strained stock of homes, but the opposite can be expected as more construction is completed and more homes become available to Southwest Florida buyers.