May Home Sales Trim Inventory Heading into Summer
The combination of shrinking inventory and strong buyer activity signals a competitive market. Therefore, homebuyers should act quickly when they find the right property this summer.
Naples, Fla. (June 19, 2026) – New listings added to the Naples housing market were unable to keep pace with buyer demand in May, leading to a 22 percent decline in overall inventory. The market added 991 new listings during the month, while 1,066 homes went under contract (pending sales). Inventory was further reduced by strong sales activity. Over the past 12 months, closed sales have outperformed the previous 12-month period, and that momentum continued in May. Overall closed sales increased 13.9 percent, rising to 900 transactions from 790 in May 2025. Broker analysts reviewing the May 2026 Market Report from the Naples Area Board of REALTORS® (NABOR®), which tracks home listings and sales throughout Collier County (excluding Marco Island), report that the combination of shrinking inventory and strong buyer activity signals a competitive market. Therefore, homebuyers should act quickly when they find the right property this summer.
“Consumer confidence has been tremendously resilient this year despite increased cost of living and global conflict uncertainty,” said Dr. H. Shelton Weeks, Lucas Professor of Real Estate and Director of the Lucas Institute for Real Estate Development & Finance at Florida Gulf Coast University. “If the middle east situation can be placed in the rear view mirror, then we can end the year strong.”
Balancing Behaviors
As demand for the Naples lifestyle continues and inventory decreases, the median closed price in May increased 1.7 percent to $599,900 from $590,000 in May 2025. In the single-family home market, the median closed price increased 7.6 percent in May to $750,000 from $697,000 in May 2025. In the condominium market, the median closed price increased 0.1 percent in May to $450,000 from $449,500 in May 2025.
“We are seeing a normal seasonal shift, but the year-over-year numbers tell the real story,” said Sherry Stein, CRB, Managing Broker, Berkshire Hathaway HomeServices Florida Realty. “Closed sales are up over 15 percent year-over-year, pending sales are up about 12 percent, and inventory is down 18 percent, all of which point to a more balanced market. The market has adjusted, pricing is aligning with buyer expectations, and that’s driving continued activity here in Naples.
Despite the median closed price increasing in April and May, the May Market Report showed 1,243 price decreases compared to 56 price increases.
“Even though we have fewer new listings, most sellers today are not listing at aspirational prices. Instead, they are taking recommendations from REALTORS® to set more realistic prices,” said Jeff Jones, Broker at Keller Williams Naples. “So far, activity every month this year has been better than it was a year ago.”
“There are several communities around Naples, like the Vineyards and Grey Oaks, where there is very little inventory,” said Cindy Carroll of Carroll & Carroll Appraisers & Consultants, LLC. “It’s likely prices may begin to increase again in pockets where inventory is becoming scarce. But it really depends on where you look because in other neighborhoods around Naples, like near Vanderbilt, there is an oversupply.”
Finding the Sweet Spot
Sellers with significant home equity need a strategic pricing strategy to capture top dollar in the Naples market. Working with an experienced Naples real estate agent who has knowledge of the local market data can help strike that perfect balance, turning a home-owner’s built-up equity into maximum profit when their home is sold.
“Many sellers who are on the fence are worried about losing a low interest rate mortgage,” said Jones. “But a REALTOR® can show you the net effect of enjoying the equity you built versus holding on to a low interest rate.”
The two economists reviewing the May Market Report agree that waiting to buy a home until interest rates drop this year is not a good strategy.
“The average interest rate since the 1970s has been 7.8 percent,” said Dr. Weeks. “With rates currently around 6.5 percent, this is a good time to lock in and buy a home.”
Carroll agreed adding, “Buyers waiting for interest rates to go down are likely going to face higher prices because our overall inventory is declining. We are at 7.1 months of inventory in a market that finds its balance when there is 12 months of inventory.”
The NABOR® May 2026 Market Report provides comparisons of single-family home and condominium sales (via the Southwest Florida MLS), price ranges, and geographic segmentation and includes an overall market summary. NABOR® sales statistics are presented in chart format, including these overall (single-family and condominium) findings for 2026:
Demographic Standouts
The luxury market in Naples is performing very well in 2026. By the end of May, sales of single-family homes over $1.5 million increased 25 percent compared to sales of single-family homes in the same price category during the first five months of 2025. Not surprisingly, because several large luxury sales took place in the Naples Beach area (34102, 34103, 34105), the median closed price of single-family homes there increased 71.6 percent in May to $4,600,000 from $2,681,250 in May 2025.
Geographically, sales of properties in eastern Collier County are on the rise, up 36.5 percent in May. In fact, of the 1,214 properties on the market in East Naples (34114, 34117,34120, 34137), the largest number of overall price decreases reported during May occurred in that area, which spurred sales activity.
According to the report, 61 percent of the overall closed sales in May were cash buyers. With inventory now lower than pre-pandemic levels, summer buyers should work closely with a REALTOR® because competition – especially for properties in the over $1.5 million range, which reported a 37 percent decline in inventory during May – is about to heat up.
If you are considering buying or selling your home, look to a Naples REALTOR® who can provide an accurate market comparison and give you expert advice on how to capitalize on today’s market conditions. A REALTOR® can ensure your next purchase or sale in the Naples area is a success. Search for your dream home and find a Naples REALTOR® on Naplesarea.com.
The Naples Area Board of REALTORS® (NABOR®) is an established organization (Chartered in 1949) whose members have a positive and progressive impact on the Naples community. NABOR® is a local board of REALTORS® and real estate professionals with a legacy of over 75 years serving 8,000 plus members. NABOR® is a member of Florida Realtors® and the National Association of REALTORS®, which is the largest association in the United States with more than 1.4 million members and over 1,200 local boards of REALTORS® nationwide. NABOR® is structured to provide programs and services to its membership through various committees and the NABOR® Board of Directors, all of whom are non-paid volunteers.
The term REALTOR® is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribe to its strict Code of Ethics.