Southwest Florida Real Estate

There are times when it’s fortuitous to be a home hunter in Southwest Florida—and this year appears to be one of them.

The housing inventory in Lee and Collier counties is sizeable, suggesting there’s more room for negotiation. Plus, prices remain relatively steady, depending on location and property type. That means the good life here is attainable at costs that fit a variety of budgets, which has been the story ever since our corner of the Sunshine State began attracting new residents from the colder climes.

Southwest Florida is a global destination for those seeking mild winters, along with abundant outdoor activities, cultural and sporting events, and a diverse economy where there is no state income tax and homestead exemptions take a bite out of property taxes.

Because of these attributes, the population continues to grow. Florida has drawn about one million new residents since 2020, while Collier and Lee counties have grown by almost 94,000 since then. Collier County is now home to 416,233 residents, according to U.S. Census Bureau 2024 estimates, and Lee County stands at 860,959.

The influx creates a demand for housing—and lots of it. More residents means new construction, as evidenced by scores of building sites popping up all over, from coastal neighborhoods to inland gated communities.

Market Overview

Single-family home permits in Lee County rose 22 percent between January 2024 and 2025, according to the Regional Economic Research Institute at Florida Gulf Coast University Lutgert College of Business and the FutureMakers Coalition, a Fort Myers workforce education and development initiative. Collier County experienced an 11 percent hike during the same period.

Residential inventory in Lee County (excluding Bonita Springs and Estero) stood at 4,127 in January, 45.9 percent more than in January 2024, according to the Royal Palm Coast Realtor Association. Active listings in Collier County (excluding Marco Island) totaled 6,808, a 39.5 percent hike during the same period, according to the Naples Area Board of Realtors. The median sales price for single-family homes in Lee County (excluding Bonita Springs and Estero) dropped 2.8 percent to $389,000, compared with January 2024.

In Collier County, January median sales price for single-family dwellings topped out at $800,000, an increase of 6.7 percent over the same month last year. The median closed price for condos in Lee County (excluding Bonita Springs and Estero) fell nearly 13 percent to $305,000 from the previous January. Collier County condos sales in January dipped to $466,000, a 2.7 percent decline from 2024.

On Marco Island in Collier County, the median price for single-family homes is $2 million and $1 million for condos, according to the Marco Island Area Association of Realtors.

Communities

Collier and Lee counties are host a variety of municipalities and towns, stretching from the smallest post office in the United States in tiny Ochopee in Collier County to the affluent environs of Gasparilla and Captiva islands to the rural calm of Buckingham and Alva.

Some neighborhoods are dotted with turn-of-the-century and 1920s Mediterranean-style gems and simple ranch houses built during the 1960s and ’70s. Condominiums, townhouses, apartments, and updated homes round out the options. Most gated communities provide health, fitness, social, and dining amenities.

Standing tall on the horizon, residential high- and low-rises can be found along the Caloosahatchee River, gulf coast, and in city centers. They include: Several new apartment buildings that have opened in downtown Fort Myers River District; Aura at Metropolitan, a 15-story condominium high-rise in downtown Naples; Grandview at Bay Beach, an 11-story condo building on Fort Myers Beach; and the 24-story Island at West Bay in Estero that overlooks Estero Bay. The 27-story Omega at Bonita Bay in Bonita Springs, is perched above Estero Bay. Rising nearby is The Ritz-Carlton Residences, Estero Bay, with two towers featuring 21 stories of luxury living.

Cape Coral in Lee County is the ninth most populous city in Florida, with 224,455. By 2050, the count is expected to hit 318,503, according to Metro Forecasting Models. In Collier County, master-planned communities are rising in the rural east. Ave Maria in Collier County reported 800 new home sales in 2024, landing it among the top 20 master-planned communities nationwide.

What’s to Love?

One attraction is financial. There is no state income tax, and state sales tax is 6 percent. A homestead exemption allows Florida homeowners to reduce the assessed value of their primary home when it’s declared their domicile. There are additional exemptions for veterans, active-duty military, first-responder survivors, seniors, and low-income individuals.

Lifestyle-wise, the Gulf of Mexico invites boating, fishing, diving, and recreation, in addition to some of the most beautiful beaches in the world. Two official paddling trails—one each in Lee and Collier counties—offer scenic routes for canoe, kayak, and paddleboard exploration inland and along the coast.

On terra firma, Collier and Lee counties have a combined 150 golf courses that draw championship tournaments. Naples is ranked No. 1 nationally for golf holes per capita by the National Golf Foundation. For pickleball enthusiasts, there are plentiful courts. East Naples Community Park, with 65 courts, is home to the U.S. Open Pickleball Championships.

Vast natural lands are preserved as national, state, and regional parks, in addition to more than 34,000 acres of conservation areas purchased through Collier and Lee tax-funded preservation programs.

Municipal Populations by County

2023 Estimates, U.S. Census

Collier County, 416,233

Lee County, 860,959