Southwest Florida Economic Outlook

By Naples News Now | October 2, 2023

Southwest Florida October 2023 2nd Quarter Outlook.

The after-effects of Hurricane Ian continue to be felt in the Southwest Florida economy. As rebuilding continues in Fort Myers Beach and other coastal areas, Lee County continues to experience the larger effect in tourist tax revenue, down year-to-year by an average of 52.5 percent in 2023 Q2. Real taxable sales have also followed this downward trend since Hurricane Ian. All counties have followed a similar downward trend, with the exception of Charlotte County, where the real taxable sales have mostly been on an upward trend since the lowest point in September 2022. Florida consumer sentiment index has seen a slight upward trend over the past quarter after the one-point decrease between March 2023 and April 2023. The category concerning the timing for purchasing big-ticket household items continues to trend upward (since October 2022) suggesting confidence in the ability to pay for such goods and indicating a positive outlook on inflation. Both the Tampa-St. Petersburg and the Miami-Fort Lauderdale Consumer Price Index also indicated a slowing of inflation in the past quarter. While prices do continue to rise in both regions with housing being a common driver, the percentage change from month to month has trended downward in the past quarter. The tight labor market, seasonally-adjusted unemployment rate remains steady at lower levels, contributing to real wage increases in the last few months, supporting the levels of consumer spending and the positive consumer sentiment

Airport Passenger Activity

Last Updated: September 29th, 2023

Summary

  • Seasonally-adjusted passenger traffic for the three airports amounted to 1,407,890 in July 2023, up 3 percent from June 2023 and 2 percent over the July 2022 measure.
  • Seasonally-adjusted passenger traffic at RSW was 892,689 in August 2023, up 1 percent from the previous month but 4 percent below the same month last year.
  • PGD’s seasonally-adjusted passenger activity amounted to 155,030 in August 2023, a 2 percent improvement from July 2023 and 7 percent below August 2022.
  • SRQ seasonally-adjusted passenger traffic was 359,889 in July 2023, up 3 percent from the prior month and 14 percent above July 2022.

Seasonally-adjusted real tourist tax revenues slightly declined in July 2023, a less than 1 percent decline from the prior month but still 32 percent beneath July 2022. Results continue to be driven by Lee County, where revenues decreased by 52 percent over the past 12 months.

Taxable Sales

Last Updated: August 14th, 2023

Summary

  • Seasonally-adjusted real taxable sales for Southwest Florida totaled $3.330 billion in June 2023, an increase of 1 percent from June 2022 and a fractional improvement over the May 2023 measure.
  • Lee County’s seasonally-adjusted real taxable sales were $1.765 billion in June 2023, down 2 percent over June 2022 and 1 percent below the prior month.
  • Collier County seasonally-adjusted real taxable sales were $1.146 billion in June 2023, up 4 percent from both June 2022 and May 2023.

Labor Force and Employment

Last Updated: September 15th, 2023

Summary

  • The region’s seasonally-adjusted unemployment rate was 2.9 percent in August 2023, unchanged from the prior month and 0.3 percentage points above the same month last year.
  • Lee County’s seasonally-adjusted unemployment rate was 2.9 percent in August 2023, up 0.1 percentage points from July 2023 and 0.3 percentage points over August 2022.
  • The unemployment rate in Collier County was 2.9 percent in August 2023, unchanged from the previous month and and 0.2 percentage points over same month last year.

Existing Single-Family Home Sales

Last Updated: September 21st, 2023

Summary

  • The coastal counties had a total of 1,997 single-family home sales in August 2023, a decrease of 1 percent from August 2022 but 7 percent above July 2023.
  • Single-family home sales in the Cape Coral-Fort Myers MSA totaled 1,169 units in August 2023, a less than 1 percent decline from August 2022.
    • The median price in the Cape Coral-Fort Myers MSA fell from $420,750 to $405,810 over the same period.
  • The Naples-Immokalee-Marco Island MSA registered 402 single-family home sales in August 2023, up 6 percent compared to August 2022.
    • The median price in the Naples-Immokalee-Marco Island MSA slipped by $23,000 from $755,000 in August 2022 to $732,000 in August 2023.

Statistics provided by Regional Economic Research Institute, Lutgert College of Business

Posted in Business, News, Real Estate