QUARTER 2 HOME SALES REMAIN STRONG
“Sellers in Palm Beach County and the Treasure Coast are well positioned to sell their home for a good price, and in less time than a year ago. And recent trends indicate that this area is leading the nation in growth, and inventory is needed to accommodate the increased demand”, said Florida Realtors Director and local REALTOR® Kevin Kent.
Kent added, “And although current prices remain below pre-bubble highs, homeowners who purchased a home just prior to the peak are in a much better position to sell. In addition, low mortgage rates and steady increases in new listings are propelling buyers to purchase in anticipation of possible increases in prices and mortgage rates.” Quarterly reports released by Florida REALTORS® and the Realtors Association of the Palm Beaches show that there are more options available with year-over-year inventory levels up in Palm Beach County, with the exception of homes priced below $300,000.” Based on the current listing price, the majority of new listings are priced between $300,000 and $600,000.
Closed sales in Palm Beach County are down 5.1 percent from a year ago. However, the number of closed sales increased by 1,298 from the previous quarter. This gain is likely due to the number of new homes for sale in Q4, 2015. More inventory, more sales. Year-over-year the number and percentage of cash sales continues to decline, with the last increase dating back to Q2, 2013. The median price, meaning 50 percent were above and 50 percent were below, increased 5.0 year-over-year and 6.7 percent from the previous quarter. Days on market to close averaging 95 days and list to contract averaging 46 days, both down from a year ago. Most homes selling for or close to the original listing price. Pending sales declined slightly from the previous year.
Although the dollar volume of sales declined 1.0 percent from the previous year, the sales volume during the second quarter soared to 2.6 billion, a seasonal soar that mirrors the previous year. Inventory, although up slightly from the previous year, is at a 4.8 supply which is still below what is considered a healthy 6-month supply. However, with new listings on the rise inventory levels are moving in the right direction.
When asked about the overall market Kent replied, “overall the real estate market in Palm Beach County and surrounding areas are healthy. As home values increase at a steady and healthy pace, and mortgage rates remain low, the market is good for both buyers and sellers. The need for affordable homes remains in high-demand. However, with the steady decline of cash buyers entering the market, affordable homes can be found, although it may require more time to find the right fit.”
To view monthly and quarterly market data reports visit the property values section of our website.