“Stuart and Martin County real estate has now seen four consecutive months of double-digit year-over-year home sales increases,”
MIAMI (PRWEB) February 19, 2021
Martin County total home sales increased double-digits year-over-year in January 2021, fueled by record-low mortgage rates and pent-up demand, according to the MIAMI Association of Realtors (MIAMI) and the Multiple Listing Service (MLS) system.
Martin County total home sales increased 18.3% year-over-year in January 2021, from 208 to 246. Martin single-family home sales rose 20.8% year-over-year, from 144 to 174. Martin existing condo transactions increased 12.5% year-over-year, from 64 to 72.
“Stuart and Martin County real estate has now seen four consecutive months of double-digit year-over-year home sales increases,” JTHS-MIAMI President Bill Mate said. “Homebuyers, particularly those from tax-burdened Northeastern states, want to live a sunny healthy lifestyle with no state income tax.”
Lack of inventory in certain price points is impacting sales, particularly for single-family homes. Increased housing starts and more sellers listing properties in 2021 should help alleviate the lack of supply.
Martin Single-Family Luxury Sales Surge 53.8% in January 2021
Martin County single-family luxury ($1-million-and-up) transactions jumped 53.8% year-over-year to 20 sales in January 2021. Palm Beach existing condo luxury ($1-million-and-up) sales increased 100% year-over-year to 2 transactions.
Martin single-family homes priced between $400K to $600K surged 28.9% year-over-year to 49 transactions in January 2021. Martin existing condo sales priced between $400K to $600K increased 125% to 9 transactions.
Record-low interest rates; a robust S&P 500; the appeal of stable assets in a volatile economy; homebuyers leaving tax-burdened Northeastern states to purchase in Florida (no state income tax); and work-from-home and remote-learning policies have all combined to create a robust market for luxury single-family properties.
Strong Price Appreciation in Martin County
Strong demand coupled with limited supply continue to drive price appreciation in Martin.
Martin County single-family home prices increased 10.7% year-over-year in January 2021, increasing from $406,375 to $449,900. Existing condo prices increased 23.4% year-over-year, from $171,000 to $210,950.
Single-Family Home and Condo Dollar Volume Increases
Single-family home dollar volume increased 75.9% year-over-year, from $72 million to $126.6 million. Condo dollar volume increased 57.8% year-over-year, from $13.1 million to $20.6 million.
According to Freddie Mac, the average commitment rate for a 30-year, conventional, fixed-rate mortgage was 2.74% in January, up from 2.68% in December. The average commitment rate across all of 2020 was 3.11%.
Martin Distressed Sales Stay Low, Reflecting Healthy Market
Only 0.4% of all closed residential sales in Martin were distressed last month, including REO (bank-owned properties) and short sales, compared to 1.9% in January 2020.
Total Palm Beach distressed sales decreased 75%, from 4 to 1.
Short sales and REOs accounted for 0% and 0.4% year-over-year, respectively, of total Martin sales in January 2021. Short sale transactions increased 100% year-over-year while REOs decreased 75%.
Nationally, distressed sales represented less than 1% of sales in January 2021, down from 2% in January 2020.
Martin Real Estate Selling Close to List Price
The median percent of original list price received for single-family homes was 97% in January 2021, up 2.9% from 94.3% last year. The median percent of original list price received for existing condominiums was 95.5%, up 1.1% from 94.5% last year.
The median number of days between listing and contract dates for Martin single-family home sales was 25 days, a 51.9% decrease from 52 days last year. The median number of days between the listing date and closing date for condos was 39 days, down 33.9% from 59 days.
The median time to sale for single-family homes was 68 days, a 34.6% decrease from 104 days last year. The median number of days to sale for condos was 81 days, a 17.3% decrease from 98 days.
National and State Statistics
Nationally, total existing-home sales transactions completed transactions that include single-family homes, townhomes, condominiums and co-ops, increased 0.6% from December to a seasonally-adjusted annual rate of 6.69 million in January. Sales in total climbed year-over-year, up 23.7% from a year ago (5.41 million in January 2020).
In January, closed sales of single-family homes statewide totaled 21,587, up 18% year-over-year, while existing condo-townhouse sales totaled 9,608, up 24.6% over January 2020. Closed sales may occur from 30- to 90-plus days after sales contracts are written.
Nationally, the median existing-home price for all housing types in January was $303,900, up 14.1% from January 2020 ($266,300), as prices increased in every region. January's national price jump marks 107 straight months of year-over-year gains.
The statewide median sales price for single-family existing homes was $305,000, up 15.1% from the previous year, according to data from Florida Realtors Research Department in partnership with local Realtor boards/associations. Last month’s statewide median price for condo-townhouse units was $230,000, up 15% over the year-ago figure. The median is the midpoint; half the homes sold for more, half for less.
Martin’s Cash Buyers Top National Figure
Martin County cash transactions comprised 45.1% of January 2021 total closed sales, compared to 48.1% last year. The national figure for cash buyers is 19%.
Condominiums comprise a large portion of Martin’s cash purchases as 52.8% of condo closings were made in cash in January 2021 compared to 41.9% of single-family home sales.
Seller’s Market for Single-Family Homes and Condos
Inventory of single-family homes decreased 56.5% in January 2021 from 926 active listings last year to 403 last month. Condominium inventory decreased 34.4% to 276 from 421 listings during the same period in 2020.
Months supply of inventory for single-family homes decreased 60.9% to 1.8 months, which indicates a seller’s market. Inventory for existing condominiums decreased 42.6% to 2.7 months, which indicates a seller’s market. A balanced market between buyers and sellers offers between six- and nine-months supply.
Months supply of inventory is down since July 2019 for single-family, reflecting strong demand.
Total active listings at the end of January 2021 decreased 49.6% year-over-year, from 1,347 to 679.
New listings of Martin single-family homes decreased 17.1% to 136 from 164. New listings of condominiums decreased 21.9%, from 320 to 250.
Nationally, total housing inventory at the end of January amounted to 1.04 million units, down 1.9% from December and down 25.7% from one year ago (1.40 million). Unsold inventory sits at a 1.9-month supply at the current sales pace, equal to December's supply and down from the 3.1-month amount recorded in January 2020. NAR first began tracking the single-family home supply in 1982.
To access January 2021 Martin County Statistical Reports, visit http://www.SFMarketIntel.com
Note: Statistics in this news release may vary depending on reporting dates. MIAMI reports exact statistics directly from its MLS system.
About the MIAMI Association of Realtors
The MIAMI Association of Realtors was chartered by the National Association of Realtors in 1920 and is celebrating 101 years of service to Realtors, the buying and selling public, and the communities in South Florida. Comprised of six organizations, the Residential Association, the Realtors Commercial Alliance, the Broward-MIAMI Association of Realtors, the Jupiter Tequesta Hobe Sound (JTHS-MIAMI) Council, the Young Professionals Network (YPN) Council and the award-winning International Council, it represents 52,000 total real estate professionals in all aspects of real estate sales, marketing, and brokerage. It is the largest local Realtor association in the U.S. and has official partnerships with 223 international organizations worldwide. MIAMI’s official website is http://www.MiamiRealtors.com