The Martin County real estate market persevered through a global pandemic to post more annual sales in 2020 compared to 2019
MIAMI (PRWEB) February 11, 2021
Despite the ongoing global pandemic, Martin County total home sales increased year-over-year in 2020, according to the MIAMI Association of Realtors (MIAMI) and the Multiple Listing Service (MLS) system.
Martin County registered 3,857 total home sales in 2020, a 10.5% year-over-year increase from 2019.
“The Martin County real estate market persevered through a global pandemic to post more annual sales in 2020 compared to 2019,” JTHS-MIAMI President Bill Mate said. “Record-low mortgage rates, Florida’s low taxes, low inventory and purchases from home buyers in tax-burdened states, and increased interest from international buyers are all boosting Martin County real estate.”
Lack of supply is expected to improve later this year as housing starts increase and sellers become more comfortable listing properties and allowing strangers in their homes once the COVID-19 vaccine is widely distributed.
Martin County Single-Family Home Sales Post Strong Numbers
Martin County single-family home sales registered 2,655 transactions in 2020, a 10.5% year-over-year increase from 2,402 in 2019.
Martin County Existing Condominiums Rise Year-over-Year
Martin County existing condominiums increased 10.5% year-over-year in 2020, from 1,088 to 1,202.
Martin County Luxury Sales Post Major Gains in 2020
Luxury ($1 million-and-up) single-family home sales jumped 60.4% year-over-year to 239 transactions in 2020.
Luxury condo transactions increased 180% year-over-year to 14 sales in 2020.
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.
Martin County Median Prices, Dollar Volume Rise in 2020
Martin County existing single-family homes finished 2020 with a median sales price of $400,000, up 7.8% from $371,000 the previous year. The Martin median price for existing condominiums in 2020 was $180,000, an increase of 12.5% from $160,000 in 2019.
Single-family home dollar volume increased 33.8% year-over-year, from $1.2 billion to $1.6 billion. Condo dollar volume increased 24.8%, from $219.6 million to $274.2 million.
Hottest Martin County Neighborhoods at Year-End 2020
Months’ supply of inventory, which is an important indicator of consumer demand and market performance, reflects limited supply in many neighborhoods and price ranges. As a result, lack of supply is also impacting property sales for all property types in Martin County.
Top Martin County neighborhoods with the lowest months of supply of inventory with at least 45 new pending sales at year-end 2020:
1. Jensen Beach, a north Martin County community on the Martin-St. Lucie line, had 1.6 months supply
2. Palm City, a north Martin County community on the Martin-St. Lucie line, had 1.7 months supply
3. Port Salerno, a central Martin County community south of Stuart, had 1.9 months supply
4. Stuart, a north Martin County city east of Palm City, had 1.9 months supply
5. Hobe Sound, a south Martin County community west of Jupiter Island, had 2.2 months supply
1. Port Salerno, a central Martin County community south of Stuart, had 1.9 months supply
2. Jensen Beach, a north Martin County community on the Martin-St. Lucie line,, had 2.0 months supply
3. Palm City, a north Martin County community on the Martin-St. Lucie line, had 2.3 months supply
4. Hobe Sound, a south Martin County community west of Jupiter Island, had 2.5 months supply
5. Stuart, a north Martin County city east of Palm City, had 3.5 months supply
Martin County Real Estate Selling Close to List Price
The average percent of original list price received for single-family homes in 2020 was 95.8%, an increase of 0.9% from a year earlier. The median number of days to contract for Martin single-family homes decreased 25% to 39 days in 2020 from 52 days in 2019.
The median number of days to contract for condominiums sold in 2020 was 38 days, a decrease of 5% from 40 days. The average percent of original list price received was 95.2%, a 0.5% year-over-year increase.
State Year-End Statistics
Statewide closed sales of existing single-family homes totaled 310,378 at the end of 2020, up 5.8% compared to the 2019 figure, according to Florida Realtors. The statewide median sales price for single-family existing homes at year’s end was $290,000, up 9.6% from the previous year.
Looking at Florida’s year-to-year comparison for sales of condo-townhouses, a total of 119,336 units sold statewide in 2020, up 2.5% over 2019. The statewide median price for condo-townhouse properties at the end of the year was $215,000, up 12% from year-end 2019.
The interest rate for a 30-year fixed-rate mortgage averaged 3.11% for 2020, down significantly from the previous year’s average of 3.94%, according to Freddie Mac.
Martin County’s Cash Buyers Top the National Figure
In 2020, cash deals represented 40.5% of Martin’s total closed sales, which is a decrease from 44.1% in 2019. About 20% of all U.S. housing sales are made in cash, according to NAR. Martin’s high percentage of cash sales reflects South Florida’s ability to attract a diverse number of international home buyers, who tend to purchase properties in all cash.
Condominiums comprise a large portion of Martin’s cash purchases as 52.5% of condo closings were made in cash in 2020 compared to 35.1% of single-family home sales.
Distressed Property Transactions Continue to Decline in Martin
About 1.1% of all closed residential sales in Martin were distressed in 2020, including REO (bank-owned properties) and short sales, compared to 2.4% in 2019.
Short sales and REOs accounted for 0.2% and 0.9%, respectively, of total Martin sales in 2020. Short sale transactions dropped 10% year-over-year while REOs decreased 52.1%. A decline in short sales points to more homeowners with increased equity, which should result in increased market activity.
Seller’s Market for Martin Real Estate
Inventory of single-family homes decreased 45.7% in 2020 from 902 active listings in 2019 to 490 in 2020. Condominium inventory decreased 25.1% to 286 in 2020 from 382 listings in 2019.
At the end of 2020, inventory for Martin single-family homes stood at a 2.2-month supply, a 51.1% decrease from 4.5 months in the previous year. Inventory for Martin existing condominiums at the end of 2020 stood at 2.9 months, which is down 31% from 4.2 months. A balanced market between buyers and sellers offers between six and nine months supply of inventory.
Total active listings at the end of 2020 decreased 10.5% year-over-year, from 3,490 to 3,857.
New listings of Martin single-family homes at year-end 2020 decreased 1.8% from 3,184 to 3,126. New listings of condominiums increased 3.5%, from 1,442 to 1,492.
Lack of supply is expected to improve later this year as housing starts increase and sellers become more comfortable listing properties and allowing strangers in their homes once the vaccine is widely distributed.
4Q 2020: Martin Single-Family Home, Condo Sales Rise
Martin County closed sales of existing single-family homes totaled 783 in the fourth quarter of 2020, up 35.7% compared to the previous year. Martin existing condo sales totaled 348 in 4Q 2020, up 45% year-over-year.
Statewide closed sales of existing single-family homes totaled 86,543 in the fourth quarter of 2020, up 23.6% compared to the year-ago figure, according to Florida Realtors. Looking at Florida’s year-to-year comparison for sales of condo-townhouses, a total of 35,865 units sold statewide in 4Q 2020, up 29.4% compared to the same period a year earlier.
Median sale prices for Martin County single-family homes increased 18.9%, from $370,000 to $440,000, in 4Q 2020. Condo median prices increased 10.2% from $245,000 to $270,000.
The national median existing single-family home price in 4Q 2020 rose 14.9% on a year-over-year basis, to $315,900.
The statewide median sales price for existing single-family homes for 4Q 2020 was $306,000, up 14.6% from 4Q 2019. The statewide median price for condo-townhouse properties for the quarter was $226,000, up 15% over the previous year. New pending sales for condo-townhouses for 4Q 2020 increased 30.9% compared to a year ago, while new listings were up 5.9% from the same quarter the previous year.
New listings of Martin single-family homes for sale in 4Q 2020 increased 5.1% compared to the same quarter the previous year, from 691 to 726. New listings for existing condos in 4Q 2020 decreased 3.3% from 331 to 320.
To access Year-end 2020, 4Q 2020 and Local Residential Market Metrics Year-end 2020 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