“Palm Beach real estate remains a top destination for luxury buyers"
MIAMI (PRWEB) November 08, 2019
Palm Beach County luxury $1-million-and-up home sales increased double digits in 3Q 2019, according to the MIAMI Association of Realtors (MIAMI) and the Multiple Listing Service (MLS) system.
Palm Beach County single-family home luxury transactions increased to 327 transactions in 3Q 2019, a 13.9% year-over-year jump. Palm Beach condo luxury condo sales rose to 99 sales, up 12.5%.
“Palm Beach real estate remains a top destination for luxury buyers,” JTHS-MIAMI President Kim Price said. “Interest from high earners in tax burdened states and declining mortgage rates continue to drive demand in the South Florida real estate market.”
Total Palm Beach Home Sales Increase in 3Q 2019
Total Palm Beach home sales rose 3.8%, from 7,749 to 8,046. Single-family home sales increased 8.3% year-over-year, from 4,337 to 4,697. Condo transactions decreased 1.8%, from 3,412 to 3,349.
Total Palm Beach Sales Volume Rises in 3Q 2019
Dollar volume increased 19.6% for single-family homes, from $2.2 billion to $2.6 billion. Dollar volume increased 16.5% from $883 million to $1 billion.
Non-distressed sales comprised about 96.9% of all closed residential sales in 3Q 2019 vs. 96.2% in 3Q 2018. Only 3.1% of all closed residential sales in Palm Beach were distressed in 3Q 2019, including REO (bank-owned properties) and short sales, compared to 3.8% in 3Q 2018.
Short sales and REOs accounted for 0.7% and 2.4%, respectively, of total Palm Beach sales in 3Q 2019. Short sale transactions increased 20% year-over-year while REOs fell 2.5%.
Palm Beach Median Prices Rise in 2Q 2019
The median price for single-family homes in Palm Beach increased to $355,000 in 3Q 2019, a 2.9% jump from $345,000 in the same period last year. The median price for existing condominiums increased 3.4% year-over-year from $179,000 to $185,000.
Statewide, median sales price for single-family existing homes in 3Q 2019 was $265,000, up 3.9% from the same time a year ago, according to Florida Realtors. The statewide median price for condo-townhouse properties during the quarter was $190,000, up 4.1% over the year-ago figure.
The national median existing single-family home price in the third quarter was $280,200, up 5.1% from the third quarter of 2018 ($266,500), according to the National Association of Realtors (NAR).
Seller’s Market in Palm Beach
At the current sales pace, the number of active listings represents 4.3 months of inventory for single-family homes and 4.8 for condominiums. A balanced market between buyers and sellers offers between six and nine months of supply inventory.
Palm Beach real estate had 11,501 active listings in 3Q 2019, a 7.3% decrease from the 12,404 listings at the same time last year. The inventory for single-family homes decreased 8.7%, from 6,726 to 6,144. Palm Beach existing condo inventory decreased 5.7%, from 5,678 to 5,357.
Hot Markets Overview Reveals Strong Demand and Limited Supply in Many Local Areas
Months’ supply of inventory is a strong indicator of real estate activity. Top Palm Beach neighborhoods with the lowest months of supply of inventory in 3Q 2019 (at least 50 transactions):
1. Jupiter, a town north of Palm Beach Gardens, 2.9 months supply
2. The Acreage, a northeastern Palm Beach County community west of West Palm Beach, 3.2 months supply
3. Royal Palm Beach, a northeastern Palm Beach County village north of Wellington, 3.4 months supply
4. Jupiter Farms, a northeastern Palm Beach County community along the Martin-Palm Beach line, 3.7 months supply
5. Lake Worth, a city south of West Palm Beach, 3.7 months supply
1. Jupiter, a northeastern Palm Beach County town north of Palm Beach Gardens, 2.7 months supply
2. Royal Palm Beach, a northeastern Palm Beach County village north of Wellington, 3.2 months supply
3. Palm Springs, an east central Palm Beach County village east of Wellington, 3.7 months supply
4. Palm Beach Gardens, a northeastern Palm Beach County city, 3.9 months supply
5. Wellington, a village south of West Palm Beach, 4.5 months supply
State Home Sales in 3Q 2019
Closed sales of single-family homes statewide totaled 78,759 in 3Q 2019, up 8.1% from the 3Q 2018 level, according to Florida Realtors. Looking at Florida’s condo-townhouse market, statewide closed sales totaled 29,539 during 3Q 2019, up 2.2% compared to a year ago. Closed sales typically occur 30 to 90 days after sales contracts are written.
Palm Beach Homes Selling Close to List Price
The median percent of original list price received was 95% for single-family homes and 94.1% for condos in 3Q 2019.
The median time to contract for single-family home listings was 50 days, a 4.2% increase from 48 days in 3Q 2018. The median time to contract for existing condos was 57 days, a 14% increase from 50 days in 3Q 2018.
The median time to sale for single-family homes increased 5.6%, from 90 days to 95 days. The median time to sale for existing condos increased 4.3%, from 93 days to 97 days.
Palm Beach Cash Sales More than Double National Figure
Cash sales represented 38.9% of Palm Beach closed sales in 3Q 2019, compared to 42.7% in 3Q 2018. About 16% of U.S. home properties are made in cash, according to the latest NAR statistics.
Cash sales accounted for 52.5% of all Palm Beach existing condo sales and 29.3% of single-family transactions.
3Q 2019 Palm Beach County Statistical Reports — visit 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 99 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 47,000 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 215 international organizations worldwide. MIAMI’s official website is http://www.MiamiRealtors.com