Home sales fall to 8 month low in North Palm Beach
After what has been an unbelievable spring and summer buying season I was chomping at the bit to pull the final numbers for home sales throughout the region for July. With all the negative news on the economic road map perhaps the best bit of news was the Fed’s announcement that they will try to keep interest rates artificially low for at least 2 more years. Great news indeed for homebuyers but let’s see if they alone can keep rates down this low.
We started off this months update with single family home sales in Hobe Sound and condo Sales in Juno Beach I would be lying if I said I was not disappointed with the results. Next up is single family home sales in North Palm Beach and I am just as disappointed here. After 7 months where we have seen a minimum of 4 sales as of this morning our MLS system shows a total of 4 successful closings in July the lowest monthly total since November of 2010. We can point to the seasonal nature of our business but we still fall well short of the 8 closings we had in July of last year.
While sales levels were disappointing it was also discouraging to see 75% of all sales come in below $300,000. Whenever prices are this far below replacement cost it is a good time to buy and with rates this low the time has never been better. Balancing prices that may still decline in some market segments with low interest rates has many luxury home buyers still riding the fence. The chart below shows the percentage of sales by price category for the month of July.
With most sales in the lower pricing segments we should expect weak median sales prices figures and that is what we got as we set a brand new annual low. July’s numbers came in at $220,000 which is the lowest monthly number we have seen since May of 2010 and still being held down by the foreclosure market. We were very happy to report last week that foreclosure numbers were down for the 3rd consecutive month which is the first step in getting prices to move even higher. The chart below shows median prices on a monthly basis over the previous 12 month period.
I watch these market trends very closely as the data is very important to our clients, whether they are buying or selling, to paint a picture of where the market may be heading. If you would like any additional information on a specific home, neighborhood, or community please feel free to contact me. I am easily reached at 561 308-0175 or via e-mail at email@example.com and would be happy to be of assistance with any of your real estate questions. After just one call you will know why “Results Driven Real Estate” is your top choice for professional real estate services throughout Palm Beach and Martin Counties.
Always at Your Service,
Tom Priester e-PRO
”Results Driven Real Estate”
Keller Williams Realty