Palm Beach Gardens Home Inventory Increases Slightly in February
As we get started with another month it is time to take a fresh look at housing inventory levels throughout the area to see what is happening to the number of homes buyers have to select from. Nothing dramatic from month ago levels with some municipalities showing slight increases and some showing slight decreases; nothing more than 3% in either direction. Overall, still up form the lowest levels around October but in most cases still well below the large inventories we have been dealing with for quite a few years.
Seller’s certainly have less competition but the steady stream of foreclosures that have been with us remain a force to be reckoned with. One really needs to explore the inventory levels associated with each property when making either or buying decisions as they vary widely. Within a couple miles of each other you will find neighborhoods where there is literally no inventory and neighborhoods where there are multi-year inventories. A complete understanding of these metrics is crucial if one wants to make a fully informed purchasing or selling decision. There is every reason to believe that 2012 will be the first year we will see an increase in median sales prices since the real estate bubble burst.
Low interest rates coupled with pent up demand have been a winning combination but sales levels have hardly been off the chart. However, when February sales figures are released we should see a big spike that has not been experienced for quite a while and the next few months are going to be crucial in how strong the legs of this recovery are. We have had some great economic reports as of late which is putting some upward pressure on interest rates but these increases are minor and rates on a 30 year note have pretty much flat-lined well under the 4% threshold.
This report shows our home inventory “power rankings” for the month ending February 29th. These rankings are set up so the top rated municipality will be the one who shows the highest reduction in inventory levels. Since it is these reductions, when coupled with stronger sales, which will move prices higher we want to rank those accordingly. So here are the inventory power rankings are the rankings for the month of February;
#1 Jupiter –
#2 Hobe Sound
#2 Juno Beach
#4 Palm Beach Gardens – Up a Fraction
#5 Tequesta – Up 3%
Overall inventory levels around the area were fairly flat for the month of February with a median decrease in inventory of about one half of one percent over the past thirty days which is a very, very slightly bullish sign for the market or at least on upward pricing pressure. Our 4th place finisher in February was Palm Beach Gardens where inventory levels were up ever so slightly. The good news is their historical levels still are not that far off the yearly lows experienced back on October 1st. As of March 1st we have 1,033 active listings compared to 1,031 on February 1st and we now sit about 14% below our 12 month high back on April 1st. We are also far below the 1,279 units we had in inventory one year ago.
This crazy old market keeps on turning, changing and evolving………..