Tequesta Inventory Drops for 6th Straight Month
It’s that time of the month again when we look and see what has happened to real estate inventory levels in the area to see if the dramatic slide continues. Multiple offers, quick sales, prices above list price it continues to be a battle finding qualified buyers homes in today’s market. Demand stays strong and when you realize that 27% on all international buyers purchase a property in Florida and this accounts for 20% of all sales in the state. Yes, one in 5 Florida homes over the past year has sold to an international buyer and 82% are paying with cold hard cash.
Rents are on the rise, interest rates remain an insane bargain and well priced homes in good condition remain scarce. We have the overall economy in turmoil, lending standards stiffening and appraisals to deal with but nothing seems to curb the slide in inventory. Promises of more foreclosure inventory coming on line are met with please of please, please, please from real estate offices around the area. But if you think these are the well priced homes in good condition the market is craving then think again.
So after 5 straight months of inventory declines let’s see where things stand as of September 1st in the northern Palm Beach County region.
This report shows our home inventory “power rankings” for the month ending August 31st. 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 August;
#1 Tequesta – down 9%
#2 Juno Beach – down 3%
#3 Jupiter – down 2%
#3 Palm Beach Gardens – down 1%
#5 Hobe Sound – up 6%
During August in the northern Palm Beach County region the average inventory level dropped another 1.8% with a median drop of 2% and while the slide has slowed it is once again adding more upside pricing pressure. This month we move next to our Gold Ribbon winner Tequesta who reports their sixth straight decrease in inventory level. As of September 1st total inventory sits at 198 units down 18 from the 216 available on August 1st. With these levels we also find ourselves down 20% from the 12 month average that sits at 250 and a similar 20% reduction from the 247 level we stood at one year ago.
Buyers remain price motivated, especially those financing the purchase where appraisals are required and we find ourselves at an important crossroad. Over the past few weeks we are seeing more price reductions especially in the higher priced properties. The real estate market remains oh so efficient even with government fingers in the batter and homes that are well priced and in good condition are selling like hotcakes at a church fundraiser.
Stay tuned as September is going to be another interesting month…………..