We are in the middle of “season”. It’s when people from all over the world come for our weather, our beaches, our golf courses, our restaurants, our shopping, our amazing quality of life. There are so many variables that determine how many homes they buy while here and one extremely important metric is home inventory, or what is on the market for them to buy.
The number of homes for sale in the Jupiter area continues to grow. As of today, inventory has increased 4.4% since the first of the month and 10.3% over the past 30 days. Last year during this period, inventory levels fell and they continued to fall through September. Buyers should be thrilled as they have more options than there has been since way back in March of 2015.
But inventory is a funny thing. Some of it isn’t priced very well, some of it is in poor condition. There really isn’t much “good stuff” out there in some locations and when new “good stuff” hits the market it goes quickly. Very quickly. Over the weekend we were working with three clients and in each case we were out looking at “new good stuff”. In each instance the sellers had taken good care of their property and had priced it realistically. In each case they received multiple offers and will have their homes under contract very quickly. Buyers need to have clear goals and be well prepared to act quickly of others will.
However, there are some neighborhoods and developments where there is a lot of inventory and things aren’t moving. We do detailed updates to our sellers and our last weekly update include a number of reports where inventory in their market segment was very high. One client had the news that inventory was 19 months, another faced 27 months of inventory. Back in our December 1st market update we called the market dysfunctional and in many ways it still is.
Interest rates have plummeted and are near all time record lows. The Dow can go up . or down hundreds of points at any moment. Things are volatile. Dysfunctional.
But buyers have been responding. Pending home sales are up measurably for the first time in a mid month report since April of last year. We had a very slight increase in our December 15th report but those gains did not hold. Since the first of the month pending home sales in the Jupiter area are up 8.9%. Over the past month they are up 14.5%. These sound like strong numbers but again it’s the “season”. Last year between January 16th and February 15th pending home sales were up over 40%. We fall far short of that performance. Right now pending home sales are down 19% from where we were last year. Dysfunctional.
The market changes quickly. Good, well priced properties in the best locations are not easy to find. Patient, properly prepared buyers are winning. Each property, on each street, in each neighborhood, in each town is totally different and plays by different rules. If you are buying, or selling, please get complete information. Make educated real estate decisions. It truly is the difference between winning and losing.