Almost always, summer in, and around, Jupiter means the real estate market goes on vacation. It’s just the way it is, or at least the way it has always been. Home sales slow when the temperatures start climbing. Then this year comes at us with more single family home sales in Jupiter during June than any other month in history. But buyers were not finished as they pushed the pending home sale index in the Northern Palm Beaches higher during July. That never happens and had us wondering when the real estate summer vacation was coming, or, if it as coming at all.
August brought us the answer and finally the market has settled into what one would consider more traditional summer trends. With only about a month of summer left it’s nice to see a return to normal conditions. As of today, pending homes sales dropped about 5% after that surprise increase during the month of July. The number of homes under contract today is about 7% below where that number was last year. Perhaps more telling is that fact we are 18% below the numbers for 2015.
Inventory levels continue to fall and are now down for 6 consecutive months. The number of homes buyers have to select from has fallen about 22% since March 15th and are at the worst levels we have seen since November of 2015. Buyers, frankly do not have much to choose from.
Median prices have been moving strongly higher this summer and that trend is still in place so far in August. The single family home market is showing the most strength, with prices 10% higher over the past year and closing in on the all time record highs that were set way back in 2005. Median condo prices are up 5% compared to year ago figures.
Buyers are out there, interest rates have been trending lower despite the Feds attempts to raise them, but quality homes are getting harder to find. Affordability remains a huge problem and according to Fannie Mae only 23% of Americans feel that it is a good time to buy a home.
The Northern Palm Beaches real estate market continues to get more and more interesting. If you are dipping your toes in these waters make sure you are getting informed and making fully educated decisions. If Paradise Sharks can be of help in any way please feel free to contact us at email@example.com or 561.308.0175.