Awful start to 2021 for anyone looking to buy a Jupiter home

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by Tom Priester

Anybody looking to buy a Jupiter home, or condo, or townhome, or any property throughout the Northern Palm Beach region has a very rough road ahead. There is nothing to buy, or virtually nothing. The best new listings, homes in great shape and priced and marketed well are under contract in days, if not hours.

Never have we seen anything like this. It was back in July of 2020 that the total number of resale homes on the market broke below the modern era record low of 1,600 total units. That old record has been shattered every month now for 8 straight months. After setting a record low by dropping 11% in July. It dropped only 3% in August, then the next three months down 7% each month. Now this month it free falls over 14%. Historic shortage at this point. It’s actually well beyond historic.

It’s the time of the year that inventory historically rises. Last year, inventory during the first half of January was up 5.3%. In 2019 it was up 7%. 2018 inventory rose over 7% over the same period. You get the picture. Finding a Jupiter home becomes easier in January as you get new listings. Or it at least is supposed to get easier. Not this year. Inventory has fallen an additional 4% since we welcomed in the new year.

The total number of units of all property types throughout the Northern Palm Beaches dropped below 1,000 this week. It’s stunning. This minute there are a total of 975 properties for sale. Historic indeed and one wonders where new inventory will come from. Are there pent-up listings where owners are not comfortable having people through their home during the virus? Perhaps? Where will I go once I sell?  If you don’t have an answer to that question, you probably aren’t going to be listing your home. It will likely sell in days and you better know where you will next be laying your head down at night.

Even with a beyond historic decline in inventory, sales over the past month have again been very strong. While pending Jupiter home sales, and those throughout the neighboring communities, pulled back for the third straight month, they were up 6% the first half of January. Very impressive based on what is going on with the historic slide in inventory. Pending home sales in the Northern Palm Beaches are 53% higher than they were a year ago. That would be historic itself, but with the inventory shortage it’s frankly a miracle.

Leading the charge in the sales of homes in the Jupiter area remains closing at the top of the market where homes sell above the $1 million dollar price point. Sales in December broke the old record, set last year by 281%. For the year, sales were up by 50% over the past record. This segment is not yet showing signs of weakening. Pending homes sale above the million-dollar threshold are up for 6 straight weeks and are at the highest levels we have seen in over three months. Compared to year ago numbers, pending home sales are up 208%. Sales above a million dollars are setting records as unfathomable as the records set by the inventory shortage.

Where we go from here is anyone’s guess. Higher taxes will be a sure thing. It’s pretty much a sure thing the new administration will repeal the SALT deduction cap which will certainly stir things up. Will higher taxes cause the wealthy to pull back on high ticket items, like real estate? Will higher taxes drive more to seek residency in no income tax states, like Florida? So many questions and there is no doubt that it’s going to be a very interesting year ahead for anyone buying, selling or owning a Jupiter home.

Stay tuned as Paradise Sharks will be publishing our market updates every week, throughout the year. Our goal is always to educate so our clients make fully informed decisions. If we can ever be of help with any of your real estate questions just reach out to us as we are very happy to help. It’s what we do. If you are buying, or selling, we would love the opportunity to sit down with you and show you how we can not only exceed your expectations but save you a whole lot of money. Our boutique, small business, American loving culture and our decades of experience thinks outside the box to bring a real estate experience like none other.

Schedule a complimentary consultation any time at;

 paradisesharksrealestate@gmail.com or 561.308.0175.

Fins up…..

#jupiterhome

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Tom Priester

After spending years among the top individual performers at one of Palm Beach County’s largest and most successful real estate brokerages, Tom Priester knew there was another way to do real estate. A better way. Real estate services focused on the customer. Like the old days when the customer truly was #1. He tired of listening to why he should be going out to have his customers sign one sided buyers’ brokerage agreements. He tired of hearing how he should be selling customers why paying higher commissions, like 7% and 8%, was to their benefit. He tired of hearing how he should sell his clients on why they should be paying hundreds of dollars in additional “transaction fees”. The business had slid way too far from being focused on the customer. His customer. So he decided the time was right to be different…..by design. To start his own unique boutique real estate firm truly focused on his customers. They will now have access to a process focused on them. Only the best marketing techniques to sell their homes. No cutting corners. Commission structures based on his clients needs not his. Paradise Sharks was born out of Tom’s passion to return this business to the customer. Where it belongs. If you want a real estate experience that benefits you, just give Tom a call at 561 308-0175 or send him an e-mail at tom@paradisesharks.com. You can always pay more and receive less but that just would not make any sense. Would it?

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