The Palm Beach County Market Report for November 2016 showed a return to normalcy after disappointing closed sales transaction and volume in the month prior.
If Palm Beach County homebuyers and sellers got cold feet in October 2016, the winter thaw in our beautiful neighborhoods has begun. November 2016 was a solid month for the real estate market, with 1,225 transaction reported as closed sales for the month. That’s a 6.5% increase from December 2015, though the figure is down about 6.5% from the month prior, as predicted in our October 2016 Real Estate Market Report.
No need for concern – historical data shows the last quarter of every year exhibiting a significant slow-down across most major indicators – closed sales, new pending sales, and active inventory. It seems people are busy with other things in the months of October through December, while buying or selling a home is just not a top priority.
That will change in the month of January 2017, however.
Median sales price in November took a slight dip from October to $300,000, which is still a solid 4% gain over this time last year.
November is one of the slowest months of the year for dollar volume, which is the total value of all the real estate bought and sold during the month. Last month was no exception to the trend, with $483 million logged, a 2% decrease from November of 2015.
Compare November’s dollar volume to the month prior, and you’ll see a substantial decrease of 16% from about $575 million in October. That was to be expected. We discussed in our last Market Report that an impending hurricane and an upcoming election put the brakes on new pending sales in October. That helps explain the month-over-month dips in closed sales and volume for November 2016.
New pending sales for the month are showing healthy gains both month-over-month, and year-over-year, so the roadblocks we hit in October are likely in our rear-view mirror.
Further emphasizing this point are new listings, which posted a healthy 7.5% gain from November 2015. That good news as we look ahead to the first quarter of 2017, in which sales and volume are expected to start picking up. These new listings will likely result in sales towards the end of March 2017, with median time to sale currently taking about 95 days.
Looking Ahead to Next Month’s Market Report
As we write this, we are just at the tail end of December 2016. December was a bit of a slow month for Palm Beach County, likely, as homebuyers and sellers are generally less active between Thanksgiving and the New Year. However, we should see a healthy gain in new listings as sellers prepare for the buying sprees of January, February, and March.
|SINGLE-FAMILY HOME||NOVEMBER 2016||NOVEMBER 2015||PERCENT CHANGE|
|Median Sales Price||$300,000||$289,000||3.8%|
|Days To Contract||50||48||4.2%|
*Data provided by Realtor’s Association of the Palm Beaches (RAPB)