The Palm Beach County Single-Family Home Real Estate Market Report for August 2018 is out, and the numbers indicate it was a slow summer. With record heat hitting the thermostats, and the uncertainty of hurricane season, the absence of record-breaking sales numbers during the month come as no surprise.
As a result, Closed Sales, Median Sales Price, and Inventory were pretty much flat across the county.
One thing to note of interest is that Average Sales Price and Dollar Volume took a hike up the mountain of about 10% and 8%, respectively, through the month of August. That’s indicative of the fact that high-end priced homes are moving off the market and onto the closing table. While Average Sales Price is a skewed statistic that shouldn’t be relied upon by consumers, it is another measuring stick in the toolbox that can tell us which direction the market it heading.
New Pending Sales, New Listings, Pending Inventory, and Active Inventory were all reported as negative numbers in this month’s report. New Pending Sales, in particular, is a good indicator of which direction the market is headed in the upcoming period, as it shows how many homes went under contract during the month.
While not all homes that go under contract will close, of course, given a variable of about 10%, we like to watch this indicator. Year-to-date, New Pending Sales is negative by about -3%. The market is tight, and buyers are competing for the same inventory.
As October approaches, so too does our tourism season in South Florida. Palm Beach County, and West Palm Beach specifically, will absorb our part-time residents from the north, who come down to buy new homes, frequent our restaurants and beaches, and inject precious cash into our economy.
We expect that inventory will remain tight through fourth quarter of 2018, and going into 2019.
If you are a buyer or seller, 2018 has been a great year to get in the market. But now more than ever, you cannot (and should not) rely on websites like Zillow to provide accurate analysis on a neighborhood-by-neighborhood basis. Rely on your local, experienced, and talented Realtors, like Copeland & Co. Real Estate.
August 2018 Single-Family Real Estate Market Stats
|SINGLE-FAMILY HOMES||AUGUST 2018||AUGUST 2017||PERCENT CHANGE|
|Median Sales Price||$340,000||$340,000||0%|
|New Pending Sales||1,588||1,711||-7.2%|