The median sale price for single-family homes in Palm Beach County ticked higher to $316,000, up about 11% from September 2015, and up slightly from a solid $315,000 last month. Closed sales were down a hair by 2%, while new listings continue to hit the market to replace depleted inventory.
Speaking of months supply of inventory, in September 2016 that number was estimated to be about 4.8, an indication that we are still in a strongly-favored seller’s market. New listings also hit the market at a rate of about 10% more than what was available this time last year. That means for home sellers, there’s plenty of good competition out there; for buyers, you’ve got options, and you don’t need to get emotionally attached to the first home you see.
Interestingly, Palm Beach County generally experiences a precipitous drop in dollar volume coming out of the summer months, during July-September, but that didn’t happen this year. July and August remained flat, with a small dip for September. Historically speaking, we would see another drop in volume for October, followed by a bounce in November, and a jump in December. But, the trends in dollar volume are not following historic norms.
Dollar volume is important because it’s an indicator of overall activity in the market.
Most indicators seems to point to the same conclusion we’ve been coming to all year: it’s a seller’s market, and home prices are steadily appreciating as housing inventory continues to backfill sold properties.
High-end priced homes see a boost
The real story for September 2016 could be in the minutiae of closed sales by sale price. A general trend in Palm Beach County this year has been that homes in the $150,000 – $250,000 range are in the highest demand, while homes above $400,000 take time to sell. That flipped this month.
Homes in the higher-end of the market sold at a feverish pace in September, with the $300,000 – $400,000 price range leading the pack with 362 closed transactions, representing a 14% increase year-over-year. The highest year-over-year percent change came in at 25% for the 106 homes that sold with a price between $600,000 – $900,000.
In fact, homes sold for $300,000 and above accounted for 53% of overall closed sales. That’s a significant and unusual proportion we don’t see often. And they are closing sooner – median time to contract was shorter for many of these homes.
West Palm Beach Real Estate Market
West Palm Beach is boasting a healthy market – new listings are up 3% year-to-date in September 2016 over this time last year, and median sales price has increased 20%. No doubt that has to do with recent sales activity in popular neighborhoods on the east side, where development and investment is pouring into the Dixie Highway corridor.
This trend will only strengthen with the coming opening of the Greene School, and the redevelopment on the site of the former Carefree Theatre, and well as other listings and properties that continue to sell to high demand. Copeland & Co. Real Estate sold 4209 S Dixie Hwy in October; that could be reflected in next month’s reporting.
|SINGLE-FAMILY HOME||SEPTEMBER 2016||SEPTEMBER 2015||PERCENT CHANGE|
|Median Sales Price||$316,000||$285,000||10.9%|
|Days To Contract||50||43||16.3%|
*Data provided by Realtor’s Association of the Palm Beaches (RAPB)