Palm Beach County Real Estate Sales Statistics for May 2011
Various news sources and commentators continue to speculate on the direction and health of the Palm Beach Real Estate market, including references to the Case-Shiller Home Price Index as part of their analysis. The most recent Palm Beach Real Estate commentaries would have us believe that local house prices and condominium prices are still experiencing double digit percentage declines, however, raw and reliable data suggests otherwise, and in fact, one can say that the data itself is largely unclear and in fact is contradictory, and therefore no general conclusions can be drawn until a pattern of recent historical data emerges.
For example, an analysis of the Palm Beach Real Estate data using Realist.com for May 2011 indicates that there were 1,566 Single Family Residence sold in May 2011 which represents an increase of 37.73% increase in single family home units sold from the corresponding month of May 2010. That’s a great number, however, when you explore the data a little further, the median price has declined from $195,000 in May 2010 down to $171,800 for the corresponding period of May 2011 – an 11.89% price decline on an increased number of single family residence units sold.
Even comparing the units sold and price changes for May 2011 versus April 2011 doesn’t enable conclusions to be drawn at this juncture. The April 2011 data versus April 2010 data for Palm Beach Real Estate indicates a price decline of 8.94%, however, units of single family residences sold were largely flat.
In contrast, Palm Beach condominiums indicate a slightly different picture with median prices for April and May 2011 largely unchanged and flat on increased units sold. There were 949 Palm Beach Condos sold in May 2011, up from 803 Palm Beach condos in April 2011 – and an increase in the number of Palm Beach Condos sold of a tremendous 46.67% from May 2010.
So what conclusions can we extrapolate from the latest data? In the short term, month over month, the number of units sold continues to increase while prices on single family homes continue to look for stabilization while Palm Beach Condos appear to have found that crucial price stability while units sold continue to climb.
It is still too early, however, to suggest that Palm Beach Real Estate on a general level has bottomed. However, keep in mind that prices are hyper-local and every neighborhood and sub-division needs to be looked at individually. One cannot take a county trend and infer any conclusions for a particular local community without studying the sales history for the last six to twelve months for that particular area to determine the trend. There are numerous communities that have experienced appreciation – and yet where are the local commentators with that information? It’s all well and good expressing an opinion on the direction of Palm Beach Real Estate prices as a whole, but one needs to have the local data in order to extrapolate any conclusions on a neighborhood or sub-division level.