Hello Everyone and thank you for watching. This is Gia with Palm Beach Premier Real Estate here in Boca Raton Florida with your local market report for APRIL 2016.
So here’s a quick take on the numbers that just came out from the Realtors Association of the Palm Beaches
The message this month is that: We’re Still In a Seller’s Market …. But For How Long?
Palm Beach County’s slowly recovering economy achieved two milestones in April:
- Home prices rose to a post-bust high (just barely topping last summer’s high point of $303,000), and
- The unemployment rate fell to a post-crash low, slightly down from 4.5% in March.
The median price of a house sold in Palm Beach County last month was $307,125, the highest since 2008, according to data just released by the Realtors Association of the Palm Beaches
April’s median home price was up 3.6 percent from a year ago. There were 1,586 closed sales in April, down 8 percent from a year ago
An improving job market has helped support rising home values. The statewide seasonally adjusted unemployment rate was 4.8 percent, compared to a national jobless rate of 5 percent.
Despite the economic recovery, weak spots do remain. Jack McCabe, a real estate consultant in Deerfield Beach, noted that home prices remain 25 percent below their 2005 peak, when the typical house fetched more than $400,000.
“The numbers look very good, until you peel back the outer layer,” McCabe said. “We have an extreme lack of affordable housing.”
At the same time, all of us here at Palm Beach Premier are watching the increased supply levels very closely as well as the decline in the number of closed unit sales year-over-year – as well as a decline in pending sales …… Fewer sales and contracts of course mean fewer buyers in the marketplace….
So, taking a look at the local market statistics for last month:
In the single family homes sector, we saw gains in the following categories year-over-year:
- Median sale price increased 3.6 percent to $307,125, and
- Average percent of list price received increased to 94.6 percent.
Of concern though is a possible sales slowdown with a year-over-year decline of 8.0% in the number of closed sales compared to the corresponding month last year, as well as another uptick in inventory levels – increasing 6.8%.
In the townhouses/condos sector, we saw gains in the following categories year-over-year:
- Average List Price to Sales Price increased to 93.2%
- Median sale price increased 6.1 percent to $154,950.
Interestingly, it looks like more people than ever want to sell. In April, inventory levels rose to 6,436, a 8.5 percent increase during the same period last year.
Going forward we definitely will be keeping a close watch on inventory levels to see whether the increased supply will place pressure on prices, at the same time keeping a very close watch on the number of closed sales.
We will of course continue to provide you with regular market updates.
In the interim, if you are thinking of getting your home on the market, or you just want a second opinion of value or have questions, please give us a call here at 561.395.8418 or email us at Info@PBPrealestate.com