Pending home sales were showing some surprising strength over the 2nd half of the month, but they plunged a bit over the past few days which meant our 6th straight monthly decline. Thankfully, the monthly decline was barely measurable and a strong performance compared to year ago numbers. That performance means the number of homes under contract in the region, is up over 15% compared to year ago numbers, which is a great sign. Still, we have about 2 1/2 months before we typically see a spike in homes going under contract based on historical cycles.
A big problem for buyer’s in many neighborhoods is inventory, especially homes in move in condition, at prices that aren’t inflated based on current market conditions. As expected, October brought more homes to the market with a 5.7% jump in inventory. It is the first time in 8 months that buyer’s have started the month with more options. That being said, last year during October we saw a 9% increase and compared to year ago inventory, todays buyer’s have far fewer options.
Condo sales have remained weak with pricing pressure to the downside. Median condo prices in the Tequesta area today sit at the lowest levels we have seen since way back in April. Single family home prices had done a bit better and are starting to push higher after hitting 7 month lows. Median home prices in Tequesta are still on top of the list of larger Palm Beach communities, a testimony to our quality of life and strong demand. This demand should remain strong through the spring and bring even higher prices as we move through the 2019-2020 season. Great news for seller’s but buyer’s will want to fully understand the numbers on any purchase, especially if we see a strong jump in prices from today’s levels.
Paradise Sharks watches the top end of the market very closely, as when lots of homes are selling above the million dollar threshold, they drag the rest of the market along for the ride. In October, sales at the top end of the market fell behind years ago numbers for the 2nd time in 3 months. Not time for any panic, but we certainly want to keep a very close eye on these numbers as we get into the new year. Sales of these homes remain 23.5% ahead of last year’s all time record. New construction of custom homes on the water in Tequesta is also at a level we have never seen before. Money is freely flowing into expensive real estate here in Palm Beach County’s northernmost community.
Right now, it is looking like a banner season for real estate heading our way here in Tequesta and the rest of the Northern Palm Beaches. Seller’s and buyer’s need to make fully educated decisions and if Paradise Sharks can ever answer any questions, or be of help in any way, please feel free to contact us at any time. You will find we are super easy to reach at 561.308.0175 or at firstname.lastname@example.org. Put our decades of experience to work for you and learn how our boutique brokerage will not only save you a ton of money over most of the competition, but ensure the quality of our service remains special. It’s what we do and we are very proud of how kicking the middleman out of the real estate transaction saves our clients thousands and thousands of dollars.