The world has been turned upside down, and depending on who you ask, the description of today’s economy range from “so good you wouldn’t believe it” all the way down to “the sky is falling”. Jupiter real estate right now is without a doubt solidly in the “so good you wouldn’t believe it” camp. The big question is, will it stay there?
Interest rates at all time record lows make it easier for buyers to justify higher prices as the monthly payments remain low even as prices rise. People continue to freely flow into Florida to escape the ravages of outrageous taxes in Northern states that are no longer deductible. We have taken over the #1 state that people are moving to after recently snatching that honor away from the great state of Texas. The stock market is reaching towards new highs and the streets around Jupiter are once again crowded.
What about this pandemic? Still seems half the world is on lock down, or at least claims to be, so not sure who are all the people on the streets. Over the weekend we saw huge crowds at outdoor bars, the sandbars were jammed, as was every beach anywhere you looked. Masks are not plentiful to say the least, and they say the numbers of sick and dying are spiking anew.
I talk to a lot of people and there are still huge concerns. Both commercial and residential tenants are way behind on rent, many small businesses don’t feel they can survive, there are still over 30 million unemployed and government spending is like we have never seen. Under President Obama everybody who cared about the financial condition of this country were shouting about the $9 trillion added during his 8 year term. In less than 3 1/2 years, we have seen the debt increase under President Trump by almost $7 trillion, If we don’t start balancing budgets with an eye towards eliminating our debt and limiting the size of our government at every level, there are significant consequences and they could get here quicker than anyone expects.
Inventory levels are poor and helping to keep upward pressure on home prices here in Jupiter. With pending home sales the highest we have seen in 12 months, and only 2.5% below year ago numbers, poor inventory should bring higher prices. Inventory dropped another 7% over the past month and is at the worst levels we have seen in 8 months. The number of homes buyers have to select from right now are 10.2% fewer than one year ago. Prices should be moving higher. It's all about supply and demand.
But, remember the pandemic. All is not well with the economy. I have been talking about waiting for a big surprise, lurking just around the corner. Paradise Sharks is watching million dollar home sales closely, While during the heyday of the pandemic, they were pretty awful during April and May, but so far in June have jumped right back up. Pending home sales in the $1M+ market are 40% above year ago numbers. The luxury market has carried the overall market on its back for the past couple years and if this segment remains strong so will the overall market.
We are also watching the number of distress properties that are on the market for sale and they are almost nonexistent. Bank owned property and short sale listings are the lowest we have seen in many years.
If you are even thinking about doing anything real estate please interview brokers, ask questions and make informed decisions. Commissions and services provided for those commissions are always negotiable so, asking questions is your best weapon. Paradise Sharks can list most homes for a maximum commission of 4% and if they are empty, have a value over a million dollars, are in a high demand neighborhood, are in remarkable condition or sell within a week we can usually provide our world class customer service for no more than 3.5%.
We are setting record sales prices, we are selling homes fast with few headaches to our clients, and we aim to blow you away with our customer service, Feel free to contact Paradise Sharks any time at 561.308.0175 or firstname.lastname@example.org to learn more about why we are redefining what real estate services are all about.