Residential Real Estate News
Greater Palm Beach Area Home Sales Down 15 Percent Annually in March
According to the Miami Association of Realtors, Palm Beach County Florida total home sales decreased 14.9% year-over-year in March 2023, from a historic 3,289 transactions in March 2022 to 2,800 in March 2023.
Single-family home sales decreased 7.9% year-over-year, from 1,590 in March 2022 to 1,465 in March 2023 because of its comparison to a historic March 2022 and the current market has lower inventory in specific price points and higher rates. In comparison to pre-pandemic March 2019, Palm Beach March 2023 single-family sales are down 3.7%.
Palm Beach March 2023 condo sales also increased vs. March 2019, but are down in comparison to last year. Palm Beach existing condo sales decreased 21.4% year-over-year, from a historic 1,699 in March 2022 to 1,355 in March 2023, due to lack of inventory and rising mortgage rates. In comparison to pre-pandemic March 2019, however, March 2023 condo sales increased 10.8%, from 1,205 to 1,335.
Palm Beach total pending sales rose 14.5% month-over-month, from 2,717 in February 2023 to 3,111 in March 2023. Pending sales are an indicator of future sales, but it takes up to 40 days for pending transactions to close and not all pending sales end in deals.
Showing appointments in the Southeast Florida MLS increased 14% month over month to 270,143 showings in March 2023.
Palm Beach County single-family home median prices increased 6.3% year-over-year in March 2023, increasing from $541,000 to $575,000. Existing condo median prices increased 6.1%, from $294,000 to $312,000.
Total active listings at the end of March 2023 increased 130.5% year-over-year, from 3,365 to 7,756.
Inventory of single-family homes increased 107.4% year-over-year in March 2023 from 1,869 active listings last year to 3,876 last month. Condominium inventory increased 159.4% year-over-year to 3,880 from 1,496 listings during the same period in 2022.
New listings of Palm Beach single-family homes decreased 15.2% to 1,738 from 2,049 year-over-year. New listings of condominiums decreased 9.5%, from 1,864 to 1,686 year-over-year.
Months' supply of inventory for single-family homes increased 166.7% to 3.2 months year-over-year, which indicates a seller's market. Inventory for existing condominiums increased 270% to 3.7 months, which also indicates a seller's market. A balanced market between buyers and sellers offers between six- and nine-months supply.
Only 1% of all closed residential sales in Palm Beach were distressed last month, including REO (bank-owned properties) and short sales, compared to 1.2% in March 2022.
Short sales and REOs accounted for 0.1% and 0.9% year-over-year, respectively, of total Palm Beach sales in March 2023.
In Florida, closed sales of single-family homes statewide totaled 26,161 in March 2023, down 15% year-over-year, while existing condo-townhouse sales totaled 11,188, down 23.5%. Closed sales may occur from 30- to 90-plus days after sales contracts are written.
The statewide median sales price for single-family existing homes was $405,000, up 2.1% from the previous year, according to data from Florida Realtors Research Department in partnership with local Realtor boards/associations. Last month's statewide median price for condo-townhouse units was $320,000, up 3.9% over the year-ago figure. The median is the midpoint; half the homes sold for more, half for less.
Nationally, the median existing-home price for housing types in March was $375,700, a decline of 0.9% from March 2022 ($379,300). Prices climbed slightly in three regions but dropped in the West.
Cash sales represented 52.1% of Palm Beach closed sales in March 2023, compared to 57.3% in March 2022. About 27% of U.S. home sales are made in cash, according to the latest NAR statistics.
Cash buyers are not deterred by rising rates. The high percentage of cash buyers reflects South Florida's top position as the preeminent American real estate market for foreign buyers, who tend to purchase with all cash as well as some moving from more expensive U.S. markets who can buy more with their profits from real estate sales.
Cash sales accounted for 62.4% of all Palm Beach existing condo sales and 42.8% of single-family transactions.
