[New post] Million dollar pending home sales in Jupiter drop to 50 week lows
Tom Priester posted: " It's been a very long time since pending million dollar home sales in the Northern Palm Beaches have been this low. You have to go way back to September 12, 2020 to find fewer homes listed above the million dollar threshold to be under contract. T"
It's been a very long time since pending million dollar home sales in the Northern Palm Beaches have been this low. You have to go way back to September 12, 2020 to find fewer homes listed above the million dollar threshold to be under contract.
There are no clear signs what is coming our way with so many macro-economic, debt, tax and inflation concerns swirling in the air. Slower real estate sales at the top end of the market may have more to do with a historically normal seasonal slowdown for the Northern Palm Beaches than anything else. The Jupiter real estate market remains very, very interesting as summer winds down.
Inventory is a major concern in the Jupiter real estate market as we move forward. Even in the million dollar market, inventory is at rock bottom lows. Numbers we have never seen before and would have never dreamed of before this virus came to town. Above the million dollar mark, inventory has dropped below two months which is unheard up. Or it was unheard of before anyone had heard the words Covid 19.
Sellers are still in control and when the northerners and international buyers flood back into Florida this season they will, like the rest of the market, have very few options. Under a million dollars the current inventory level in the Northern Palm Beaches is down to 3 weeks.
Interest rates remain historically very, very low but at the top end of the market they are less important. Above the million dollar threshold, 76% of all sales have closed for cash over the last 6 months.
If demand picks up, as the temperature and humidity drop, historically low inventory should leave plenty of buyers frustrated and pricing pressure to the upside. The fear of missing out seems to have dwindled and it's going to be a very interesting season ahead.
Pending home sales above the million dollar mark in the Jupiter real estate market are down an amazing 51% since the record highs we hit back in April. However, pending home sales in this market segment still remain 9.8% above year ago numbers.
Closing of million dollar properties blew away all records in 2020. It was the 11th straight year sales of million dollar properties in the Jupiter area increased. Last years increase was rather dramatic exceeding what were record 2019 numbers by 51%. What's even more insane is through the first half of 2021 sales of million dollar homes have smashed last years epic record by 258%.
Stay tuned as this pandemic real estate show still is very interesting. Certainly, record prices have buyers taking fewer risks than earlier this year. Absolutely, the dramatic increases in home prices have been slowing. Falling interest rates played a huge role in prices moving higher over the past year and we will probably not have that luxury moving forward. Still, there just isn't much for buyers to select from and that's probably not going to change anytime soon.
The Jupiter real estate market is always interesting. Paradise Sharks Real Estate has decades of experience and a passion to provide our clients, friends and neighbors an amazing level of quality and customer service at value you will find hard to beat. If doing anything real estate, interview brokers, ask questions and make informed decisions. Paradise Sharks Real Estate loves to interview and your complimentary information session can be scheduled anytime at tom@paradisesharks.com or 561.308.0175.
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