[New post] No change in Jupiter condo prices since April
Tom Priester posted: " As crazy as it may sound, with all the media saying how hot the Northern Palm Beaches real estate market has been, median condo prices in the Northern Palm Beaches have been treading water for a long time. Since April, over 7 months ago, the median J"
As crazy as it may sound, with all the media saying how hot the Northern Palm Beaches real estate market has been, median condo prices in the Northern Palm Beaches have been treading water for a long time. Since April, over 7 months ago, the median Jupiter condo prices, and those in the neighboring communities, are just about the same. On April 15th, the median price was $309,450 and on November 15th it sat at $310,000. Sure, back in June, it spiked to $320,000, but for the most part, median condo prices in the area haven't done anything now for a long, long time.
Sales volume of condos picked up nicely, beating out month ago closing numbers by 9.7%. Compared to year ago numbers, sales volume over the last 30 days, was unchanged.
Sales numbers are certainly nothing to shout about, but much can be blamed on a typical summer slowdown in the market. However, inventory is the biggest culprit in sales numbers, not prices. After all, it was just back in February when median condo prices finally eclipsed the record that was set way back in 2005. It took 16 years to beat the old record and today's median prices are only 10.7% above those 2005 figures. It's hard to say that condo prices have soared to unsustainable levels.
Condo inventory, like single family inventory, in the Jupiter area is far from healthy. In fact, is so ridiculously low it's truly mind-boggling. Over the past month, condo inventory in the Northern Palm Beaches is actually up 21% but still, compared to year ago numbers, it's down 68%. There just isn't much for buyers to select from. But demand has hardly driven prices higher like they have in the single-family market.
It's pretty simple actually, the percentage of condos that sell above the million-dollar price point in the Jupiter area is just 8% of the market. In the single-family market that percentage in 2021 sits at 30.5%. It's why these market segments, and their median prices, act so differently.
While media condo prices are up just 10.7% over the past 16 years, median rental prices for unfurnished, annual leases in condos are up a much more significant 45.8%. From an investment income perspective, today's condo prices are a steal. The same is true of the single-family home market. Rental income growth has far exceeded median price increases since the last big boom.
We are living through economic conditions that nobody has ever lived through before. When Covid first arrived on our shores, nobody, and I mean nobody, predicted what happened. Our government has flooded our world with cash. The flood gates are still open. Stay tuned and keep a close eye on things if your homes value, your stock portfolios value, or anything else is that important to you. It's bound to change and it can change quickly and dramatically. The past 18 months proves that point.
Right now, it all looks good. Trillions more are being injected into the economy, but there are things on the horizon that appear concerning. If you have any real estate questions, or problems, you need help with, feel free to contact Paradise Sharks Real Estate anytime. We are here to help; our value and customer service is unmatched and we are have decades of experience to back that up. Easy to reach at tom@paradisesharks.com or 561.308.0175. We won't bite, but we will be honest with you and save you a lot of money. It'swhat we do.
Best wishes for a blessed Thanksgiving to you all!
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