[New post] Jupiter area home inventory soars 37% as prices climb
Tom Priester posted: " You might hear your real estate agent friends tell you just how bad the Northern Palm Beaches real estate market has become. It's all about perspective. You see, if your focus is on prices, things are not bad. In fact, this morning median pric" Jupiter Real Estate
You might hear your real estate agent friends tell you just how bad the Northern Palm Beaches real estate market has become. It's all about perspective.
You see, if your focus is on prices, things are not bad. In fact, this morning median prices locally sit at new record highs; $949,000 for a single-family home and $410,000 for a condo. Not exactly what I would call a "bad market".
What they are probably referring to is sales have slowed, and rather dramatically. Pending home sales were down another 19% in June and are down a whopping 39% compared to last year. They could also be talking about their listings that face far stiffer competition and are taking far longer to sell with more effort on their part to get under contract. Bad? No, just more challenging on many fronts.
Inventory levels during June were up a dramatic 37% and are up 51% from year ago numbers. Buyers have far more choices, but to date, not far better prices.
That may change in the months ahead, but it is truly impossible to say. Last year, median prices over the summer and fall months pulled back just 3%. Not exactly earth shattering "bargains" for buyers dealing with the highest interest rates anyone has seen for 22 years. Thankfully, they pulled back slightly this week and the key moving forward will be inflation and how the Feds manipulate the money supply. Interesting days ahead for everyone.
It still looks like this market is being pulled in two different directions by those who can pay cash for what they want, and those who must borrow the money to find a suitable place to call home. It's a tug of war with no easy answers.
Many sellers are making significant cuts with the increased competition and savvy buyers are picking up deals. Will the deals get better as time marches on? Too early to tell so stay tuned.
The middle of the market buyer has been priced out of Jupiter real estate. Over the past few weeks they have been questioning if it really makes sense to pay today's prices. More and more sales are running into appraisal issues.
Now we have inflation and rising interest rates. Home inventory levels are climbing dramatically with pending home sales perhaps falling to numbers many brokers have never seen, or dealt with. But prices, so far, are remaining stubbornly high on the backs of the million-dollar buyer. What happens from here is anyone's guess. There are too many balls in the air and things can turn on a dime. If the economics of buying a home can upset your financial stability you should tread lightly and be very careful.
Make sure you are making informed decisions and understand all the numbers. Stay tuned, stay informed and if planning on doing anything real estate, interview brokers and ask a lot of questions.
Paradise Sharks Real Estate loves to interview and loves to answer questions. We are not trying to sell you, we are trying to educate you so you can make informed decisions. We aren't the biggest broker in town and frankly don't ever want to be. We want to shower you with fantastic customer service at prices our competition can only dream about. If you would like to learn more, contact us anytime at tom@paradisesharks.comor 561.308.0175.
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