“Keeping your finger on the pulse of the market is critical when looking to buy or sell your home.” The Walker Real Estate Group brings their customer base “Just the Facts” enabling them to make knowledgeable decisions with regard to the real estate world around us…”
2015 has begun at a more normal pace for real estate sales in northern Palm Beach County. Buyers are taking longer in their deliberation on a purchase and the strong US dollar has slowed foreign purchases. There were 42 condominium re-sales on Singer Island in 1st quarter of 2015, a decrease from 57 re-sales for the same period in 2014.
Let’s recap the 1st quarter in condominium re-sales on Singer Island and the comparison with 2014:
- Approximately fifty-two percent of the sales (22) were below $500K; in 2014, 58% of the sales were below $500K.
- The average Days-on-Market (DOM) for these sales remained relatively constant at 199 (approximately 6.6 months) compared to 191 days for this period last year.
- The highest re-sale this quarter was Ocean’s Edge 1802 at $2,833,500 ($570/SF).
- There were no short sales in this period.
- Condo inventory ended the quarter at 169 units; remaining in the range of the previous 12 months.
- Price per square foot of the older condos (built 1969-1989) ended the quarter at $271, an 11% increase over the same period in 2014. The price per square foot of the newer condos (built 2003-2008) finished at $494, a 5.5% decrease compared to the 1st quarter of 2014.
CLICK HERE: Singer Island 1st Quarter 2015 Market Update
CLICK HERE: Singer Island March 2015 Market Update
Months of Inventory
It’s a phrase that everyone hears or reads about but what does it really mean. Months of inventory reflects an estimate of the amount of time it would take to sell all the current listings on the island if no new listings became available.
Months of inventory are often referenced when determining whether it’s a seller’s market or a buyer’s market:
- If there are 0-4 months of inventory, meaning that all current listings can expect to be sold within 4 months, it is considered a seller’s market because houses are selling very quickly. In a seller’s market, sellers have the advantage because demand for property exceeds supply.
- If there are 5-8 months of inventory, it is considered a balanced market. Current listings aren’t selling like hotcakes, but they’re not staying on the market too long either.
- If there are 9 or more months of inventory, it is considered a buyer’s market because houses are selling slowly. In a buyer’s market, buyers have more negotiating power than sellers do because the supply of listings exceeds the current demand for housing.
These timelines are approximate, but it is generally accepted than fewer than 6 months of inventory reflects good conditions for sellers whereas greater than 6 months of inventory represents optimum conditions for buyers.
Months of inventory can be affected by price range. For example, the overall months of condo inventory on Singer Island is 11.2; but when broken down into pricing ranges, the following occurs:
- Condos listed at $500K and under have 9.55 months of inventory
- Condos listed between $500K and $1M have 11 months of inventory
- Condos listed above $1M have 17.2 months of inventory
The Walker Real Estate Group keeps an eye on the pulse of the market and informs its customers of the trends so they can make better decisions whether it’s buying, selling or just renting their Singer Island property. We are the Number One source for “What’s Happening” on the Island!
We are looking forward to 2015 being another excellent year for the Walker Real Estate Group; as the #1 Sales Team on Singer Island. Providing our customers a true concierge experience has been a major factor in our success. Trust, integrity and knowledge of the market is our number one priority.
Call US today for a free confidential interview!
For more information on specific condominium sales activity contact Jeannie at 561-889-6734 or email her at [email protected].