MIAMI — Palm Beach County total $1M and up home sales increased year-over-year for the second consecutive month, according to March 2024 statistics released by the MIAMI Association of Realtors (MIAMI) and the Southeast Florida Multiple Listing Service (SEFMLS).
Palm Beach County total $1M and up home sales rose 7.8% year-over-year.
“Palm Beach real estate remains a high-demand, low-supply market with home prices appreciating above the national figure,” JTHS-MIAMI President Courtney Smitheman said.
Palm Beach $1M and Up Home Transactions Rise
Palm Beach total $1M and up home transactions increased 7.79% year-over-year, from 398 to 429.
Palm Beach County total home sales decreased 20.6% year-over-year, from 2,800 to 2,223. The statistics would be much stronger if they included South Florida’s robust developer new construction market and volume.
Palm Beach single-family home sales decreased 16.3% year-over-year in March 2024, from 1,465 to 1,226. Palm Beach existing condo sales decreased 25.3% year-over-year, from 1,335 in March 2023 to 997 in March 2024. The condo market has been more impacted by lack of inventory at key price points and elevated mortgage rates.
MIAMI Chief Economist: Rising Rates Impacted Sales
“Higher mortgage rates that rose to the high 6’s caused a loss in momentum in sales in the last month of the quarter,” MIAMI REALTORS® Chief Economist Gay Cororaton said. “However, the area continues to see solid price gains, particularly in Miami-Dade that saw phenomenal double-digit appreciation in both the single-family and condo market. An increase in sales of single-family homes above $600,000 in the first quarter indicates the strong presence of high-income and wealthy buyers who will continue to drive the sales growth in the spring and summer months, with mortgage rates likely to hover at 7% through June.”
According to Freddie Mac, the 30-year fixed-rate mortgage averaged 6.88% as of April 11. That’s up from 6.82% the previous week and 6.27% one year ago.
Palm Beach New Listings Nearing Pre-Pandemic Level, Giving Buyers More Options
Palm Beach new listings are significantly rising year-over-year because they are being compared to a low bar— new listings in South Florida and all of Florida were abnormally low through late 2022 and early 2023. New listings fell in 2022-23 from the shock of rising interest rates.
Palm Beach new listings are nearing pre-pandemic levels. This has added to total inventory and is giving home buyers more variety.
Palm Beach total new listings increased 6.41% year-over-year in March 2024, from 3,463 to 3,685.
Palm Beach Inventory is Still Down 28.6% From Historical Average
Total inventory is down 28.6% from the historical average for Palm Beach. The monthly historical average for Broward existing inventory is 16,196 and current inventory is at 11,562.
Total active listings at the end of March increased 49.1% year-over-year, from 7,756 to 11,562.
Inventory of single-family homes increased 30.7% year-over-year in March 2024 from 3,876 active listings last year to 5,066 last month. Condominium inventory increased 67.4% year-over-year from 3,880 to 6,496 listings during the same period in 2023.
Months’ supply of inventory for single-family homes is 4.4 months, which indicates a seller’s market. Inventory for existing condominiums is 6.8 months, which indicates a balanced market. A balanced market between buyers and sellers offers between six- and nine-months supply.
Nationally, total housing inventory registered at the end of March was 1.11 million units, up 4.7% from February and 14.4% from one year ago (970,000). Unsold inventory sits at a 3.2-month supply at the current sales pace, up from 2.9 months in February and 2.7 months in March 2023.
Palm Beach Real Estate Continues to Appreciate
Palm Beach County single-family home median prices increased 11.3% year-over-year in March 2024, increasing from $575,000 to $640,000. Existing condo median prices increased 5.8% year-over-year from $312,000 to $330,000.
South Florida’s Incredible Wealth Migration
With elevated levels of out-of-state migration into Southeast Florida and its strong economy that has attracted business expansions and relocations, the share of million-dollar homes to total sales has steadily climbed since 2019. In 2023, the share of million-dollar homes to total single-family sales listed on the MIAMI MLS rose to 17% in 2023 (6% in 2019); for condos/townhomes, the share rose to 9% (5% in 2019).
Migration into Southeast Florida remains strong. In 2023, 153,347 driver licenses were exchanged for a Florida license in the counties of Miami-Dade, Broward, Palm Beach, and Martin, up 8.3% from the level in 2022 (141,621). New York, New Jersey, and California continue to be the market’s top feeder states.
Palm Beach Real Estate Posts $271 Million Local Economic Impact in March 2024
Every time a home is sold it impacts the economy: income generated from real estate industries (commissions, fees and moving expenses), expenditures related to home purchase (furniture and remodeling expenses), multiplier of housing related expenditures (income earned as a result of a home sale is re-circulated into the economy) and new construction (additional home sales induce added home production).
The total economic impact of a typical Florida home sale is $122,000, according to NAR. Palm Beach sold 2,223 homes in March 2024 for a local economic impact of $271 million.
Palm Beach total dollar volume totaled $1.9 billion in March 2024. Single-family home dollar volume increased 10.77% year-over-year to $1.5 billion. Condo dollar volume decreased 24.88% year-over-year to $528 million.
Palm Beach Distressed Sales Remain Low, Reflecting Healthy Market
Only 0.5% of all closed residential sales in Palm Beach were distressed last month, including REO (bank-owned properties) and short sales, lower than 1% in March 2023.
Short sales and REOs accounted for 0.1% and 0.4% year-over-year, respectively, of total Palm Beach sales in March 2024.
Palm Beach’s percentage of distressed sales are lower than the national figure. Nationally, distressed sales represented 2% of sales in March, virtually unchanged from last month and the prior year.
Palm Beach Outperforming State, National Price Appreciation
In Florida, closed sales of single-family homes statewide totaled 23,435 in March 2024, down 10.4% year-over-year, while existing condo-townhouse sales totaled 9,332, down 16.6%. Closed sales may occur from 30- to 90-plus days after sales contracts are written.
Nationally, total existing-home sales completed transactions that include single-family homes, townhomes, condominiums and co-ops – receded 4.3% from February to a seasonally adjusted annual rate of 4.19 million in March. Year-over-year, sales waned 3.7% (down from 4.35 million in March 2023).
The statewide median sales price for single-family existing homes was $420,600, up 3.9% 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 $330,000, up 3.1% 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 all housing types in March was $393,500, an increase of 4.8% from the previous year ($375,300). All four U.S. regions registered price gains.
Palm Beach Real Estate Attracting Near List Price
The median percent of original list price received for single-family homes was 94.6% in March 2024. The median percent of original list price received for existing condominiums was 93.6%.
The median number of days between listing and contract dates for Palm Beach single-family home sales was 35 days, down from 31 days last year. The median time to sale for single-family homes was 76 days, down from 73 days last year.
The median number of days between the listing date and contract date for condos was 41 days, up from 35 days. The median number of days to sale for condos was 77 days, up from 76 days.
Palm Beach Cash Sales Nearly Double National Figure
Cash sales represented 54.3% of Palm Beach closed sales in March 2024, compared to 52.1% in March 2023. About 28% 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 65.2% of all Palm Beach existing condo sales and 45.5% of single-family transactions.
To access March 2024 Palm Beach Statistical Reports, visit http://www.SFMarketIntel.com
Note: Statistics in this news release may vary depending on reporting dates. MIAMI reports exact statistics directly from its MLS system.
About the MIAMI Association of Realtors®
The MIAMI Association of Realtors (MIAMI) was chartered by the National Association of Realtors in 1920 and is celebrating 104 years of service to Realtors, the buying and selling public, and the communities in South Florida. Comprised of six organizations: MIAMI RESIDENTIAL, MIAMI COMMERCIAL; BROWARD-MIAMI, a division of MIAMI Realtors; JTHS-MIAMI, a division of MIAMI Realtors in the Jupiter-Tequesta-Hobe Sound area; MIAMI YPN, our Young Professionals Network Council; and the award-winning MIAMI Global Council. MIAMI REALTORS represents 60,000 total real estate professionals in all aspects of real estate sales, marketing, and brokerage. It is the largest local Realtor association in the U.S. and has official partnerships with 260 international organizations worldwide. MIAMI’s official website is www.MiamiRealtors.com
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