Graphic of March 2023 market statisticsNewly released market statistics from Florida Realtors® are in, showing recent real estate market activity in our area. The reports compare year over year data for March 2023. Read on to learn more about the real estate market in South Palm Beach County:

National Trends

According to the National Association of REALTORS® (NAR), existing home sales in the country increased by 14.5% month-over-month, marking the first monthly gain in 12 months and the largest monthly surge since July 2020. The boost in sales activity is attributed to contracts signed earlier in the year, when mortgage rates dropped to the low 6% range, resulting in a surge in homebuyer interest. Pending sales have also continued to improve, rising for the third consecutive month, as we head into spring.

Our Local Market

However, new listings for single-family homes dropped by 14.5%, while they increased by 0.6% for townhouse/condo homes. Similarly, pending sales declined by 7.4% for single-family homes and 7.2% for townhouse/condo homes. Inventory saw a significant increase, rising by 51.6% for single-family homes and 115.4% for townhouse/condo homes.

Median sales prices also saw a surge, with a 5.2% increase to $605,000 for single-family homes and an 8.8% increase to $310,000 for townhouse/condo homes. However, median time to contract increased by 285.7% for single-family homes and 287.5% for townhouse/condo homes. The months supply of inventory also increased by 100.0% for single-family homes and 218.2% for townhouse/condo homes.

Despite the surge in sales, limited inventory nationwide may have prevented even higher monthly sales. As of the beginning of March, the current sales pace indicates only 2.6 months' supply of existing homes, which is far below the 4-6 months' supply required for a balanced market. The shortage in inventory is partly due to mortgage interest rates that almost reached 7%, before dropping again in recent weeks. The higher rates have put downward pressure on sales prices, resulting in a year-over-year drop in national home prices for the first time in more than a decade, according to NAR, breaking a 131-month streak of annual price increases.

Want to know more?

I’m always here to help you navigate the local market. I can analyze the specific neighborhood and price range for you, whether you are interested in buying or in selling.  Contact me  today for a customized look at the latest conditions for the Boca Raton real estate market and beyond.

 

 

 

 

 


Posted by Gloria Singer on

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