Palm Beach County’s median sales price for an existing single-family home lifted in March 2012, driven in part by depleted inventory and voracious investors.
A sales report the Florida Realtors released Thursday showed the number of homes sold in Palm Beach County and the state was up 24 percent and 29 percent, respectively, in March compared with February.
And while Palm Beach County’s sales dipped 7 percent last month from March 2011, prices remained 4 percent higher in the year-over-year measure.
In the last year buyers have had to increase their offers by 10 percent,Cash is coming from everywhere and everyone is finally emptying their mattresses of money.
Statewide, the median sales price for a single family home was up 10 percent from last year.
According to Palm Beach Realtors, the median sales price for a single-family home not in foreclosure or sold as a short sale was up 3 percent from last year.
We were expecting a seasonal increase in home listings, but a lack of inventory has suddenly become an issue in several markets with not enough homes for sale in relation to buyer interest,Home sales could be held back because of supply factors and not by demand.
Palm Beach County’s inventory of single-family homes shrank to 6.2 months in March from 13.5 months last year. Inventory statewide was at just 5.9 months, down from 10.4 months in March 2011.
More notable is the sharp drop in distressed homes – short sales and foreclosures – on the market. Just 1,090 distressed single-family homes were for sale in March, a 69 percent decrease from March last year. Distressed condominium inventory was down 78 percent.
The banks are sitting on the inventory and trickling it out to create the demand and value, and it’s working.