Housing Market Update for March 2020
Prior to experiencing the full economic impact of the coronavirus, the residential housing market was mixed on both a nationwide and local basis. While prices continue to improve, there is evidence that overall activity is withering which will have a significant affect on the market in the coming months.
The National Housing Market
According to the National Association of Realtors, existing home sale transactions on a nationwide basis fell in March by 8.5% (month-over-month) to a seasonally-adjusted annual rate of 5.27 million units.
While home sales have declined, prices have remained strong with the national median home price reported to be $280,600. This is up 8.0% from March 2019 and this increase marks 97 straight months of year-over-year gains.
Total housing inventory was up approximately 2.7% from February 2020 to 1.5 million units. Unsold inventory equates to a 3.9-month supply at the current sales rate which is down from 4.1 months as reported for the month of September.
The State of Florida
Single-family home sales during the month of March remained fairly strong across the State of Florida according to FloridaRealtors®. Year-to-date 2020 sales of single-family homes were reported to be 65,602 units which is up 10.2% as compared to the same period in 2019. This is consistent with the overall dollar volume of $24 billion which is 19.0% greater than realized in the year-to-date 2019. The year-to -date median sale price is $270,000 and the average sale price is $365,765; both are up 6.7% and 7.9%, respectively, based on the same period in 2019.
While the year-to-date numbers are strong, it is anticipated that there will be a substantial decline in the number of sales transactions over the coming months as buyer traffic dwindles due to the coronavirus.
The inventory (active listings) of single family homes throughout the state of Florida as of the end of March was 83,614 units which represents a 14.0% year-over-year decline and equates to a 3.4 month supply at the current sales rates.
Palm Beach County
Single family home sales in Palm Beach County during the month of March 2020 continued to climb. Overall home sales improved by 2.2% year-over-year and 12.0% from 2019 year-to-date levels. Additionally, overall dollar volume was up by more than 14% year-over-year with year-to-date sales considerably higher by 25.1%. The median sale price rose during the month to $370,000 (up 5.5%) with the year-to-date median at $365,000 (up by 5.8%).
The trend of declining inventory levels continues with a 21.3% decline year-over-year. At this time there is a 4.2-month supply of inventory based on the current sales rate. We fully expect this trend to continue as home sellers take their properties off the market due to coronavirus fears.
Featured Towns and Cities
Below you will find the most current housing market data for single-family homes in several of the largest individual markets in Palm Beach County.
Chris and Amy Losquadro – Your Trusted Real Estate Advisors
Before your clients, colleagues, and friends get started with any real estate transaction, have them call Chris or Amy. No matter what the situation, the type of property, its price point, or where its located, we will make sure they are making the right decisions and are being well served.
Since our inception more than 20 years ago we have successfully completed more than $400,000,000 in real estate transactions and performed advisory services on more than $1 Billion in real property investments.
Inherited Property & Probate Real Estate
Residential and Luxury Homes
Corporate & Business Real Estate
Real Estate Appraisal and Investment Advisory Services
To learn more about our services or how we can help with all your real estate needs, please contact Chris or Amy Losquadro directly at 561.584.8555 or via email at email@example.com.