Jupiter Real Estate Market

The Jupiter real estate market continues to show strength even as we enter our slowest time of the year. I'm seeing a dramatic rise in requests for Jupiter properties in the past few weeks as summer comes to a close up North. 

This week as I ran the new listings as well as the contingent listings I continue to see trends that reflect what I have been saying. The sub $200,000 inventory market has just about disappeared. Only 7 properties of  the 51 new listings were under $200,000. Similar results for the sub $300,000 market as well. Even at close to $300,000 for condos you aren't getting updated places. I continue to see new listing prices follow an upward trend even while seeing recent sales dramatically under the new list prices. 

Another aspect I'm seeing is how fast some of the new listings are going under contract. 50% of the new listings are under contract in 30 days or less and many in the first few days if priced correctly. Demand is still above supply here in the Jupiter area. Buyers are waiting on the sidelines for those certain properties in some communities to hit the market. I myself have a list of buyers waiting for properties even as prices continue to rise.

As you can see from the graphs below,  inventory levels continue to fall creating more pressure on upward trending prices. Many sellers are seeing the limited inventory choices and are pricing their properties much higher than recent sales and market value only to reduce them later. If you have a well maintained and updated property you will get plenty of action and buyers will pay a premium for such a home. Beware though, it has to show like  a model home.

The good news is we are starting to see a flattening out of sales prices right now. The active,new and sold median prices are starting to show a greater spread. Active list prices still show an upward trend

while new list prices are starting to flatten out. Different areas are seeing different trends but in general many are following suit. 

Some markets are still weak and not following the trends of a vast number of communities. There seems to be no rhyme or reason why some communities are so hot while others seem stagnant. 

The absorption rate in months is dropping quickly after peaking at 6.8 months in March 2016 and we are down under 6 months again.  Many of the numbers do not reflect different areas as the trends are from our whole MLS system which runs from Miami to Port St. Lucie. Our MLS is one of the largest in Florida so the local trends of individual towns can be significantly different than the whole market trends that we track.

Last week the property appraiser sent out the annual 2016 tax notifications. I noticed that many of the tax bills in Palm Beach County showed a slight rise in taxable values while tax bills in Hutchinson Island showed a larger percentage increase in taxable values. Their market tends to trail our market by 6 -12 months. The tax bills are based on property values on January 1 of the new year. Hutchinson Island condos offer affordable living. Singer Island condos is another more affordable alternative.

The limited inventory is still forcing buyers to react quickly if they see a property they like. I emphasis if you see a property that you really like don't be afraid to write an offer on an As-Is contract. An As-Is contract will give you a certain number of days to inspect the property and walk away from it. It's better to lock it up than wait to come down and see the property sold. Just because you are buying As-Is doesn't mean after the inspection that you can't try and renegotiate repairs. Remember 50% of the new listings were under contract in 30 days or less and 25% in 10 days or less.