West Palm Beach Housing Market: A Detailed Analysis
The West Palm Beach, FL metro area housing market in November 2024 presents a complex landscape characterized by both declining and rising trends. The Median Sales Price has decreased by 1.0% year-over-year, settling at $485,000. In contrast, the Median List Price has increased by 1.9%, reaching $535,000. This divergence suggests a potential gap between seller expectations and buyer willingness, possibly influenced by broader economic conditions.
Analyzing Price Per Square Foot, the Median Sales Price per square foot has seen a modest increase of 0.7%, now at $289.58. Meanwhile, the Median List Price per square foot has risen more significantly by 5.2%, reaching $325.87. This indicates that while sellers are optimistic about the value of their properties, buyers are negotiating sales at slightly lower prices.
The volume of Homes Sold has experienced a notable decline, with a year-over-year decrease of 18.3%, totaling 1,476 Homes Sold. Pending Sales have also decreased by 6.9%, with 1,878 transactions in the pipeline. This reduction in sales activity could be attributed to various factors, including increased inventory and extended market times.
New Listings have increased by 3.5%, with 3,250 properties entering the market. Inventory levels have surged by 28.2%, reaching 13,363 homes. This increase in supply has contributed to a significant rise in the Months of Supply, now at 9.1 months, a 330.0% increase year-over-year. Such a substantial increase suggests a shift towards a buyer's market, where buyers have more options and negotiating power.
The Median Days on Market have increased by 25.0%, with homes now taking an average of 83 days to sell. This extended market time further underscores the challenges sellers face in the current environment. The average sale to list ratio has slightly decreased by 0.6%, now at 95.3%, indicating that homes are selling for less than their asking prices.
The percentage of Homes Sold above list price has decreased by 2.2%, now at 6.7%. This decline suggests that competitive bidding situations are less common than in previous years. Price Drops have slightly decreased by 1.3%, with 23.5% of listings experiencing reductions. Additionally, the percentage of homes going off-market within two weeks has decreased by 8.5%, now at 17.5%, indicating a slower pace of transactions.
Overall, the West Palm Beach housing market in November 2024 reflects a shift towards a more balanced or even buyer-favorable market. Increased inventory and extended market times provide buyers with more choices and leverage, while sellers may need to adjust expectations and pricing strategies to align with current market conditions.
