Jupiter Condo Market Continues to Surprise
The upcoming season should be a "doozie"
How strong is the Jupiter condo market? The best locations are in high demand, with limited inventory and new opportunities tend to get snapped up very quickly. Take a unit at The Pointe building in Jupiter Yacht Club that was listed 10 days ago at $1,075,000 and in a week was already under contract. Almost double what the seller paid for it new in 2002. The list price was more than 100% above the county valuation attributed to the property when it was listed. Consider this same unit was listed for almost 7 months with no takers when that listing was canceled on July 7th for $1,045,000. The Jupiter condo market is strong with the best properties setting new price records. Buyers need to be prepared with a game plan to be successful.
The Jupiter condo market is changing and the divergence I hear on a daily basis is as interesting as the numbers we keep on top of daily. We have to or our clients could not make fully informed decisions. As of August 15th condo sales in the northern Palm Beach County region were up slightly over the past 30 days matching the report we published on single family home sales just 2 weeks ago. Sales are also slightly above year ago numbers. All the while, pending home sales have dropped for 4 straight months in a rather dramatic fashion. Something has to give and the upcoming three months before our loveable "snowbirds" return will be interesting. Watch closely if you care about the Jupiter condo market as if you blink you never know what will happen.
Just like the pending home sales data there are plenty of contrarian signs but so far prices continue to climb and climb as inventory shrinks each month. One client told me a week ago "I have seen this in the stock market before and this is a blow off top. There is too much irrational behavior from both buyers and sellers and expectations are insane". He feels prices are stupid and buyers are going to stop buying until the prices are more realistic. So far buyers are still buying but looking at the pending numbers his viewpoint is shared by many.
For now the demand from well healed international buyers and United States baby boomers has kept the Jupiter condo market very strong with prices hitting new highs in the best locations. There is new construction planned, and underway, in many Palm Beach County locations but prices will be higher and supply limited. The Palm Beach County Appraiser certainly thinks prices are heading higher as we see valuations on local properties increase almost 50% in some locations on numbers reported this week. Always interesting, always fun.
Paradise Sharks Real Estate