August is traditionally a slower month for new listings and new sales as people are just coming back from summer vacation, getting their kids back to school and focused on many other priorities. We had a busy August in closings but of course those would have been under contract earlier in the summer!
It is not a surprise that not much of a significant change relating to whose market it is (seller versus buyer) at varying price points. As we saw in July – $300K to 599,000 remains a sellers’ market, $600K to $999,999 is a balance market with $1,000,000+ remain a buyers’ market in Palm Beach County.
What we do need to look at is who is buying in today’s market – this helps us determine price and strategy for new listings.
In August, cash sales are down and it is taking longer to get to the closing table. Cash sales down typically reflects fewer investors in the market, so our sellers are having to contend with mortgages which equates to appraisals. Holding out and not accepting an offer with a mortgage maybe a mistake because the cash offer may not be around the corner. If you price it right, it should appraise – I would hope, of course, that your listing agent will be at the appraisal with comparables to “assist” the appraiser – the All About Florida Homes Team of Lang Realty is at 100% of our appraisals – it is a non-negotiable!
Again, as mentioned in our opening of this month’s market report – August has many distractions so it is no surprise that as a whole new listings are down. We would expect to see an increase in September when people are once again focused on selling and buying in Palm Beach County with the same approach as it relates to the number of listings that went under contract in August (this too is down for August 2019 – but not a surprise).
What can you glean from the August market report? Sellers’ appraisals are a big part of our market today. Price right and be prepared to support the contract price.
Buyers – you have fewer competition from cash buyers but there are other snafus that you need to be cognizant of and the Realtor and Lender you work with need to fully understand the process. This is even more important when it comes to buying and financing in a condo community. Guidelines for loans are specific to the percentage of condos that are owned by a single investor as well as percentage of condos that are owner occupied versus rentals. The lender may not lend or may require you to put down a hefty lump sum. Do your investigation up front versus waiting into the process.
Selecting the right team of Professionals to help you Buy or Sell is critical.
Contact us at (561) 571-2289 – or via firstname.lastname@example.org – if we can provide you with any additional market data that will help inform your decisions! We are here to help – with no obligation.