DECLINING HOME PRICES NOT UNEXPECTED…BUT WILL IT HAPPEN HERE?
The reality of sellers’ expectations have “Hit the Ceiling” and prices are adjusting. Take a look at this article from Realtor Magazine and you’ll see what’s happening in the rest of the country. The question for us in Palm Beach County is, will lower sales prices become a reality for sellers here in the near future?
While rentals prices in Palm Beach are at a staggering 31% increase over May 2021 (normal rates would be 2%-3%), until rental inventory is increased, it may be that home prices stay high as renters either make the jump to owning now (especially as interest rates may keep rising) or more people continue to move to our county.
So, while we are now in a very bullish market, it appears that we are still in our own bubble. Time will tell!
Sally Kimball, Broker