Breaking Down the 2023 Palm Beach County Real Estate Market
The future may be bright for Palm Beach County home buyers: in certain areas, at least.
There is no doubt that the real estate market has cooled down significantly across the country. In a world that witnessed a drastic post-pandemic spike in real estate prices, markets across the board have seen corrections that many buyers have been patiently waiting for. Palm Beach County, however, appears to be unique. Certain areas, such as West Palm Beach, have seen an overall spike in home prices compared to last year due to the exponential growth in business, retail, and infrastructure. On the other hand, Palm Beach Island generally saw a drastically sharp decline in home prices compared to last year. Let’s break down the numbers.
According to Douglas Elliman’s Q2 market analysis, average single-family home prices on Palm Beach Island have fallen by a staggering -26% from Q1, putting the average home price at ~$17 million. These prices are down by -22% compared to the average in 2022. The Palm Beach condo market has seen slightly less of a decrease, with the average price falling by -17% compared to Q1 and -11% compared to the average in 2022. The luxury market, defined as the top 10% of sales prices, has seen an average price decrease of -8% compared to Q1 and -18% compared to last year.
West Palm Beach sits just across the bridge and has outperformed Palm Beach Island’s overall numbers. Single-family homes have increased by a slight 4.5% compared to Q1, putting the average home price at just under $700,000. However, home prices have decreased by -8% compared to 2022. The condo market has seen the most significant jump in Palm Beach County, with average prices up by 21% compared to Q2 and 37% compared to last year. The luxury market is up across the board, with luxury condos up a whopping 77% compared to the previous year.
Boca Raton shows a 5% increase in single-family home sales, putting the average sales price at ~$1.4 million. However, sales are at an overall decrease of -4% compared to last year. The condo market has decreased slightly, with the average sales price decreasing by -2.4% compared to Q1 and -10% compared to the previous year. The luxury single-family home market is up by 12% compared to Q1, although the luxury condo market is down by -13%.
North County has proven to perform well across the board. The average single-family home sales in Jupiter and Palm Beach Gardens are up 23% compared to Q1, with an average price of ~$2 million. These prices are up by 10% in comparison with 2022. The condo market saw a sales price increase of 10% compared to Q1 and 0.5% compared to last year. Luxury single-family homes are up by 25%, and luxury condos are up by 7% compared to Q1.
By far, the most significant price jumps can be found in the luxury West Palm Beach condo market. However, Jupiter and Palm Beach Gardens are seeing the most consistent average sales price increases. Palm Beach Island, on the other hand, has performed the worst by quarter and year. Although home prices may be leveling out in many areas, many are still uncertain about future affordable housing options in the county. One thing is sure; there is exponential growth across the board in Palm Beach County, and a real estate investment here continues to be profitable on a year-by-year comparison.
Other stories you may want to read:
- Breaking Down the 2023 Palm Beach County Real Estate Market - July 31, 2023
- Tom Ford Breaks Another Palm Beach Real Estate Record - May 20, 2023
- Luxury Living: 2023 Design Trends Transforming Palm Beach’s Real Estate Landscape - April 23, 2023