Reports Reveal Q4 as One of the Better Performing Quarters for South Florida in 2017

Douglas Elliman today releases the fourth quarter 2017 South Florida Market Reports including Miami-Dade, Miami Beach, Sunny Isles, Ft. Lauderdale, Boca Raton, Jupiter, Wellington and Palm Beach. Authored by Jonathan Miller of Miller Samuel Inc., the Douglas Elliman reports reveal that Q4 proved to be one of the top performing quarters for South Florida in 2017.

“The key take away for Q4 is that we saw more strength at the upper end of the market than we have all year. A big reason for it has been more negotiability provided by sellers,” said Jay Phillip Parker, CEO of Douglas Elliman Florida. “Buyers have continued to hold firm, incentivizing sellers to be more willing to negotiate, which in turn has enabled more activity, especially at the higher end of these markets.”

These South Florida market reports are part of the Elliman Report series that began 23 years ago. The fourth quarter report showcases Miami Beach, Delray Beach and Wellington as stand out performers in terms of overall sales and price trends posting large gains. The report analyzes the key data and trends, helping clients to make informed decisions.

“The average size of a luxury sale rose across most of the markets as a developing pattern of higher activity at the upper end of the market,” added Jonathan Miller of Miller Samuel Inc.

“Overall, South Florida was a buyer’s market in 2017, particularly in the ultra-luxury sector. The recent spike in interest, coupled with the tax referendum seem to have shifted the temperament of both buyers and sellers, raising speculation that South Florida may be ready to boom again,” added Parker.

Highlights of the Douglas Elliman Q4 South Florida Market Reports include:

MIAMI BEACH/BARRIER ISLANDS HIGHLIGHTS

Overview

- Sales resumed their rising trend after the prior quarter disruption from Hurricane Irma

- Median sales price rose annually for second consecutive quarter

- Marketing time fell sharply despite continued rise in listing inventory

- New pending sales, defined as contracts signed within this quarter, surged 16.1% as the year ended

- Market share of conventional mortgage financing continued to expand, rising 3.7% to 32.1% of all sales

- Luxury market characterized by rise in average sales size

Key Trend Metrics (compared to same year ago period)

OVERALL MARKET

- Median sales price rose 2.8% to $406,000

- Average sales price increased 2.3% to $885,612

- Number of sales jumped 14.2% to 757

- Days on market was 73, down from 125

- Listing discount was 10%, up from 9.2%

- Listing inventory increased 6.7% to 6,422

LUXURY CONDO

- Median sales price increased 6.9% to $3,957,009

- Days on market was 92, up from 171

- Listing discount was 11.3%, down from 12.7%

- Listing inventory fell 8.1% to 1,211 units

- Entry threshold began at $1,520,000

LUXURY SINGLE FAMILY

- Median sales price rose 10.1% to $6,000,000

- Days on market was 170, up from 80

- Listing discount was 16.4%, up from 6.5%

- Listing inventory decreased 12.9% to 117 units

- Entry threshold began at $5,100,000

MIAMI COASTAL MAINLAND HIGHLIGHTS

Overview

- Price trend indicators posted large gains as listing inventory slid

- Number of sales declined for the tenth consecutive quarter

- Over the past four years, the market share of sales with conventional financing nearly doubled

- Condo price trend indicators continued to rise along with a sharp decline in distressed sales

- All single-family price trend indicators continued to post large gains

Key Trend Metrics (compared to same year ago period)

OVERALL MARKET

- Median sales price increased 6% to $302,050

- Average sales price rose 6.8% to $415,219

- Number of sales fell 10.2% to 3,180

- Days on market was 44 down from 74

- Listing discount was 5.7%, unchanged

- Listing inventory slipped 7% to 9,988 units

LUXURY CONDO

- Median sales price surged 30.5% to $845,000

- Days on market was 75 days, down from 127

- Listing discount was 8.1%, up from 7%

- Listing inventory rose 4.8% to 3,088

- Entry threshold began at $480,000

LUXURY SINGLE FAMILY

- Median sales price jumped 13% to $1,300,000

- Days on market was 165 days down from 192

- Listing discount was 8.4%, down from 9.8%

- Listing inventory declined 10.1% to 987 units

- Entry threshold began at $860,000

FORT LAUDERDALE HIGHLIGHTS

Overview

- Price trend indicators were mixed as marketing time edged higher

- Both listing inventory and number of sales slipped

- Luxury listing inventory declined across both property types

Key Trend Metrics (compared to same year ago period)

LUXURY CONDO

- Median sales price slipped 1% to $1,232,500

- Days on market was 200, up from 150

- Listing discount was 7.7%, up from 4.6%

- Listing inventory increased 6.8% to 359

- Entry threshold began at $775,000

LUXURY SINGLE FAMILY

- Median sales price slipped 2.3% to $1,978,351

- Days on market was 190, down from 190

- Listing discount was 16.4%, up from 9.6%

- Listing inventory slipped 0.8% to 365 units

- Entry threshold began at $1,230,000

BOCA RATON HIGHLIGHTS

Overview

- Condo median sales price was unchanged as single-family median sales price rose sharply

- Condo and single-family sales rose and listing inventory declined

- Condo and single-family marketing time and negotiability expanded

- Luxury condo prices skewed lower by large drop in average sales size

Key Trend Metrics (compared to same year ago period)

LUXURY CONDO

- Median sales price declined 25% to $825,000

- Days on market was 101 days, up from 76 days

- Listing discount was 8.9%, up from 7.5%

- Listing inventory rose 29.8% to 357

- Entry threshold began at $550,000

LUXURY SINGLE FAMILY

- Median sales price jumped 52.7% to $2,000,000

- Days on market was 217 days, up from 159

- Listing discount was 12.5%, up from 10.1%

- Listing inventory declined 29% to 401

- Entry threshold began at $1,276,681

DELRAY BEACH HIGHLIGHTS

Overview

- Five out of six price trend indicators for condo and single-family sales moved higher

- Single family sales were unchanged while condo sales expanded

- Listing inventory and marketing time slipped for both property types

- Price trend indicators east of Federal Highway posted large gains

Key Trend Metrics (compared to same year ago period)

LUXURY SINGLE FAMILY

- Median sales price rose 15% to $1,955,000

- Days on market was 104, down from 143

- Listing discount was 10.4%, up from 8.3%

- Entry threshold began at $1,190,000

LUXURY CONDO

- Median sales price rose 4.3% to $469,250

- Days on market was 66, down from 110

- Listing discount was 4.9%, down from 5%

- Entry threshold began at $330,000

WELLINGTON HIGHLIGHTS

Overview

- Price trend indicators across condo and single-family sales moved higher

- Listing inventory continued to edge lower, keeping pressure on price trends

- Condo sales declined while single-family sales increased

Key Trend Metrics (compared to same year ago period)

LUXURY CONDO

- Median sales price rose 27.8% to $677,500

- Average square footage increased 13.9% to 2,297

- Days on market was 148, down from 225

- Listing discount was 8.2%, up from 6%

- Listing inventory fell 50% to 23

- Entry threshold began at $530,000

LUXURY SINGLE FAMILY

- Median sales price rose 3.9% to $1,062,500

- Average square footage increased 14.8% to 4,586

- Days on market was 115, down from 122

- Listing discount was 7.7%, down from 8.3%

- Listing inventory rose 49.7% to 280

- Entry threshold began at $685,000

PALM BEACH HIGHLIGHTS

Overview

- In a reversal from the prior quarter, condo sales declined, and single-family sales increased

- Single-family average sales size urged, skewing price trends higher

- Listing inventory and negotiability across property types declined

Key Trend Metrics (compared to same year ago period)

LUXURY CONDO AND SINGLE FAMILY

- Median sales price surged 165.2% to $15,216,838

- Days on market was 496, up from 187

- Listing discount was 18.3%, down from 19%

- Listing inventory fell 66% to 49

- Entry threshold began at $10,600,000

JUPITER / PALM BEACH GARDENS HIGHLIGHTS

Overview

Jupiter

- Housing price trends for the condo and single-family markets continued to move higher as sales slipped

- Days on market was faster across both property types

Palm Beach Gardens

- Price trend indicators for single families showed mixed results as sales and listing inventory declined

- Price trend indicators for condos moved higher as the market pace remained unusually fast

Key Trend Metrics (compared to same year ago period)

JUPITER SINGLE FAMILY

- Median sales price increased 1.1% to $455,000

- Days on market was 62, down from 72

- Listing discount was 5.6%, down from 6.1%

- Listing inventory declined 1.8% to 438

JUPITER CONDO

- Median sales price slipped 0.5% to $278,500

- Days on market was 59, down from 62

- Listing discount was 5%, up from 4.6%

- Listing inventory surged 79.5% to 289

PALM BEACH GARDENS SINGLE FAMILY

- Median sales price declined 7.6% to $425,000

- Days on market was 82, down from 264

- Listing discount was 6.6%, unchanged

- Listing inventory declined 7.6% to 501

PALM BEACH GARDENS CONDO

- Median sales price rose 8% to $235,000

- Days on market was 48, down from 61

- Listing discount was 4.6%, up from 3.7%

- Listing inventory declined 19.8% to 211

About Douglas Elliman Real Estate

Established in1911, Douglas Elliman Real Estate is the largest brokerage in the New York Metropolitan area and the fourth largest residential real estate company nationwide. With more than 7,000 agents, the company operates approximately 110 offices in Manhattan, Brooklyn, Queens, New Jersey, Long Island, the Hamptons & North Fork, Westchester, Greenwich, South Florida, Colorado and California. Moreover, Douglas Elliman has a strategic global alliance with London-based Knight Frank Residential for business in the worldwide luxury markets spanning 60 countries and six continents. The company also controls a portfolio of real estate services including Douglas Elliman Development Marketing; Manhattan’s largest residential property manager, Douglas Elliman Property Management with over 250 buildings; and DE Commercial. For more information on Douglas Elliman as well as expert commentary on emerging trends in the real estate industry, please visit elliman.com.