South Florida Residential Real Estate Market Statistics - July 2022

Nick Polyushkin, an expert, licensed broker and head of the real estate company Vera Realty, introduces the new trends of the residential real estate market in July 2022 in five counties of Florida, such as Miami-Dade, Broward, Palm Beach, Martin, St. Lucie, in the segments of single-family homes, condominiums and townhouses to the readers of Vera Realty Site.

Traditionally, for the analysis of residential real estate statistics in five Florida counties, expert Nick Polyushkin uses the reports of the Miami Association of Realtors (https://www.miamirealtors.com/).

In particular, this article provides statistics for July 2022, which are compared with July 2021 In addition, in this article, the analysis of statistics for July 2022 is carried out taking into account the previous June 2022, which may also be of some interest.

Housing market in South Florida in July 2022

Nick

According to Nick Polyushkin, "If we talk about the main trends in the residential real estate market, it should be noted that the July market slowed down somewhat due to a number of circumstances. In July, in our five counties of South Florida, the number of transactions with single-family homes decreased by 30%, with apartments and townhouses - by 40%. At the same time, the volume of inventories increased to 40-50% in some counties.

Real estate prices are not falling yet. In the future, I think we will see a price adjustment. The rule of the real estate market is the rule of supply and demand, if the number of objects on the market increases, then demand also increases. If demand does not increase, then the price of real estate begins to fall.

This seasonal market slowdown is natural. I am sure that August will be indicative in this regard, since the beginning of the school year is ahead, and families are not ready to be content with moving and purchasing at such a moment. We continue to monitor the market."

Statistics indicators of the residential real estate market in South Florida
1. Closed sales

Has the number of completed transactions decreased in July compared to July last year? Compared to June 2022? If it has decreased, then by how many positions. Finding out. In July 2022 closed sales for single-family homes in Miami-Dade County decreased to -27.2% compared to July 2021, and decreased by another 1% compared to June 2022.The decline for townhouses and condominiums was -39% compared to July 2021, and 9 percent lower than in June 2022.

In the same time in Broward County, a similar decrease was at rate - 27.8%, and for townhouses and condos was -31.9%. Compared to June 2022, for each of the two segments - houses and apartments - the percentage of reduction in closed transactions is approximately 5 percent.

In Palm Beach County, the rate of closed sales for single-family homes was -38.98%, and for townhouses and condos was -33%. In July 2022, compared to June 2022 in Palm Beach, the percentage of transactions on houses decreased by another 8%, for condos and townhouses, on the contrary, this percentage increased by 1%.

In Martin County, a -46.9% decline was for single-family homes, and for townhouses and condos was -29.1%. In the small county of Martin, we are seeing the largest decrease in the number of completed transactions with single-family homes by the end of July 2022 and a decrease of 14%, compared to June 2022.

In St. Lucie, in July 2022 compared to July of the previous year the figure for single-family homes was down to -18%, and decreased for townhouses and condominiums to -34.1%. The decrease compared to June 2022 for houses is 5%, and for condos - an increase of 4%.

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The overall ratio of changes in the five counties of South Florida in July 2022 compared to July 2021 was as follows: the decrease in single-family homes was -31.76%, and for townhouses and condos was -33.42%. If we compare the figures of June 2022 and July 2022, the decrease in five districts relative to single-family homes was by -7%, and for townhouses and condos by - 3%.

Some counties of South Florida Single-family homes Townhouses and condos
Miami-Dade, Broward, Palm Beach, Martin, St.Lucie -31,76% -33,42%

Table 1. The average value of the indicator "closed sales" in Miami-Dade, Broward, Palm Beach, Martin, St.Lucie counties in July 2022 in comparison to July 2021

2. Paid in cash

Cash transactions are still in plus. The number of cash transactions is also growing compared to the same period last year, but cash transactions have not changed much compared to June 2022.

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In July 2022 сash payments for the purchase of single-family homes in Miami-Dade County grew to +12.3% compared to July 2021 For townhouses and condominiums in the same county this indicator increased to +6.9%. In Broward County, there was a +18.9% increase in cash payments for single-family homes, and a +6.1% increase for townhouses and condos. In Palm Beach County, an increase for single-family homes was to +12.1%, and for townhouses and condos was to +0.7%. In Martin county, the rate of this indicator for single-family homes was +21.0%, and for townhouses and condos to +41.0%. In St. Lucie, an increase for single-family homes amounted to +4.6%, and for townhouses and condos was -16%.

If we estimate the average statistics of the indicator "paid in cash" in the five districts under consideration, then in July 2022 for single-family homes it was +13.78% compared to this period in 2021, and for townhouses and condominiums it turned out +7.64%. If we compare July 2022 with June 2022, the indicator for single-family homes has practically not changed (+13.28 in June and +13.78 in July), and for townhouses and condominiums it increased by 1%.

Some counties of South Florida Single-family homes Townhouses and condos
Miami-Dade, Broward, Palm Beach, Martin, St.Lucie +13.78% +7.64%

Table 2. The average value of the indicator "paid in cash" in Miami-Dade, Broward, Palm Beach, Martin, St. Lucie counties in July 2022 in comparison to July 2021

3. Median sale price

There is an increase in prices for residential real estate, but in July 2022 we are no longer talking about a significant increase in prices for single-family homes, as well as for condominiums and townhouses compared to July 2021 and June 2022.

In Miami-Dade County, the median sale price of single-family homes increased to only +10.7% compared to the previous July 2021, and as for townhouses and condominiums, this indicator also increased slightly to +11.8%. In Broward County, there was a +21.2% increase in median sale price for single-family homes, and a +23.3% increase for townhouses and condos. In Palm Beach County, prices for single-family homes increased to only +20%, and for townhouses and condominiums to +24.8%. In Martin County, an increase for single-family homes is to +18.8%, and for townhouses and condos to +35.8%. In St. Lucie, the indicator for single-family homes increased to +26.0%, and for townhouses and condominiums - no more than +20.4%. In July 2022, in the selected five counties of South Florida, the average values for single-family homes increased to +19.34% compared to July 2021, and for townhouses and condominiums to +23.22%. And if we compare with June 2022, the prices for houses decreased slightly by 3%, and for condos by 10%.

Some counties of South Florida Single-family homes Townhouses and condos
Miami-Dade, Broward, Palm Beach, Martin, St.Lucie +19.34 +23.22%

Table 3. The average value of the indicator "median sale price" in Miami-Dade, Broward, Palm Beach, Martin, St.Lucie counties in July 2022 in comparison to July 2021

4. Median percent of original list price received

In the period of July 2022, in all five districts, closed sales of single-family homes compared to the list price amounted to -1.2% compared to July 2021, and townhouses and condominiums +0.32%. If we compare July 2022 with June 2022, there is a decrease of this indicator for single-family homes by 1%, as well as for condominiums and townhouses by about 1%. This slight decrease in percentage values suggests that in some counties an element of bargaining has appeared relative to individual segments.

Some counties of South Florida Single-family homes Townhouses and condos
Miami-Dade, Broward, Palm Beach, Martin, St.Lucie -1.2% +0.32%

Table 4. The average value of the indicator "median percent of original list price received" in Miami-Dade, Broward, Palm Beach, Martin, St. Lucie counties in July 2022 in comparison to July 2021

5. Median time to contract

The growth trend for single-family homes was observed in July in Palm Beach, Martin and St. Lucie. In Miami-Dade and Broward counties, this indicator has not changed for this segment. In the "condominiums and townhouses" segment, the indicators were declining. St. Lucie draws attention to itself, where, against the background of the decline, we observe an increase in the indicator "median time of conclusion of the contract", which amounted to +110%.

In Miami-Dade County, for the segment 'single-family homes' was 0% compared to July 2021 For townhouses and condominiums, a figure consisted of -53.5%. In Broward County during this period for single-family homes the indicator was 0% and a decrease for townhouses and condominiums -41,7%. In Palm Beach County, the median time to conclude a contract for the purchase of single-family homes again increased to +40%, and decreased for townhouses and condos to -20%. In Martin County, an increase for single-family homes was +16.7%, and a decrease for townhouses and condos -38.9% In St. Lucie, an increase for single-family homes was +37.5%, and an increase for townhouses and condos was +110%. As for July 2022, in five districts, the increase in the indicator under consideration for single-family homes was +18.84% compared to July 2021, and the decrease for townhouses and condominiums was -8.82%. If we consider the changes compared to June 2022, the percentage index for single-family homes increased by 3%, and for townhouses and condominiums it also grew by almost 14% (from -22.26% to 8.82%).

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Some counties of South Florida Single-family homes Townhouses and condos
Miami-Dade, Broward, Palm Beach, Martin, St.Lucie +18.84% -8.82%

Table 5. The average value of the indicator "median time to contract" in Miami-Dade, Broward, Palm Beach, Martin, St.Lucie counties in July 2022 in comparison to July 2021

6. Median time to sale

In July 2022 in five considered counties the indicator "median time to sale" for single-family homes continued to fall to -1.84% compared to July 2021, and for townhouses and condos to - 13.68%. Although if we compare the figures, then relative to June 2022, we can observe some increase. For example, for single-family houses from -26,02% to -1.84%, and for condos and townhouses from -17.24% to -13.68%. In the current July, real estate transactions took from 51 to 64 days, depending on the types of real estate and the area itself.

Some counties of South Florida Single-family homes Townhouses and condos
Miami-Dade, Broward, Palm Beach, Martin, St.Lucie -1.84% -13.68%

Table 6. The average value of the indicator "median time to sale " in Miami-Dade, Broward, Palm Beach, Martin, St. Lucie counties in July 2022 in comparison to July 2021

7. Inventory/active lists

The general trend of June 2022 repeats in July 2022 There is an assumption that in July 2022, new offers for some segments appeared on the market in some districts. Again, St. Lucie is interesting, where the share of new ads was 117%. Active offers of condominiums and townhouses were reduced only in Miami-Dade and Broward.

According to July 2022 statistics in Miami-Dade County, the number of inventory in active lists for single-family homes was up from +19.9% (June, 2022) to +26%, if compared to the previous July 2021 For townhouses and condominiums it was down to -26.3%. In Broward County, the rate of inventory for single-family homes was from +22.5% (June, 2022) to +37.2% (соmpared to July 2021), and for townhouses and condos from -23.4%(June,2022) to -12.4% (соmpared to July 2021). In Palm Beach County, the index of active inventory for single-family homes changed up from +51.37% (June,2022) to +54.59% (соmpared to July 2021), and for townhouses and condos it was soaring from +8.3% (June, 2022) to +20% (соmpared to July 2021). In Martin County, a significant growth for single-family homes was observed up from +41.1% (June,2022) to +61.6% (соmpared to July 2021), and for townhouses and condos it changed from +46.1% (June,2022) to +51.1% (соmpared to July 2021). In St. Lucie, an ongoing growth for single-family homes from +108% (June,2022) to +117% (соmpared to July 2021), as well as a high increase for townhouses and condos was from 24.8% (June, 2022) to +68.1% (соmpared to July 2021).

July total increase in active inventory for the five counties was +59.27% compared to July 2021, and for townhouses and condos an increase - by +20%. Of course, in July 2022, compared to June 2022, we are seeing a significant increase in indicators for a number of segments. The growth of almost 10% for single-family homes (from +48.67% in June 2022 to +59.27% in July 2022) and +15% ( from +5% in June 2022 to +20 % in July 2022) for condos and townhouses.

Some counties of South Florida Single-family homes Townhouses and condos
Miami-Dade, Broward, Palm Beach, Martin, St.Lucie +59.27% +20.1%

Table 7. The average value of the indicator "inventory/active lists" in Miami-Dade, Broward, Palm Beach, Martin, St. Lucie counties in July 2022 in comparison to July 2021

8. Months supply of inventory

The month's supply inventory continues to increase in July 2022 and exceeds the 2-month supply in all the counties under consideration, and in Miami-Dade it reaches 3 months. With an overall increase in the values of indicators in Miami-Dade and Broward counties, there was a decrease of -32.7% and -9.1%, respectively, for condos and townhouses.

As it stands, the supply for single-family homes changed up from +64.64% (June, 2022) to +81,34% (compared to July 2021), and for townhouses and condos from +14.26% (June, 2022) to +41.32% (compared to July 2021).

The months' supply of inventory for single-family homes in Miami-Dade County was +40.9%, compared to the previous July 2021 In Broward County, the monthly inventory supply for single-family homes grew to +60%. In Palm Beach County, the monthly inventory supply index for single-family homes was +80%, and for townhouses and condos +33.3%. In Martin County, the numbers for single-family homes jumped to +116.7%, and for townhouses and condos to +81.8%. In St. Lucie, an increase for single-family homes was +109.1%, and for townhouses and condos was +133.3%.

Some counties of South Florida Single-family homes Townhouses and condos
Miami-Dade, Broward, Palm Beach, Martin, St.Lucie +81.34% +41.32%

Table 8. The average value of the indicator "months supply of inventory" in Miami-Dade, Broward, Palm Beach, Martin, St.Lucie counties in July 2022 in comparison to July 2021

A number of economists predicted that, despite the decline in sales, housing stocks are beginning to recover. The US housing market continues to move towards a more even balance of supply and demand compared to 2021.