South Florida Residential Real Estate Market Statistics - August 2022

Nick Polyushkin, an expert, licensed broker and head of the Vera Realty real estate company, said: "In general, the summer of 2022 in the residential real estate market turned out to be in some ways passive. August in Florida is always characterized by slow sales rates, which is explained by the preparation process of families for starting a new school year and the search for some home stability.

As I said earlier, the volume of inventory has been gradually increasing over the past 4 months for approaching a stable level of 6 months’ supply.

The Seller's market began to gradually move to the Buyer's market, since the Buyer had the opportunity to choose real estate objects. Those who wanted to buy apartments at this time did it without much bargaining, since the cost of apartments, of course, was much less than houses.

Summing up the information on the five districts, we can highlight the trend of the residential real estate market in August 2022: inventories are growing almost everywhere; there is an increase in prices for single-family homes, townhouses and condominiums; negative data in the volume of transactions continue to persist.

Let's analyze the statistics of the residential real estate market for August 2022 based on the information the Miami Association of Realtors (https://www.miamirealtors.com/).

Statistics indicators of the residential real estate market in South Florida

1. Closed sales

In August 2022, in Miami-Dade County closed sales for single-family homes decreased to -26.2% compared to August 2021 (July, 2022: -27,2 %). The decline for townhouses and condominiums was -26% compared to August 2021, and 13 percent higher than in July 2022.

In Broward County, closed sales for single-family homes were down -26%, and for townhouses and condos was -16.6%.

In Palm Beach County, closed sales for single-family homes were down -20,4%, and for townhouses and condos were -29.7%.

In Martin County, closed sales of single-family homes continued to decline to -17.6%, but not as much as in July 2022 (-46.9%); the decline for townhouses and condominiums was no longer.

In St. Lucie, this indicator for single-family homes was down -5.3% (July, 2022: -18%) compared to August 2021; and for townhouses and condominiums was -28.3% (July, 2022: - 34.1%)

In August 2022, compared to August 2021, changes in five counties of South Florida were characterized by a decrease in single-family homes to -18%, and for townhouses and condominiums to -23.14%. If we compare the indicator of July 2022 and August 2022, the increase in this indicator in five districts in relation to single-family homes was 13.76%, and for townhouses and condominiums 10.28%.

2. Paid in cash

Cash transactions in three Miami-Dade, Broward and Palm Beach counties remain in negative numbers. In addition, in Martin and St. Lucie counties, they went from plus to minus.

In August 2022, сash payments for the purchase of single-family homes in Miami-Dade County grew only to +12.2% compared to August 2021. For townhouses and condominiums in the same area, this indicator changed from plus (July, 2022: +6.9% ) to minus to -0.8% (August, 2022).

In Broward County, cash payments for single-family homes decreased from +18.9% (July, 2022) to +3.6% (August, 2022), and for townhouses and condominiums from +6.1% (July, 2022) to +5.1%(August, 2022).

In Palm Beach County, the drop in prices for single-family homes was from +12.1% (July, 2022) to +1% (August, 2022), but for townhouses and condominiums, the changes were insignificant in the direction of growth from +0.7% (July, 2022) to +0.8% (August, 2022).

In Martin County, changes in this indicator for single-family homes were from +21.0% (July, 2022) to -2.2% (August, 2022), and for townhouses and condominiums from +41.0% (July, 2022) to - 14.9% (August, 2022).

In St. Lucie, the change in payment for single-family homes was from +4.6% (July, 2022) to -18.1% (August, 2022), and for townhouses and condominiums from -16% (July, 2022) to -37.6% (August, 2022).

The average statistics of the ‘paid in cash’ indicator in the five districts under consideration in August 2022 for single-family homes was no longer +13.78% (July, 2022), but only -0.7% (August, 2022) compared to this period in 2021, and for townhouses and condominiums the indicator decreased from +7.64% (July, 2022) to -9.46% (August, 2022), compared to August 2021

3. Median sale price

The increase in median prices for residential real estate for single-family homes, as well as for condominiums and townhouses compared to August 2021 and July 2022 has changed upward, but not so significantly, except for price changes in Martin County. Home prices continue to be impacted by the supply of inventory.

In Miami-Dade County, the median sale price of single-family homes increased to only +10.1% compared to the previous August 2021, and as for townhouses and condominiums, this indicator also increased slightly to +11.9%.

In Broward County, median sale price for single-family homes was up +13.6%, and for townhouses and condos - it was a +20.6% increase.

In Palm Beach County, median prices for single-family homes were up +17.7%, and for townhouses and condominiums they grew to +25.4%.

In Martin County, the price for single-family homes jumped by +33.3% (July, 2022: +18.8%), and for townhouses and condos was +47.6% (July, 2022: +35.8%)

In St. Lucie, the indicator for single-family homes increased to +22.7%, and for townhouses and condominiums it was +27.9% compared to August 2021.

In August 2022, in the selected counties of South Florida, the average values for single-family homes increased to +19.48% compared to August 2021, and for townhouses and condominiums - to +26.68%. If we compare the change in prices since July 2022, then housing prices increased by 0.14%, and for condominiums - by 3.46%.There is a slow rise in prices, but still growth.

4. Median percent of original list price received

In August 2022, in all five districts, the ‘median percent of original list price received’ indicator for single-family homes was -1.8% compared to August 2021, and for townhouses and condominiums -0.64%. If we correlate August 2022 with July 2022, there is a decrease in this indicator for single-family homes by 0.6%, as well as for condominiums and townhouses by about 0.92%. We notice the presence of elements of bargaining in a number of segments.

5. Median time to contract

In almost all counties of our observation, there is a significant increase in the ‘median time to contract’ indicator in August 2022. In Broward County, in the segment of ‘condominiums and townhouses’, the indicator was declining.

In Miami-Dade County, for the segment 'single-family homes' this indicator was +77.8% compared to August 2021, and for ‘townhouses and condominiums’ +125%.

In Broward County during this period for single-family homes the indicator was up +50%, but for townhouses and condominiums, on the contrary, it decreased by -33.3%.

In Palm Beach County, the median time to conclude a contract for the purchase of single-family homes again increased to +63.64%, and for townhouses and condos to +6.3%.

In Martin County, the increase of the indicator for single-family homes was +75%, and for townhouses and condominiums, the indicator jumped from minus values to +128.6%.

In St. Lucie, an increase of median time to contract for single-family homes was +77.8%, and an increase for townhouses and condos was +125%.

As for August 2022, in five districts, a significant increase in the considered indicator for single-family homes was +68.84% compared to August 2021. For townhouses and condominiums, the indicator value changed from minus to plus and amounted to +70%.

6. Median time to sale

In August 2022, in the five districts under consideration, the ‘median time to sale’ indicator for single-family homes began to grow from -1.84% (July, 2022) to +32.17% (August, 2022) compared to August 2021, and for townhouses and condominiums from -13.68% (July, 2022) to -2.56% (August, 2022)

In the current August, real estate transactions took from 54 to 65 days, depending on the types of real estate, and the area itself.

7. Inventory/active lists

The general trend of August 2022 repeats July 2022. New offers continue to appear in some segments. St. Lucie is still interesting, where the new ads has already grown to 125%. Active offers for condominiums and townhouses were reduced only in Miami-Dade and Broward.

According to August 2022 statistics in Miami-Dade County, the number of inventory in active lists for single-family homes was up from +26% (July, 2022) to +26.6% (August,2022), if compared to the previous August 2021. In the same county, for townhouses and condominiums, this figure dropped to -23.8%.

In Broward County, the rate of inventory for single-family homes was from +37.2% (July, 2022) to +46.7% (August, 2022), and for townhouses and condos from -12.4% (July,2022) to -7% (August, 2022).

In Palm Beach County, the index of active inventory for single-family homes changed up from +54.59% (July,2022) to +63.15% (August,2022), and for townhouses and condos it increased from +20% (July, 2022) to +28.3% (August, 2022).

In Martin County, the growth of the indicator for single-family homes was observed up from +6.6% (July,2022) to +62.3% (August, 2022), and for townhouses and condos it changed from +51.1% (July,2022) to +56.3% (August, 2022).

In St. Lucie, an ongoing growth for single-family homes from +117% (July, 2022) to +124.4% (August 2022), while the changes for townhouses and condos were from 68.1% (July, 2022) to +31% (August, 2022).

In August 2022, the total growth of active lists for the five districts was +64.51% compared to August 2021, and for townhouses and condominiums, the change was +16.96.