Coastal Palm Beaches & Barrier Islands Market Report: 2Q 2021

Report Highlights

The Palm Beach market enjoyed its best quarter on record, with closed sales volume skyrocketing to a record-high of more than $1.5B, breaking the record set in the first quarter of 2021.

• The momentum that started in the second half of 2020 – buyers seeking to upgrade their space, taking advantage of work flexibility, and enjoying Florida’s desirable climate and tax benefits – continues into the first half of 2021. 2Q 2021 closed sales activity skyrocketed, rising substantially on both a quarterly and annual basis.

Amid robust demand, Palm Beach also saw incredible growth in pricing with median and average sales prices for single-family homes rising 18% and 24% respectively, versus last year.

• While strong demand is propelling pricing of single-family homes, this quarter’s double-digit increase was largely exaggerated by the high-end of the market with fifteen deals closings over $20M. The average price for condo/co-op fell year-over-year due to the increased number of sales under $1M but remained essentially level with Q1 2021.

With Palm Beach enjoying its best quarter on record, and pricing reaching new heights, eager buyers who want a piece of the Palm Beach lifestyle continue to look to outlying regions for a neighborhood to call their own.

• The area from Hypoluxo Island to Highland Beach experienced a tremendous increase in sales – single-family home closings rose 125% YOY and condo/co-op sales jumped 190%
• Sales climbed year-over-year for all product types versus last year in the area from Jupiter Island to Singer Island – single-family home sales grew 23% YOY and condo/co-op closed sales reached a record high at 382 sales, up 139% YOY.
  In the area from West Palm Beach to Lake Worth, closings dramatically increased for all product types compared to last quarter and last year, while price metrics rose and days on market declined.
• In Delray Beach, second-quarter sales activity and pricing surged for both product types.