Martin County Florida Condo Market Report for July 2012
Commentary:
The Martin County Florida Condo Market for July 2012 is showing signs of improvement even though we are now in the typically slower summer season for condo sales. Sales for July were a strong 57 units, which is the highest number of condo sales for a July since 2005. The inventory continues to shrink, although at a slower rate. I would not be surprised to see some inventory growth as we get into the upcoming fall and winter condo season. For the first time in five months, we’ve seen a drop in median sales prices. Rather than a decrease in values, this is indicative of a greater number of lower priced condos in the mix of the completed sales.
The inventory is now down to 571 condos, down from the 652 condos that were on the market in July of 2011. The one month absorption rate is now at 10.02 months, while the three-month average is at 8.99 months. While it remains a somewhat challenging market for condos in Martin County, there are some signs of life as prices across the board have declined significantly. We need to see a sustained absorption rate below 9 months for a healthy market and down to 6 or 7 months to be considered a balanced one.
With any change to a favorable consumer sentiment, I expect condo sales to pick up dramatically this coming season as nervous potential vacation home buyers will have the courage to step off the sidelines.
The Definition of Absorption Rate:
Number of months it takes to sell the current inventory at the present rate of sales. Knowing your area’s Absorption Rate, helps to track trends. Understanding the market and where it is headed is part of our job as real estate professionals. Absorption rate is NOT an exact science. Figuring it is based on the premise that one will be looking for a TREND. It is advised to consistently do the numbers each month, to be able to track a trend.
[singlepic id=2634 w=600 h=600 float=center]
[singlepic id=2635 w=600 h=600 float=center]
[singlepic id=2636 w=600 h=600 float=center]
Data compiled from the Realtor Association of Martin County
See the full set of charts at Treasure Coast FL Homes
Martin County Florida Condo Market Report for July 2012
the Gabe Sanders real estate team
Condo Homes, Condos and Land
Waterfront and Golf Course Communities in Martin and Saint Lucie Counties
For more information about Florida’s Treasure Coast Real Estate, visit us at:
Leave a Reply