Dear Neighbor,
The golf curse has been lifted.
If you have been following this column, you will know of that to which I refer …
sales of golf-front homes have been beyond sluggish for quite some time. At long last, we are seeing meaningful activity in this market segment.
In April two properties on golf front traded – one an original build era house on a small golf front lot (9,779 sq. ft.) for $1,700,000 and the other a Mediterranean built in 1998 that traded for $2,825,000. In March, we saw the sale of a new construction golf front estate at $8,000,000 reflecting the widening gap between new builds and resale properties in Royal Palm.
The most recent new construction homes on golf frontage have traded between $929 and $1,010 per square foot while the average price per square foot across all golf front properties is $773 for the three-month period ending April 30, 2019.
Waterfront properties have been a hot segment with the average price per square foot seeing a 21 percent increase year over year. The most recent new construction homes on water frontage have traded between $1,263 and $1,419 per square foot and the average price per square foot across all waterfront properties for the same period is $1,046.
Interior property sales are up with 10 closed sales over the most recent three-month period with an average selling price of $2,671,000 and a price per square foot of $568. Total sales are up with 20 closed sales over the most recent three-month period with sales volume of $84,960,000. The average selling price is down 9 percent at $4,248,000.
Inventory is plentiful across all segments with 21 golf front properties on the market; 22 waterfront, 30 interior. Meanwhile, there have been sales in each segment reflecting that we have a supply surplus with 73 actively listed properties on the market today and 58 total sales over the past 12 months.
Average days on market are down across all market segments. Waterfront properties averaged 107 DOM; Golf 109; Interior 160.
We have a buyer base that is highly educated and acutely aware of the market trends in Royal Palm. When a property is presented well and offered at a fair price, buyers are inclined to transact. We do see a number of outliers – as per our usual – here in Royal Palm with a handful of properties transacting “off-market” without ever being publicly offered and an equal number of offerings sitting for exceptionally long periods of time with no sale. The current champion of being on the market continuously without selling is 378 E. Alexander Palm Road which has been on the market for 3508 days – that’s 9.6 years.
