Palm Beach County Housing Rebound Top in the Nation

16 Jan Palm Beach County Housing Rebound Top in the Nation

Even though South Florida was one of the hardest hit real estate markets, it’s now the most improved. According to a January report from ZipRealty, a California brokerage firm, Palm Beach County’s median home price hit $169,000 in December, marking a 35% increase for the year.

Neighboring Broward County’s median price was recorded at $127,000, a 21% jump that ranked ninth nationwide. Miami ranked 10th in improvement, alongside Sacramento.

Homes in South Florida lost about half their market value in the housing bust, leaving many in upside down mortgages and others in foreclosure. The market bounced back in a big way though, leaving investors, buyers and all businesses with a sigh of relief.

Strong demand by investors, a shortage of homes for sale and rising rental prices contributed to the successful recovery, according to real estate brokers. Distressed homes drew many investors into the market, as lenders were paying owners to go through with short sales in order to leave the properties in good condition.

According to Joseph Pucillo, a vice president at ZipRealty, “Investors are paying $250,000 for homes that would have cost $400,000 a few years ago. It’s valued very attractively right now. It just makes sense to go there.”

Last December, the average home price was reportedly $125,000.

As the market continues to recover, the available homes for purchase continues to decline – meaning prices will only rise.

Many investors are coming to the area through the EB-5 Regional Center, U.S. Immigration Fund. It’s Florida division, Florida Regional Center, has begun construction on several South Florida developments. Projects include Via Mizner Golf and Country Club, in Boca Raton; Harbourside Place, Water Pointe, and ESI Jupiter Technology, in Jupiter, Florida. These projects are bringing jobs, and will continue to do so, increased market value to its surrounding region and stability for investors.