For nearly a decade, the Frisbie team has carefully curated our ongoing series of Quarterly Reports in an effort to articulate and disseminate the most accurate data pertaining to the Palm Beach Real Estate Market. The recently-published first quarterly report of 2020 is no exception. As the world faces unprecedented challenges amidst Covid-19, it is imperative to acknowledge the myriad effects of the virus and consider its potential implications to the real estate market.
Despite the unforeseen influence of Covid-19, the year began with stunning and promising momentum. In fact, the Palm Beach Real Estate Market’s first quarter of 2020 surpassed any other first quarter – a steadfast testament to Palm Beach’s appeal.
The record-breaking period extended into multiple categories. For example, in terms of dollar volume, Palm Beach’s single-family market generated $416 million during Q1 2020, indicating a staggering 168% increase compared to Q1 2019 (while also marking the largest first quarter ever recorded). Furthermore, with pending transactions totaling more than $435 million, Q1 2020 witnessed the largest pending dollar volume on record, representing a 132% increase over Q1 2019.
Q1 2020 transactions also followed the trend. The 48 single-family transactions of Q1 2020 represented a 66% increase compared to data from Q1 2019. This quarter also concluded with 24 properties under contract, demonstrating a 20% increase when compared to the first quarter of 2019. Meanwhile, the Q1 2020 median single-family price of $5.6 million indicated another record high, outpacing Q1 2019 by 35%; Q1 2018 by 35%; and Q1 2017 by 62%.
Despite mild fears around geopolitical policy, the longest running bull market, and a looming election, prevailing sentiments at the start of 2020 favored moderate economic growth. It is reasonable to assume markets would have continued to grow if not for this global pandemic. This additional level of uncertainty will continue to influence animal spirits in the weeks and months ahead, but through it all, Palm Beach remains a tropical oasis in a challenged world.
In the meantime, we express our heartfelt gratitude to the valiant and selfless contributions made by every person working on the front lines. We look forward to seeing you soon…but for now, from at least six feet away.