As a full-time real estate professional, I’m constantly interacting with new sellers and buyers. One question that keeps coming up is “How do the single-family home markets in Palmetto Bay and Pinecrest compare?”
Both markets are inextricably connected and yet different in a variety of ways. Their shared geographical border makes them a natural topic of comparison….
Analyzing the numbers reveals the current condition of a specific market, and helps us anticipate the next trend in real estate.
Comparing the sales data of both cities from January 1, 2017 until September 30, 2017:
Number of homes for sale in Palmetto Bay vs. Pinecrest:
147 homes vs. 195 homes
From $249,000 to $3.5M vs. $539,000 to $16M
1 home above $3M vs. 49 homes above $3M
11 homes between $1M to $2M vs. 61 homes from $1M to $2M (additionally 47 homes between $2M to $3M for Pinecrest)
135 homes under $1M vs. 38 homes under $1M
Number of homes sold Palmetto Bay vs. Pinecrest:
253 homes vs. 143 homes
From $200,000 to $2.1M vs. $420,000 to $5M
1 home above $2M vs. 22 homes above $2M
8 homes between $1M to $2M vs. 51 homes between $1M to $2M
244 homes under $1M vs. 64 homes under $1M
Number of homes under contract Palmetto Bay vs. Pinecrest:
33 homes vs. 12 homes
From $249,000 to $1,325M vs. from $659,000 to $7,5M
2 homes between $1M to $2M vs. 6 homes between $1M to $2M (additionally 4 homes above $3M for Pinecrest)
31 homes under $1M vs. 2 homes under $1M
The Average Price Per Square Foot (for sold homes) in Palmetto Bay vs. Pinecrest:
$188 per SF in January 2017 vs. $307 per SF in January 2017
$213 per SF in September 2017 vs. $374 per SF in September 2017
Increase of 13 % for Palmetto Bay vs. increase of 22% for Pinecrest
The Average Active Price in Palmetto Bay vs. Pinecrest:
$799,000 in January 2017 vs. $2.334M in January 2017
$765,000 in September 2017 vs. $2,401M in September2017
Decrease of 5% for Palmetto Bay vs. Increase of 3% for Pinecrest.
The Average Sold Price in Palmetto Bay vs. Pinecrest:
$540,000 in January 2017 vs. $1,034M in January 2017
$537,000 in September 2017 vs. $1,765M in September 2017
0.6% decrease for Palmetto By vs. Increase of 70% for Pinecrest
The Median Sold Price, which corresponds to the number of homes sold above or below that price in Palmetto Bay vs. Pinecrest
$538,000 in January 2017 vs. $875,000 in January 2017
$508,000 in September 2017 vs. $1,478M in September 2017
Decrease of 5.6% for Palmetto Bay vs. Increase of 69% for Pinecrest
Days on the market Palmetto Bay vs. Pinecrest:
76 days in January 2017 vs. 139 days in January 2017
86 days in September 2017 vs. 121 days in September 2017
Increase of 13% for Palmetto bay vs. Decrease of 13% for Pinecrest
Months of inventory based on closed sales Palmetto Bay vs. Pinecrest:
6.8 months in January 2017 vs. 10.5 months in January 2017
13.7 months in September 2017 vs. 37.6 months in September 2017
Increase of 101% for Palmetto Bay vs. Increase of 257% for Pinecrest
What are the numbers saying?
Both single-family home markets in Palmetto Bay and Pinecrest are performing very well this year despite the notable increase of inventory, which is mostly concentrated in the higher end prices for both markets.
While we have seen a significant increase of the Average Price Per Square Foot for sold homes in both markets, 13% for Palmetto Bay and 22% for Pinecrest, the Median Sold Price for Palmetto Bay has remained relatively stable around $537,000 and has shown a 69% increase in Pinecrest to $1,478M. Remember, if the property listing price is closer to the Median price in each respective market there are more potential buyers available for that property.
In my professional opinion, Palmetto Bay is right on track to ending the year very well in terms of sales. The market in Pinecrest will keep steady trend for the next few months. However, as I have mentioned in previous market updates, the upper-end segment will experience another wave of price adjustments before stabilizing. It is also important to note that we will experience from time to time record setting sale prices for trophy properties newly built or in the process of being built. The upper echelon of the luxury market segment keeps surprising everyone year after year with unparalleled architecture, designs and details never seen before….
Nicolas Boucher brings more than 20 years of experience as well as a global and local approach to real estate. Nicholas is aligned with EWM Realty International, a Berkshire Hathaway Affiliate and South Florida’s premier brokerage. EWM is a member of Leading Real Estate Companies of the World and Luxury Portfolio International, the world’s largest broker-to-broker network, and is the exclusive affiliate of Christie’s International Real Estate in Miami. His achievements in sales rank him among the Chairman’s Club at EWM, one of the company’s most distinguished honors. Nicolas has unparalleled knowledge of the real estate market and offers buyers and sellers meaningful and simple explanations of complex market trends. He specializes in Pinecrest real estate and is well-respected for his on-point pricing strategies; helping his customers approach the market as effectively as possible to minimize market time and maximize the experience.