The Vero Beach real estate market in December report shows that the market is getting more active as we enter the traditionally strong season. The jump in sales is encouraging but the increase in inventory may put pressure in price appreciation. The market has improved in some areas that exhibited weakness. The following sections provide a detail view of the Vero Beach mainland real estate market.
Vero Beach Real Estate Market Highlights
Median of home values have increased by 8.5% from a year ago in Vero Beach mainland. Inventory (homes available for sale) has been increasing the last 4 months and and is now 6% higher than the beginning of 2013. The Pending Ratio (for Sale vs. Pendings) is above 50% in many price ranges which means that demand is getting weaker and price appreciation is expected to subside for these price points.
DATA SOURCE: MLS data as of 1/2/2014. Data believed to be accurate but not guaranteed.
The chart above shows that the inventory of available homes for sale in Vero Beach mainland has been increasing since July of 2013. On the other hand, Sales jumped by 40% compared to November and 34% compared to the same period in 2012.
Vero Beach Real Estate Market Statistics
DATA SOURCE: MLS data as of 1/2/2014. Data believed to be accurate but not guaranteed.
Notes: (1) This is the average of all 12 months of inventory, (2) This is the average of all 12 months of List Price to Sale Price Ratio & (3) This is the average DOM in 12 month period.
The List (asking price) to Sale Price ratio is a useful statistic that shows the strength of a particular real estate market. The closer the sale price to list or asking price, the stronger the market is.
In Vero Beach mainland, we see that the list to sale price ratio (95.5%) is increasing, the absorption rate, or months of inventory (5.5) indicates that the we are getting back into a more active market and buyers may face competition in some price ranges.
Vero Beach Real Estate Market Analysis
In December, 153 homes were sold in Vero Beach mainland. There were 894 homes available for sale with 223 pending contracts and a Pending Ratio of 25% and below the 50% threshold indicating demand is not keeping up with the supply. This is an active market with price appreciation projected to continue in 2014 year.The median for the last 30 days was $150,000 with average days on the market (DOM) of 93 days. The sale prices are stabilizing. The median of home values has increased by 8.5% from a year ago and the trend shows that prices are still appreciating, but at a slower rate (see the chart below).
DATA SOURCE: MLS data as of 1/2/2014. Data believed to be accurate but not guaranteed.
A Price Range analysis of homes sold versus homes that failed to sell (expired) and the days these homes were on the market (DOM) provides a useful statistic for the overall health of the Vero Beach mainland real estate market.
The chart below presents the number of homes Sold vs. Expired (failed to sell) the last 12 months and DOM of homes sold. Notice that homes bellow $75,000 price range were sold the fastest with an average of 84 DOM.
DATA SOURCE: MLS data as of 1/2/2014. Data believed to be accurate but not guaranteed.
More homes failed to sell (expired) above the $450,000 price range, than sold in Vero Beach mainland. Homes above 350,000 took the longest to sell with an average of 190 DOM. Homes may expire for many reasons such as being priced too high, inadequately marketed, in poor condition, or owner decided not to sell.
The market in Vero Beach mainland is still active with slight price appreciation and is projected to continue into the next year..
The increase in inventory, mortgage rates and lack of investor appetite may affect sales. We will monitor the market activity as we enter the season for clues on market’s strength and will notify our clients and the subscribers to Vero Beach real estate market reports.
Detailed Real Estate Market Reports for Vero Beach mainland are produced on a monthly basis. If you would like to receive these real estate market reports, fill in the request form below with your email address and indicate that you wish to receive market reports in the message box. These reports will be sent to your email the beginning of the each month with market statistics of the previous month.
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