The Vero Beach real estate market entered the 2015 season with a strong showing and higher prices. The real estate market for high end homes and condos in Vero Beach is contributing to sale price increases both on the barrier island and mainland.
The inventory of homes available for sale in Vero Beach in January 2015 has increased by 6.2% but is lower by 12.3% from the same period in 2014. Days on the market (DOM) decreased by 22% compared to 2014 meaning homes are selling faster. The market activity in February will give us a better idea as to the strength of the market during the rest of the 2015 winter season.
Vero Beach Real Estate Market Highlights – January 2015
Overall the median of sales prices for January 2015 jumped by 20% from the same period in 2014. However, sales were fell by 11% compared to the same period last year.The activity in each major segment of the Vero Beach real estate was consistent in terms of sales, inventory and price action. In Vero Beach mainland, sale prices are still on the rise and jumped by 20% compared to the same period in 2014 (see the chart below of Vero Beach Mainland Real Estate Market).
DATA SOURCE: MLS data as of 2/2/2015. Data believed to be accurate but not guaranteed.
However, home sales for January 2015 were 33% lower than in December and 20% lower compared to the same period last year (see more details in Vero Beach Mainland Real Estate Market Report January 2015).
The market activity for condos on the barrier island slowed down a bit in January but sale prices increased by 65% compared to the same period last year as the following chart of Vero Beach barrier island condos shows.
DATA SOURCE: MLS data as of 2/2/2015. Data believed to be accurate but not guaranteed.
Seller’s market continues below $400,000, in the $500,000 to $550,000 and $600,000 – $650,000 price ranges (see more details in Vero Beach Barrier Island Condos Real Estate Market Report January 2015).
Vero Beach Real Estate Market Analysis – January 2015
January was a slow month with fewer sales as we saw 4% fewer sales than the same time last year and 27% fewer sales than in December. However, median of sale prices increased by 35% and reversing the trend of the previous 4 months of price stagnation . The inventory continues to decline which may boost sale prices.The following chart shows the price action trend of single family homes in Vero Beach barrier island real estate market the last 12 months.
DATA SOURCE: MLS data as of 2/2/2015. Data believed to be accurate but not guaranteed.
Demand has remained steady for lower priced homes and keeps increasing for homes priced from $500,000 to $550,000 and $600,000 to $650,000 price ranges (see more details in Vero Beach Barrier Island Single Family Real Estate Market Report January 2015).
Overall Housing Market – January 2015
The increase in mortgage rates we saw in 3rd quarter of 2013 has tapered off in 2014 as the rate of increases continue to be revised to lower levels from previous projections in January. The continuation of low mortgage rates into 2015 will have a positive impact to Vero Beach Real Estate Market with possible increase in sales during the 2015 winter season.
DATA SOURCE Fannie Mae: Economic and Strategic Research; Mortgage Rates Forecast – January 2015.
The chart below shows the Fannie Mae Existing Home Sales for Single Family Homes, Condos and Co-Ops from 2013 to present and the projections for the rest of 2014 and 2015.
DATA SOURCE Fannie Mae: Economic and Strategic Research; Existing Home Sales & Forecast – January 2015.
Nationally, the existing home sales fell sharply in Q1 of 2014, but increased the rest of 2014. This activity is projected to level off in 2015. The Vero Beach real estate market did not follow this trend, with strong sales in 2014. However, the rate of increase slowed down during the summer of 2014 and regained strength in Q4 2014. The market activity is expected to continue strong in 2015 and the winter season.
Sellers are enjoying an active real estate market with sale prices on the rise and reduced inventory where buyers compete for that right place in sunny and warm Florida.
Detailed Vero Beach Real Estate Market Reports are produced on a monthly basis. If you would like to receive real estate market reports of your area, Vero Beach Mainland or Vero Beach Barrier Island (single family homes or condos), fill in the request form below with your email address and specify the area of interest 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.