The Vero Beach real estate market continues strong in June 2014. The real estate market activity for high priced homes and condos on the barrier island in Vero Beach is attracting buyers and driving prices higher. Especially notable was the increase in appetite for water front properties. Even the real estate market in Vero Beach mainland regained some strength after the lackluster performance the previous 3 months.
Vero Beach real estate market was very active in June of 2014, but as the season ended we saw a 2.3% increase in sales compared to May but a 2.2% decrease from the same period in 2013. Inventory was slightly decreased by 7.4% in June compared to May and 2.2% compared to the same period in 2013.
Vero Beach Real Estate Market Highlights – June 2014
The Median of home values increased by an average of 8.2% from the same time the previous year , due to increase in sales of higher priced homes. Vero Beach mainland also showed some gains in sale prices (see the chart below of Vero Beach Mainland Real Estate Market).
DATA SOURCE: MLS data as of 7/2/2014. Data believed to be accurate but not guaranteed.
Sales in May on the mainland increased by 8.2% but the inventory increased by 15.6%compared to the same time in 2013(see more details in Vero Beach Mainland Real Estate Market Report June 2014).
In June, the real estate market on the barrier island in Vero Beach was very active with increases in sales and price appreciation. Demand for high priced condos on the barrier island remained strong as we saw a 19.2% increase in sales compared to the same period in 2013. Sale prices are also on the rise as the following chart of Vero Beach barrier island condos shows.
DATA SOURCE: MLS data as of 7/2/2014. Data believed to be accurate but not guaranteed.
The market of Vero Beach island condos is very active below $300,000 and in the $500,000 to $550,000 and $600,000 to $650,000 price ranges. The average sale prices increased in June by 4.8% compared to a year ago (see more details in Vero Beach Barrier Island Condos Real Estate Market Report June 2014).
Vero Beach Real Estate Market Analysis – June 2014
June was a strong month for single family homes on the barrier island as the reduction in the inventory has created a buyer’s rush into finding the perfect home. The demand has remained steady for lower priced homes but keeps increasing for homes priced from $600,000 to $700,000.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 7/2/2014. Data believed to be accurate but not guaranteed.
The seasonally active months have resulted in more sales and closings in post season. We have seen more interest in waterfront homes with more second home buyers replacing the investors of the previous 2 years as the overall economy keeps improving and the public’s sentiment towards housing has changed (see more details in Vero Beach Barrier Island Single Family Real Estate Market Report June 2014).
Overall Housing Market – June 2014
The increase in mortgage rates we saw in 3rd quarter of 2013 has tapered off in 2014 as the rate of increases has been revised to show much lower levels from previous projections. The stabilization of mortgage rates bodes well for Vero Beach Real Estate Market with possible increase in sales for the rest of the year.
DATA SOURCE Fannie Mae: Economic and Strategic Research; Mortgage Rates Forecast – June 2014.
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 – June 2014.
At the national level, the existing home sales dipped in Q1 of 2014, with a prijected increase in activity the rest of 2014 and leveling off in 2015. The Vero Beach real estate market did not follow this trend, as we saw strong sales in Q1 2014. However, the rate of increase is projected to slow and follow the national trend.
Sellers need to keep a close eye on the sales and price action during the summer months and prepare to negotiate offers.
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.