Florida’s ultra-rich Palm Beach community price hit a record high in the second quarter as the number of mansions sold by brokers reached a record low.
According to Douglas Elliman and Miller Samuel, the average price of single-family homes in Palm Beach reached $ 11.7 million in the second quarter, up 38% from a year ago, a record high. According to brokers, wealthy hedge funds, private-equity funds, and other financial institution executives are moving from New York and other financial capital to the demands and prices of markets already known for their huge wealth. It is said that a gradual change has occurred.
“This is a complete reset of the market,” said Jonathan Miller, CEO of appraisal firm Miller Samuel. “Currently, we have $ 50 million in transactions almost every week. This is a big change, and it looks like it’s sustainable.”
According to Miller, Palm Beach prices are now about the same as Manhattan, with Palm Beach prices per square foot exceeding $ 1,500 in the second quarter and close to Manhattan’s $ 1,545.
Despite the highest price ever, buyers are paying.Second-quarter home sales surged 90% from last year — purchases in Palm Beach and Florida Covid migration..
As a result, brokers call it a shortage of condominiums because demand exceeds supply. According to Miller Samuel, the supply of homes for sale at Palm Beach is currently at a record low of about a month. As of the end of the second quarter, there were only 25 homes for sale, and the actual number may be lower as homes are already under contract or are in the process of being contracted.
According to brokers, they are doing door-to-door sales in the hope of finding a buyer who wants to sell.
Douglas Elliman and Palm Beach’s top broker Christopher Levitt convinced real estate owners to sell, find a small home that the owner can buy, and move the owner of the small home to another home. He said he had to be creative.
“It’s about changing people’s position,” he said. “It’s no longer just MLS listings and home sales.”
The financial business, and the shift from New York, is the main driver of the Palm Beach boom, Levitt said. Many hedge fund billionaires and private-equity chiefs have moved to Palm Beach during the pandemic, Development of large office towers and amenities Being near West Palm Beach means that more people are staying nearby and moving more operations.
“This is just the tip of the iceberg,” he said.
Scott SchleiferPurchased by a Tiger Global Management partner $ 122.7 million mansion on Palm Beach In February, we will mark the highest price ever paid for Palm Beach real estate.Purchased by Hedge Fund Billionaire David Tepper Palm Beach Spec Mansion $ 68 million in the same month.Purchased by hedge fund Igor Tartinsky $ 39.5 Million Real Estate on North Palm Beach..
A Palm beach private island It has just been sold to spec developers for $ 85 million. Developer Todd Michael Glazer said he and his development partners would refurbish the property, calling it a “once-in-a-lifetime opportunity” and soon relisting for a high price.