Experts are predicting that current housing boom will most likely flatten this year as interest rates continue to rise. Please note the word “flatten.” It is anticipated that prices will not go down, demand for homes is constant in Palm Beach County. In South Florida, with our warm climate, our beautiful coastline, and tax benefits, more and more people are moving here every day. People have realized they can work from home and are no longer bound to a particular city, so why not live somewhere beautiful.
A housing bubble, or speculative bubble, is defined by a steep rise in housing prices that is not supported by common or logical economic factors or fundamentals. Many factors are contributing to the current housing appreciation throughout America. Factors such as the sudden growth in remote work, changing migration patterns, and supply shortages are contributing to an already under-supplied housing inventory. Real estate experts suggest “with low inventory and pent-up buyer demand, we are not likely in a catastrophic housing bubble in 2022.”
The latest statistics indicate that nearly one thousand people move here every day, and many are coming from northern states such as New York, New Jersey, and Connecticut. According to move.org, Florida was the most moved to state in 2020.
Please feel free contact a real estate agent at Waterfront Properties and Club Communities to discuss the local market in Southeast Florida.