Over the past two years, home prices have risen dramatically across the nation, driving many prospective buyers out of the market as high demand was met by a lack of supply and rising prices.
There was no exception in the town of Palm Beach, the billionaire’s playground where Donald Trump’s Mar-a-Lago is situated, though buyers in the region have significantly larger budgets than the typical American homebuyer.
According to John Pinson, a realtor in Palm Beach, “the island of Palm Beach only has a limited number of properties.” “The town has a residential population of roughly 10,000 people during the busy season. Since it isn’t very large, the availability issue there raises pricing.”
According to Pinson, the town has become a magnet for the wealthy thanks to its private airport, which is located within Palm Beach International Airport and is only a 10-minute drive from the island. It also has many amenities and reputable hospitals.
According to Ken Johnson, associate dean of graduate programs and a real estate economist at Florida Atlantic University, “the property there is very exclusive, very expensive, probably more so than the Palm Beach on the West Coast.”
“In the past 50 to 40 years, prices have increased significantly, but this is true for all high-end properties. According to our observations and the results of the research, the properties with the highest [price] volatility are those with the lowest [price] levels.”
Redfin reports that in Palm Beach, a single-family home sold for a median price of $3,531,250 in October 2020. After peaking at $30,721,000 a month earlier, the median sale price for a single-family home was $5,405,000 in October 2021. A single-family home cost $6,700,000 in October 2022, an increase of 118.4% from 2021.
