Palm Beach Real Estate Market Update: December 2025

Palm Beach Real Estate Market Update: December 2025

The Palm Beach real estate market in December 2025 shows a complex landscape where certain segments favor sellers, while others shift toward buyer-friendly conditions. By comparing current data to the normal market of 2019, it is evident that while prices remain high, the pace and competition of the market have evolved significantly.

Key Market Trends for December 2025

Persistent Price Growth: The median sales price for detached homes has reached $700,000, a 4.7% increase compared to December 2024 and nearly double the $375,000 median seen in 2019.

Inventory Shifts:

Detached Homes: Inventory is tightening, with active listings down 6.7% from last year, leading to more buyer competition.

Condos/Townhomes: In contrast, this segment has seen a surge in inventory, with 7,003 active listings compared to 5,969 in 2019, creating more competition for sellers.

Longer Sales Cycles: Homes are taking longer to sell. The median Days on Market (DOM) for detached residences is now 78 days, up from 71 days last year. Condos and townhomes are staying on the market even longer, with a median of 97 days.

Seller Concessions on the Rise: More sellers are offering incentives to close deals. In the detached market, 23.8% of sales included seller concessions, with a median amount of $10,000.

Segment Performance

Single-Family Detached Homes

This segment remains relatively lean on supply, with 4.2 months of inventory, keeping it firmly in a seller's market (defined as 0 to 6 months of supply).

Closed Sales: 986 (up 19.7% year-over-year).

Pending Sales: 1,184 (up 10.6% year-over-year).

Negotiation: Homes priced correctly are selling at 97.3% of their original list price, while overpriced homes that require reductions are selling for only 87.3%.

Condos, Townhouses, and Villas

This segment is experiencing a significant shift toward a buyer's market, with 7.8 months of supply (up from 4.0 months in 2019).

Median Sales Price: $305,000.

Market Resistance: This segment has a high failure rate, with 56.8% of listings failing to sell (expired or cancelled), indicating high market resistance.

Price Reductions: Over 63% of listings in this category required a price reduction before selling.

Local Spotlights (Detached Residences)

Palm Beach Gardens: A high-end leader with a median sales price of $1,150,000, despite having a higher supply of 5.9 months.

Boca Raton: Continues to see strong demand with pending sales up 18.1% year-over-year and a median sales price of $947,500.

Boynton Beach: Offers a relatively more accessible entry point with a median sales price of $542,500 and a faster-moving market (3.2 months of supply).

What This Means for You

For Sellers: Correct pricing is critical. Homes priced accurately from the start have a significantly shorter sales cycle (17 days median DOM) compared to those that require price reductions (151 days median DOM).

For Buyers: There are more opportunities for negotiation, especially in the condo and villa segments. In the detached market, savvy buyers may find bargains among listings that have been overpriced and sitting on the market.