Despite national housing market uncertainty, Palm Beach County’s luxury real estate market remains resilient due to continued wealth migration and strong fundamentals, according to one local agent.
“The national average moving down to this area is like a quarter million a year average income,” says Jason Litt, Team Leader at Lokation Real Estate. “That’s pretty solid income for everyone that’s moving down, like everyone’s making a quarter million dollars. So keeps prices high.”
This concentration of wealth helps insulate the market from broader economic concerns, Litt argues. “It’s never a tough economy in this area. Especially when the average people moving down make a quarter million dollars a year, there’s other parts of Florida where people are suffering, people are hurting. In this area, everyone’s kind of eating, there’s just a lot of money here.”
According to Litt, local market dynamics continue to favor sellers, particularly in the single-family home segment. “When they talk about ‘it’s going to crash, going to crash,’ I don’t see a crash. I see no reason why it’s going to crash,” he says. “I talk to sellers all day, every day, and they only want to lower their prices if they’re in no rush. Most of them, they got the money to sit on.”
The area’s appeal extends beyond just financial factors. “Follow the money. The money’s here. You got billionaires from west palm down to Miami. I mean, it’s like 60-70 billionaires that live down here,” Litt notes. He also points to strong cultural draws, particularly for northeastern transplants seeking familiar communities.
While interest rates remain a factor, Litt sees continued stability in the market. “Rates are going to continue to go down a little bit, I think we’ll touch something in the fives,” he predicts. “We’re never gonna see two and a half, 3% again, but we’re not gonna see 15% either in our lifetime.”
