The seaside city of Boca Raton features some of Florida’s best real estate selections. With easy access to top-tier urban amenities and waterfront attractions, Boca Raton attracts a wide range of buyers — from large families and young professionals to retirees.
If you’re planning to explore the local housing market, it’s essential to be up-to-date with recent trends and future developments that could make an impact on your real estate strategy.
The latest stats
The latest tally of homes in Boca Raton stands at over 1,400 with a median home listing price of around $525,000. Home prices usually range from $180,000 (affordable condos and townhomes) to well over $10 million (luxury homes, waterfront estates).
Meanwhile, the median number of days on the market is currently 59 days. This number has been on the downtrend since last month with the ongoing influx of buyers, as well as the rise of more new construction. So, if you’ve found some promising home options sooner than expected, it’s essential to move fast as there may be several others with the same intent to make a purchase.
A seller’s market persists, but likely not for long
With new buyers still pouring in and home inventory still playing catch-up, Boca Raton is still a seller’s market. But after the real estate frenzy that largely defined 2021, there are signs that the market is set for a correction with more relaxed activity.
The 30-year fixed-rate mortgage in Florida is now set at 4.8%, fueled by the anticipated hikes by the Feds in interest rates. In addition, the National Association of Realtors is forecasting a 2.8% price increase for existing homes and 4.4% for new homes in the coming months.
The impact of the Feds’ decision to increase interest rates in the light of rising inflation, coupled with the continued dearth of housing stock, is seen to result in higher home prices and a more subdued Florida real estate market. While you may need to spend more on a house, lesser competition means lower chances of getting into a bidding war — which may even be costlier.
Boca Raton and surrounding cities continue to be highly desirable
Florida continues to be a magnet for new buyers for two major reasons: warmer weather and the relatively low cost of living. The state is one of a handful of jurisdictions that do not levy income taxes on residents. That extra cash can offset higher interest rates and home prices.
Moreover, there’ll be even more real estate options in Boca Raton in the foreseeable future with the construction of several new developments in the city. Examples of these are the following:
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Addition of over 1,900 new housing units in West Boca. Local developer GL Homes plans to transform approximately 300 acres of farmland into modern and luxury communities. Retail and commercial areas surrounding these neighborhoods are expected to follow.
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Mixed-use development near Sanborn Square soon to rise. Courtesy of Compson Associates, the planned Aletto Square will be composed of a 12-story luxury apartment complex, a 7-story office and commercial building, and an 8-story parking garage. The project is expected to boost local business activity.
Make it a point to hire top real estate brokers in Boca Raton, one of which is The Parallēle Group. Our seasoned agents will help you navigate the local market and negotiate for the best deal possible. Call us at 561.446.3033 or send an email to info(at)theparallelegroup(dotted)com.