The Real Deal Miami

Palm Beach home prices soar on estate sales

By Emily Schmall | April 19, 2013 04:00PM

Palm Beach County from the sky

The average price of single-family homes in Palm Beach County skyrocketed over the past year led by a rush of luxury sellers looking to unload properties ahead of changes to the federal tax code, Brown Harris Stevens said in a market report released today.

Prices averaged $5.03 million in the six months ending in March, a 78 percent gain over the $2.83 million average in the same period a year ago, with private estates doubling from $5.52 million to $11.2 million.

Average prices jumped because of estate sales during the period, which climbed 375 percent, from four to 19, as luxury homeowners looked to sell before the end of 2012, anticipating a new capital-gains tax regime — and a rise in taxes — in 2013, the report said.

Conversely, the price of condos in Palm Beach cooled down, according to the report, with the median price declining by 7 percent, from $400,000 to $372,000. Condo sales climbed 21 percent.