Palm Beach's luxury real estate market isn't waiting for spring to heat up. The island has already recorded a string of eight-figure transactions in the opening weeks of 2026, signaling that buyer appetite for trophy properties remains as fierce as ever.
The headline deal so far: a $76.73 million oceanfront mansion on South Ocean Boulevard, one of the most coveted addresses in American real estate. The estate, which spans more than 200 feet of direct ocean frontage, traded in an off-market transaction that ranks among the top five residential sales in Palm Beach history.
Inside the Mar-a-Lago Security Zone
Just south of the former presidential compound, a buyer paid $25 million for a property within the Mar-a-Lago security perimeter. Properties in this zone have commanded increasingly steep premiums since 2017, when the Secret Service presence transformed the neighborhood into one of the most heavily monitored residential corridors in the country. Buyers willing to navigate the security protocols gain access to an area where inventory is measured in single digits.
Real estate advisors familiar with the deal noted that the buyer plans a full renovation, a pattern that has become common on the island as aging estates give way to contemporary designs that prioritize open floor plans, impact glass, and outdoor living spaces.
The Gut Renovation Premium
That renovation trend is playing out across the island. A recently completed gut renovation on the north end of Palm Beach sold for $20.45 million, reflecting the premium that turnkey properties now command. The home, originally built in the 1980s, was stripped to the studs and rebuilt with modern systems, a new pool, and a redesigned landscape.
According to data from the Palm Beach Board of Realtors, the median sale price on the island crossed $12 million in Q4 2025, up 18 percent from the prior year. Total dollar volume for the quarter exceeded $1.2 billion, marking the third consecutive quarter above that threshold.
Who's Buying
The buyer pool continues to diversify. While Northeast transplants still account for the majority of transactions, brokers report growing interest from international buyers, particularly from Latin America and Europe. The island's combination of no state income tax, year-round climate, and proximity to Palm Beach International Airport makes it attractive to a global audience.
Inventory remains the market's defining constraint. Fewer than 40 single-family homes were listed for sale on the island at the end of January, a figure that has held roughly steady for the past 18 months. With demand showing no signs of softening and buildable lots essentially nonexistent, the competition for quality properties continues to intensify.
For sellers considering a move, the data suggests that the window of maximum leverage remains wide open. For buyers, the early 2026 results make one thing clear: waiting for a correction on Palm Beach Island is a strategy that hasn't worked in years.
Photo: Lance Asper / Unsplash
