South Florida Real Estate Blog

Apr 22

2013 First Quarter Market Report

Posted in Coconut Grove, Coral Gables, Real Estate Market Report Comment

The real numbers for the first quarter are in and they all point to real recovery. The latest issue of TRENDS ‘1st Quarter 2013 Update’ offers a comprehensive analysis of the activity in Miami-Dade and Broward counties from January through March. Overall sales continue to increase along with prices, which rose an average of 13.7%. Inventory continues to be absorbed quickly in both counties and there has been an 18% decrease in the number of properties for sale compared to the first quarter in 2012.

In the luxury sector of Miami-Dade, sales of properties in the $1-$5 million rage showed a 30% increase. Condos also did well, and now the average price per square foot is averaging $721. Condos in Coconut Grove, Miami and Brickell continue to sell, and Aventura has the most condo units closed with a 72.7% increase in sales over last year. Broward’s $1 million – $5 million condo sector had an extremely significant rise with an 85.7% increase in sales.

Overall both the Miami-Dade and Broward markets continue to show stability with the majority of higher priced sales in cash. International buyers are still strong but we have recently seen the return of the working wealthy start to make investments.

Mar 5

TRENDS: Annual Real Estate Market Report Is Now Available

Posted in Coral Gables, Ft. Lauderdale, Miami Beach, OneSir Press Room, Real Estate Market Report Comment

We are proud to announce that the latest issue of TRENDS: 2012 Year In Review is now available. This edition of TRENDS offers a comprehensive look at the Miami real estate as well as Fort Lauderdale real estate market by highlighting the activity in each neighborhood- from South Miami to Fort Lauderdale.

With the stabilization of the market, one of the key observations for 2012 was that it was the new 2002. The average sales price in both counties has increased from $446,000 to $620,000 in the last ten years, with a significant growth in the ultra luxury sector. Areas with Miami Beach waterfront homes, Coral Gables waterfront homes and Fort Lauderdale waterfront homes saw record-breaking sales that had been unmatched before. There are now only seven months supply of waterfront inventory in both counties and properties continue to sell very quickly. Residential properties with a closing price over $1,000,000 or higher saw a 27% increase in 2012.

With the recovery of the market, there are now close to 90 new condominium tower development underway. Combined, these projects will add over 12,000 new units to the overall inventory. Overall 2012 was a monumental year for real estate in South Florida and we are excites to present this data to you in TRENDS.

Click here to read the issue.

Jan 6

The Real Estate Impact of the Fiscal Cliff Deal

Posted in Real Estate Market Report, Uncategorized Comment

The real estate industry let out a sigh of relief when Congress announced the ‘Fiscal Cliff’ deal that took effect on January 1st. The deal extends tax breaks and includes deductions that are beneficial to homeowners across the country. The bill passed the House of Representatives with a 259-167 vote averting tax hikes and another impending recession.

Under the ‘H.R.8’ legislation the Mortgage Debt Relief Act has been extended through the rest of 2013. This means that distressed homeowners will not have to pay taxes on the forgiven debt of cancelled mortgages following loan modifications or short sales. This is a huge financial relief for owners experiencing short sales that would have chosen to go into foreclosure or bankruptcy had it not been extended.

There is also a deduction for Mortgage Insurance Premiums for homeowners with private mortgage insurance, FHA, VA, low down payment loans and with a gross income of $110,000 or less. These deductions can be written off on federal tax returns along with mortgage interest. (Inman News)

Another provision is a 10% tax credit (up to $500) for energy efficient home improvements as well as tax credits to builders and contractors on the construction of new homes that meet specific environmental codes. (National Association of Realtors)

In addition, Capital Gains taxes will increase to 20% for individuals with a gross income of $400,000 and joint incomes of $450,000 or higher, to be paid on the sale of real estate assets, stocks, etc. (MSNBC)

The real estate industry came out a winner in the final fiscal cliff negotiations, but it’s not unlikely that other tax issues and changes will arise later this year.

Jun 1

Miami Ranks Strong in the 2012 World Wealth Report

Posted in Real Estate Market Report Comment

Research presented in this year’s World Wealth Report places Miami as a significant city in the world’s prime property market.

London topped competing global cities as the number one favorite among high-net-worth individuals, followed by New York, Hong Kong and Paris. Miami ranked number six just behind Singapore, followed by Geneva, Shanghai, Beijing and finally Berlin at number ten.

Respondents from Latin America, however, put New York and Miami after London and not surprisingly, rated Miami as well as Sao Paolo as future contenders.

Criteria for best global city included personal safety and security as well as economic openness and social stability.

Nairobi and the Kenyan Coast ranked number one and two respectively in the Prime International Residential Index, which measures price growth in luxury residential markets.

Miami came in number three with a growth of 19.1%. Emerging markets were a driving force in 2011, influencing growth in Miami, London and Vancouver. Global wealth flows were key, with prime property buyers predicted to be Chinese, Russian, Middle Eastern and Latin American in the next five years.

In spite of economic downturns, the ultra-wealthy population continued to grow. According to Ledbury Research, there are 63,000 people worldwide with $100 million or more in assets. The US will still lead in 2016 with 17,100 centa-millionaires, but China will not be far behind.

High-net-worth individuals haven’t just been fancying real estate; they’ve also invested in art, wines and sport teams. According to the report, fine art investments increased by 25% since 2010. Wine rose by 11% and 24% additional investors set their sights on sport teams.

Knight Frank launched the in-depth research study in association with Citi Private Bank five years ago. To read the full report, visit World Wealth Report.

– Maria de los Angeles is a freelance wordsmith based in Miami.

May 25

RealTrends.com ranks ONE | Sotheby’s among TOP 10 firms in the US with the highest average sales price

Posted in OneSir Press Room, Real Estate Market Report Comment

RealTrends.com has released their 2012 Real Trends 500 Survey with detailed information on the 500 Largest Brokers in the U.S. as well as market leaders and up and comers. This annual research report identifies the country’s largest and most successful residential firms and is the most trusted standard in measuring their achievements. ONE | Sotheby’s International Realty made several significant appearances throughout the report as a market leader in South Florida surpassing other local firms in several categories.

Here are highlights from the 2012 Real Trends Report:

ONE | Sotheby’s International Realty ranked in the TOP 10 firms with the highest average sales price, with a mean average sales price of $928,052. This includes the highest Sotheby’s Affiliate and the highest in Florida.

ONE | Sotheby’s International Realty ranked #14 among all the other Sotheby’s International Realty Affiliates.

ONE | Sotheby’s International Realty ranked 3,145 by volume in the nation.

ONE | Sotheby’s International Realty ranked in the TOP 10 firms with the highest average sales price, with a mean average sales price of $928,052.

To download the full report visit: http://realtrends.com

May 25

The South Florida Luxury Real Estate Market Update – April 2012

Posted in Real Estate Market Report 1

The past year has been a year of stabilization and even modest growth (in some areas, not so modest), in the South Florida luxury real estate market. Miami-Dade county showed stable or mild improvement in most real estate market indicators such as months of inventory, average price, days on the market and list to sell price ratio. Broward County showed a robust improvement, up over 35% in pending sales and 45% in closed sales compared to this time last year accompanied by a dramatic drop in months of inventory.

Miami-Dade Luxury Real Estate Market Report by the numbers (all data for residential listings over $1,000,000)

Total Active Listing - 2,040 in April 2012 vs 2,203 in April 2011 – positive
Total Pending Sales (under contract) – 157 in April 2012 vs 118 in April 2011 – positive
Total Closed Sales – 113 in April 2012 vs 117 in April 2011 – stable
Number of Months Inventory – 18 in both April 2011 and 2012 – stable

Miami-Dade Single Family Home Luxury Real Estate Market Report

Total Active Listing – 936 in April 2012 vs 1084 in April 2011 – positive
Total Pending Sales (under contract) – 78 April in 2012 vs 52 in April 2011 – positive
Total Closed Sales – 54 in April 2012 vs 51 in April 2011 – stable
Number of Months Inventory – 17 April 2021 vs 21 in April 2011 – positive

ONE Sotheby's International Realty participated in the sale of 180 Arvida Parkway, which closed at $4,200,000

Miami-Dade Condo Luxury Real Estate Market Report

Total Active Listing - 1104 in April 2012 vs 1119 in April 2011 – stable
Total Pending Sales (under contract) – 79 April in 2012 vs 66 in April 2011 – positive
Total Closed Sales - 59 in April 2012 vs 66 in April 2011 – negative
Number of Months Inventory - 18 April 2021 vs 17 in April 2011 – stable

ONE Sotheby's International Realty participated in the sale of 100 S. Pointe Dr, #2008 which closed for $4,200,000

Miami-Dade Distressed Luxury Real Estate Market Report

Total Active Short Sales – 36 in April 2012 vs 55 in April 2011 – positive
Total Active REOs (Foreclosures) – 6 in April 2012 vs 7 in April 2011 – stable

Average $/sf for luxury homes in Miami Dade County

Broward Luxury Real Estate Market Report by the numbers (all data for residential listings over $1,000,000)

Total Active Listing - 803 in April 2012 vs 859 in April 2011 – positive
Total Pending Sales (under contract) – 63 in April 2012 vs 46 in April 2011 – positive
Total Closed Sales - 42 in April 2012 vs 29 in April 2011 – positive
Number of Months Inventory - 19 in April 2011 vs 29 in April 2012 – positive

Broward Single Family Home Luxury Real Estate Market Report

Total Active Listing - 588 in April 2012 vs 622 in April 2011 – positive
Total Pending Sales (under contract) – 50 April in 2012 vs 39 in April 2011 – positive
Total Closed Sales - 30 in April 2012 vs 22 in April 2011 – positive
Number of Months Inventory - 19 April 2021 vs 28 in April 2011 – positive

ONE Sotheby's International Realty participated in the sale of 2536 Lucille Dr. which closed for $4,410,000

Broward Condo Luxury Real Estate Market Report

Total Active Listing - 215 in April 2012 vs 237 in April 2011 – positive
Total Pending Sales (under contract) – 13 April in 2012 vs 7 in April 2011 – positive
Total Closed Sales - 12 in April 2012 vs 7in April 2011 – positive
Number of Months Inventory - 18 April 2021 vs 33 in April 2011 – positive

ONE Sotheby's International Realty participated in the sale of 4342 Elmer Dr, #2 which closed for $1,440,000

Broward Distressed Luxury Real Estate Market Report

Total Active Short Sales - 25 in April 2012 vs 39 in April 2011 – positive
Total Active REOs (Foreclosures) – 1 in April 2012 vs 1 in April 2011 – stable

Average $/sf for luxury property sales in Broward County