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The Miami Beaches Market Pulse – April 2017 Results

Christopher J. Lazaro, MBA Licensed Real Estate Broker & REALTOR® Christopher J. Lazaro, MBA, Licensed Real Estate Broker & REALTOR®, 1-800-798-9192 ext. 333, License #: BK3252123, Metro International Investments, MLS: http://REBroker.Miami
Floatopia - Miami Beach - April 2017

Floatopia – Miami Beach – April 2017

Market Activity & Neighborhood Reports by Zip Code for the Miami Beaches

April was a great month, personally, and I was able to take some time off to enjoy the beauty of the Miami Beaches for my 43rd Birthday!  Spring was certainly in the air, and the ending of the winter season was evident as many homes and apartments were once again shuttered as the snowbirds head back north to their summer homes.  However, none of this seems to lighten up the traffic on Collins Avenue, unfortunately!

33139 – South Beach

 

Click here to receive the 33139 Market Activity Report

Click here to receive the 33139 Neighborhood Report

MLS Sales Volume is at a 3 year low.  Listing Volume is at a 3 year high.

This is perhaps one of the worst reports I have seen for South Beach yet, however, as prices have slowly started to come down this has resulted in less time on the market; but still, the average home sits on MLS for 4 months, which is WELL ABOVE (not a good thing) the national average of approximately 35 days on the market! (See: https://themortgagereports.com/27536/nar-existing-home-sales-median-days-on-market-march-2017).  Pricing still has room to correct lower; it is a Buyer’s market and the current demographics (Millenials and BabyBoomers seeking to downsize) that are solidly in the market to purchase a home are seeking 1) value and 2) open kitchens that are well equipped (not exactly a common feature of South Beach properties in the sub-400K price range.)  In my experience over the past 2 years, this has been a big problem with Buyers in that price range seeking a home in 33139 and elsewhere throughout the Miami Beaches.

33140 – Mid-Beach

Click here to receive the 33140 Market Activity Report

Click here to receive the 33140 Neighborhood Report

MLS Sales Volume is at a 3 year low.  Listing Volume is at a 3 year high.

Certainly not a stellar report here either and listing prices have been trending steadily lower for months!  Sales volume is abysmal and Listing volume spiked markedly higher.

33141 – North Beach & North Bay Village

Click here to receive the 33141 Market Activity Report

Click here to receive the 33141 Neighborhood Report

MLS Sales Volume is near a 3 year low.  Listing Volume is at a 3 year high.

Listing volume spiked higher in April, but to be fair Sales volume came up off of its lows; while still down year over year, there was a substantial decrease in average time on the market. I have long pounded on the subject of 33141 offering the best values available on the Miami Beaches…at least 2-3 years now; and at the time, the Median Estimated Home Value was in the 200k range…now it has just inched above 300K!  I told you so 😉.

33154 – Bal Harbour & Bay Harbor Islands

Click here to receive the 33154 Market Activity Report

Click here to receive the 33154 Neighborhood Report

MLS Sales Volume substantially off of its 3-year lows.  Listing Volume is at a 3 year high.

In light of the other zip codes in the Miami Beaches, not a terrible report.  Bal Harbour and Bay Harbor I remain one of the most sought after places to live in the United States.  The area is beautiful and the restaurants & shopping are first class. Median Listing Volume vs Median Sales Price continues to trend sideways demonstrating a rock solid stability.  Do not expect much price flexibility in 33154.  The area has had a substantial correction already and time on market has decreased by 5% as wealthy buyers are seeing more value and less downside risk.  Note the “chop” in Median Sales Price vs Sales Volume I called out a couple of times over previous articles.  These graphs can be misleading when big ticket homes sell and skew the graph.  Median Listing Price vs Listing Volume is a good indicator for where the meat of the transaction market is really at.

33160 – Sunny Isles Beach, Eastern Shores & Golden Beach

Click here to receive the 33160 Market Activity Report

Click here to receive the 33160 Neighborhood Report

MLS Sales Volume appears to be settling into a “New Normal” and is off of its lows, but 33-50% off of where its previous “normal” was just2 and 3 years ago.  Listing Volume notched a NEW 3-year high.

Median Listing Prices are falling, specifically because of increased inventory on the west side of the A1A. I am noting a lot of turnover in progress in areas like Winston Towers.  Having personally shown more than 30 properties on the west side of the A1A in the past 60 days I can objectively state that Sellers & Prospective Sellers need a reality check on values.  Too many apartments are priced in the 300s when they should be in the 200s (because they need 100K in updates), and some are getting aggressive with pricing units in the 500s, when in fact the market is at 450K (for 1800-2300 sqft units in Winston Towers).  Just because a similar size unit in the same building sells for 350K (hypothetically), a Seller should consider the condition it was sold in.  Was it updated?  New Kitchen?  New Bathrooms?  Buyers are typically not stupid, especially if they have a good Broker who takes the time to show them and educate them about every aspect of the type of home they are looking for.

In other news, the frustrating traffic in Sunny Isles will not be letting up anytime soon.  Aside from the tower construction projects that are in progress, Sunny Isles Beach is also sinking the power lines into the A1A, which is a good thing.  What is not a good thing: I read the Sunny Isles newsletter recently and, apparently, it is a project that will NOT complete for another two years!  Despite the traffic and what appears to be years of construction remaining ahead of us, I love living in Sunny Isles Beach, and given that I live here, walking is often far more pleasurable (and safer), than driving.

For the official April 2017 Market Focus Report from the Miami Association of Realtors®, view the video here:  https://youtu.be/XOh5T98R9ao?list=PLXlUiLzqHSaKnrq3ylH4k-4Pw-2yPW12M.  It is certainly more upbeat than my blog, but the bright side of the Miami market is in single family housing, particularly the RE1 (single family housing) market outside of the Miami Beaches (the vast majority of dwellings in the Miami Beaches are condos, obviously, and that market has been feeling the pain for a couple years now).  In addition, one would be hard-pressed to find affordable (100-400k) single-family homes in the Miami Beaches, but that is quite an easy task when considering the entirety of Miami-Dade County.

Well, that concludes my April 2017 Miami Beaches Market Pulse Update.  I am now working on my May updates and will have them out when I have completed my analysis.  If you are a Prospective Buyer or Prospective Seller and wish to have a consultation with me, call me anytime for the most current information I have available and let’s discuss your goals.

 

 

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About Christopher J. Lazaro (45 Articles)
I am a Licensed Real Estate Broker specializing in Residential Real Estate transactions from Downtown Miami, through the Miami Beaches and into Fort Lauderdale along the US1 Corridor and East. Whether you are a First Time Home Buyer, an Institutional Buyer, or Private Investor, I will be happy to provide you a consultation to evaluate your real estate investment goals. I can be reached at 1-800-798-9192 ext. 333. My MLS Website can be found at http://REBroker.Miami. I am a Qualifying Broker for and partner in, Metro International Investments.

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