South Florida Real Estate
For single family homes as of December 2010:
- Median Price $172,000 vs $400,000 peak in May of 2007
- 8156 single family homes listed on the MLS vs a peak inventory of 17,070 in July of 2008
- Currently there is a 10 month supply. A 6-9 month supply is a stable market, so we are getting closer.
For condos as of December 2010:December 2010
- Median Price $101,000 vs $215,000 peak in January of 2008
- 15,116 condos listed on MLS vs 24,905 at peak in May of 2008
- Currently there is a 12 month supply, so we still have a ways to go to stabilize the condo market.
Even though several large banks froze their foreclosure process in September, there are still plenty of foreclosures coming on the market in Miami.
There are currently 827 single family homes that are listed as REO on the MLS. 423 of them were listed since October 1.
There are 1116 condos listed as REO. 640 of those have been added since October 1.
October’s median home sale price increased 12% to $199,100 compared to same time last year.
CNN came out with their most recent ranking of most (and least) affordable cities to buy a home. The good news is that no city in Florida made the least affordable list. The bad news is that no city in Florida made the most affordable either.
Okay, so the Miami Heat have won two in a row after their disappointing loss in Boston. With so much fanfare around the team, condos in the immediate area have decided to latch on to the Heat as a way to increase sales in buildings that are currently mostly occupied by renters. Other than the Heat, these buildings have a lot to offer location wise. Although there is still infrastructure in the immediate area missing (shopping and restaurants) outside of Bayside Marketplace, there is a lot the area has to offer. It is a quick drive to South Beach, located across from the future Museum Park and a stroll under I-395 to the Arsht Center for Perfoming Arts. So are you enough of a Heat fan to be compelled to buy in one of these new buildings?
According to RealtyTrac, foreclosure activity in South Florida will continue at high levels through 2010 and there will be a glut of inventory through 2013.
In the current market, 60% of active buyers interested in distressed propertys and 40-50% of sales involve a foreclosure or shortsale.
There are currently 36 short sales, single family homes, listed on the MLS in Coral Gables. They range in price from $3.95 million to $250,000
This house is listed for $1,340,000. Do these pictures do the listing justice? When most buyers start their search for a home on-line, good quality pictures are extremely important. They could be the difference between someone calling to schedule a showing or moving on to the next house for sale.
The recent decision by some banks to freeze their foreclosure process while they investigate their procedures for handling foreclosures has a mixed effect on South Florida’s real estate market. While it may be a good thing for distressed owners who really want to keep their homes, it is probably not a great thing for current buyers and the overall real estate market. The reality of too many homeowners who bought at the height of the market, owners who are currently underwater, unemployed, or simply bought way more house than they could afford when banks were in a lending frenzy, means the majority of homes in foreclosure now probably will still be there at the end of the investigation. Yes, there are stories of homes foreclosed improperly, including that of an owner who had paid cash on the house, and many of the banks and their foreclosure attorneys have become mills that may have filed paperwork incorrectly or downright fraudulently (this is the fraud capital of the United States, unfortunately). These procedures should be investigated, stopped and punished. In the meantime, buyers who are currently under contract are in limbo and the real estate market, which has been slogging through high inventories, may slow since approximately 40% of the home sales in South Florida are made up of bank-owned properties.