Elizabeth Taylor was given La Peregrina Pearl, which was found in the Pearl Islands off the coast of Panama.  Christies will be auctioning off her collection this week in New York.

EWM is Christies exclusive affiliate in Miami-Dade and Broward Counties.  EWM is the listing agent of second largest island in the Pearl Islands, San Jose Island.

Related blogs:

Elizabeth Taylor Collection Auction Taking Place This Month

San Jose Island, Panama:  How Big Is 11,000 Acres?

San Jose Island, Pearl Islands, Panama

Over 57 beaches on the island

According to the article, you have 8 seconds to make a first impression, whether good or bad. Three quick and relatively inexpensive fixes for the front of your house include:

1. Mulch existing landscaping
2. Put colorful potted plants on front porch
3. Place attractive porch furniture on the porch

More Proof Miami-Dade’s Housing Market is Turning Around

Investors Are Taking A Bite Out Of Inventory

Miami Real Estate – Commercial Construction Also Picking Up

Miami Real Estate: More Signs the Market is Improving

Miami Real Estate: The Market is Changing

Recent studies throughout the country have shown that more people want to give up commuting, and the accompanying high gas bills, and live in more walker friendly neighborhoods.  So, what is your home’s walk score?

In order to make it through inspections, you may want to fix the little things you have been meaning to since you listed the house, such as the faucet that started dripping or the burned out light bulb.  These things sound minor, but they can add up in an inspection report.

If you did not have a list of all of the upgrades you have done to the house, make sure to make one now and give it to the appraiser.  In today’s market there are so many distressed properties, many of which are in poor condition, dragging down pricing, it can help to highlight your home’s main attributes, such as new appliances, roof, etc.  Even if your house is in great condition, do not be surprised if your home does not appraise.  Recent changes to the process have resulted in much more stringent appraisal standards.

If you need to sell, now is the time to do it since inventory is decreasing and there is demand.  Remember to price it right, however, since pricing is everything in this market.  If you don’t need to sell, but want to take advantage of the current market, use it to move up, downsize, while you rent out your current home.  Alternatively, stay in your home and buy a rental property. 

If you are planning to buy, now is definitely the time to buy due to a combination of low interest rates and low prices.  If you don’t buy soon, you may find yourself priced out of the market or with even more limited choices.

Today I took a cash buyer to see a very nice home in north Coral Gables.  It is a 3 bedroom 2.5 bath, 1985 square foot home on a 7,000 square foot lot.  It has an above ground pool (can’t believe that got permitted in Coral Gables, but that is the subject for another blog) and has been very nicely updated.  The garage was converted into a playroom.  As we were walking through the house, the agent kept pointing out all of the items that would not be staying:  curtains, washer, dryer, some lighting fixtures.  After we were done seeing the house, the agent told us what we already knew, “The house is overpriced”.  When we asked her if what the sellers were thinking, she responded “They think their house is so nice and updated that it is worth more than anything in the neighborhood”.  I told her it would never appraise.  She said she knew, but to make an offer anyway, the sellers were motivated, they were buying another house and already had a contract on one.  Here is the problem:  the unrealistic sellers have the house priced at $690,000, down from $712,000.  The absolute highest comp, based on tax rolls and the MLS put this house at $498,000.  Even stretching, the highest price for a 3/2.5 in that area, but with larger square footage sold for $540,000.  How does a buyer even begin to make an offer?  They don’t.  They go on to a more realistic seller.

The moral of the story is:  If you don’t need to sell your house at today’s prices, then don’t.  Wait for the time to come when the properties will appreciate.  If you need or want to sell your house now, price it realistically.

• Closed sales: 90.  Low of $270,000, high of $4,000,000. 7 were bankowned (REO), 10 are short sales or approximately 19% distressed sales.  57 closed in the second quarter.
• Pending sales: 48.  Low of  $265,000, high of $2,150,000. 3 are REO, 17 are short sales.  Almost 42% are distressed sales.
• Active sales:  160.  Low of $269,900, high of $5,000,000 ($4,999,999 to be exact!).  3 are REOs. 14 are short sales.  Only 11% distressed listings.  64 were listed in the second quarter.

What does this mean if you are a seller?  If you want to sell your home during the end of the summer buying season, drop your price now.  Homes are selling and people are still looking to buy in Pinecrest because of the quality of the public and private schools, parks, and good size lots.  If your home needs a lot of work, you are going to have to drop the price even further.  Buyers are looking for homes that need minimal updates.  If you don’t drop your price now, you are going to have to drop it even further come the beginning of the school year.

If you are a buyer, the numbers mean there aren’t as many “deals” in terms of short sales and foreclosures.  Those that are on the market, are priced well, and in reasonably good shape are going to have multiple offers, because there are fewer of them.  If you are financing your purchase, you are better off using the numbers to make an offer on a well priced, non-distressed listing.

Closed sales:  94. Low of $190,000 to a high of $25,500,000.  9 of the closed sales were foreclosures, 6 were short sales.   Only 16% were distressed sales. 49 closed in the second quarter.

• Pending sales: 57.  Low $200,000 to a high of $14,900,00. 2 of the pending sales are foreclosures, 23 are short sales.  Almost 44% distressed.  21 went pending in the second quarter.
• Active sales: 282.  Low of $205,900,high of $49,995,000.  16 are short sales, 1 is a foreclosure. Only 6% distressed.  76 of the active sales were listed in the second quarter.

What does this mean if you are a seller?  The good news is that the majority of the closed sales are not distressed sales.  If you are priced right for a buyer’s market, you have a closing window of opportunity to sell at a higher price than you will get later this year.  I think prices of active listings are going to come down as we come closer to the end of the summer buying season.

What does this mean if you are a buyer?  Many buyers are still looking for a “deal” without realizing that they are already looking at one.  Just because a property is not a foreclosure or a short sale, does not mean it is not a good deal.  A lot of sellers have come down significantly in their pricing, in large part due to the pressure of distressed properties on the market.  As the distressed properties listed for sale decrease, they become less of a factor on the overall market.  If you are financing your property and only looking at distressed sales, you are going to have even more frustration as you are competing with cash buyers.

Note:  These numbers are going to change a bit due to fluctuations at the end of the month when a lot of properties status changes, but those changes don’t get recorded in the MLS until the following month.