In order to give short sale properties an opportunity to receive “highest and best” offers, new Fannie Mae guidelines state that each new short sale listing must remain active in our MLS system for a minimum of 5 days and must include at least one weekend. If you are a buyer making an offer on a short sale, realize it may be a while before you receive an answer from the seller.
Take time to enjoy the last days of summer by enjoying some of the activities we tend to take for granted as locals.
Pinecrest Gardens – Splash and Play, petting zoo
Matheson Hammock – kayak and paddle board rentals
Venetian Pool – swim
Shark Valley – bicycle ride, nature photography
John Pennekamp – snorkeling, glass bottom boat tour
Visit a water park – slides, swim
Even though this close to the start of the school year sales should be slowing down, nothing could be further from reality. Our EWM office had over $20 million worth of sales this week, which represents a total of 31 sales. 5 of the sales went for the asking price and 3 went above asking.
The graph below is for single family homes in Pinecrest, a neighborhood known for its luxury homes on large lots community parks and great schools. Second quarter inventory in Pinecrest is down 12% from the same time last year, and based on both closed and pended sales for the quarter, there is only a 4.7 month supply of inventory. Although it is only a snapshot of one Miami community, it is indicative of what many communities are going through: tight inventories, increasing sales, and frustrated buyers.
As of the time of this post, the Miami real estate market has yet to hit the summer doldrums even though many buyers are taking time off to travel with their out-of-school-children. This week EWM’s Coral Gables office did over $16 million in sales and last week we did almost $30 million. Given the lack of inventory, in spite of all of the fact that Florida leads the nation in foreclosures, it is amazing that we are selling that much real estate.
It must be our beautiful views, waterfront properties, international clientele, and numerous outdoor and cultural activities that keeps drawing people here.
Sorry, I had to remove the video because the unit rented in one day!
One of my favorite things about summer is that it is mango season. This year, Fairchild’s Mango Festival features the mangoes of Mexico. I have no idea where the mangoes I buy from my neighborhood pop-up mango stands are from but they are all delicious. When you are done at the Festival, drive through the streets of Pinecrest and stop by one of the stands. They are Miami’s version of the kid’s summer lemonade stand up north and if you get more mangoes than you can eat, freeze the overripe ones for making smoothies, deserts, and salsa, long after the season is over.
If you still have your Sunday, July 7 copy of the Miami Herald, there is $2 coupon for the Fairchild Festival on page 3M.
I will be spending the 4th of July at a friend’s house, celebrating her birthday. If you don’t have plans for the day, here are some ideas on where to celebrate and watch fireworks:
On land (FREE)
At Sea:
Many of my clients have been calling me, shocked at how rapidly home prices have risen over the last year and questioning whether the South Florida real estate market is entering a new bubble. Although this graph confirms that prices have gone up, we are a long way off from the peak. Given that we arrived at inflated pricing due to speculation, easy and bad mortgages, and fraud, I think we will stay off the peak for quite a while.
The reason for our current rise in prices is due to a lack of inventory. Many homeowners who bought at the peak are still under water and will be for quite some time; foreclosures and short sales have been slow to work through the backlog; there are investors with large amounts of cash looking at real estate; mortgages are still difficult to get; and appraisals have been off of what buyers with mortgages are offering thereby keeping owner/occupiers out of the housing market. Now that builders have started to construct new homes and buildings, inventory should start to creep up again.
Based on the Miami Herald’s Economic Time Machine in the July 1 Business Monday, at the current pace of value increases, we won’t hit a new peak until July of 2018.
Today is the beginning of Miami Spa Month, which is really two months since it lasts through August, where you can get $99 treatments at some of Miami’s most luxurious spas. I tried the Aquavana Experience at Canyon Ranch and thoroughly enjoyed it. I am looking to squeeze in a couple more before the end of August.
One of the great things about living in Miami is how easy it is to travel abroad. Today I am leaving for Quito, Ecuador which is just a 4 hour and 20 minute flight from Miami. Although this country has been in the news of late due to Edward Snowden and is a bit testy toward the U.S., Ecuador is a huge exporter of goods and services to the U.S. and we gain a lot from trading with them. Some of the main exports to the U.S. are shrimp, bananas, brocoli, coffee and chocolate.
Pacari Chocolate has been growing in populatrity in the U.S. and has participated in the Fairchild Garden Chocolate Festival. Republica del Cacao has also been winning awards in the U.S. I am looking forward to bringing back a stash of both!
