Aventura real estate

In the last 12 months, the luxury Miami real estate

has experienced an unprecedented amount of growth. Many individuals interpret this information to mean that the housing market is making a comeback. While the evidence certainly points towards this, what most people do not realize is that foreign capital has become a significant driving force behind the growth of luxury sales in the city.

In particular, prospective buyers from Latin America are flocking to Miami in droves. In a recent fourth quarter report, released by Marcus & Millichap, it was stated that foreign capital from Latin American countries was the single biggest force behind multi-family acquisitions. The growth of the local economy in Miami remains so-so, but according to the report, “expanding access to acquisition debt at low interest rates and rising rents are sustaining investor demand.�

Miami homes

as well as Miami condos in upscale areas of Miami, like Miami Beach, have begun to exchange hands with a first return of roughly 5%. By comparison, similar acquisitions in nearby Coral Gables are producing first year returns in the low 6% range. Another section of the report has this to say on the subject:

“Miami-Dade also continues to cement its stature as a safe haven for Latin American and European capital, and many foreign buyers are stepping up multi-family acquisitions, frequently in all-cash deals.�

However, it is not just interest from Latin American buyers that is fueling growth. Purchases made by buyers from China, India, and Brazil have become quite common. In particular, Brazil and India have become home to individuals with new wealth, which is affording them the opportunities to purchase homes abroad that were not present before. Other buyers are choosing to sink their cash into the Miami waterfront homes as well as the housing market as a whole, creating a safe method of protecting their wealth.

Lawrence Yun, who is the head economist for the National Association of Realtors, stated that 77% of Miami’s high end realty firms had worked with foreign buyers in the last year. In contrast, only 27% of high end realty firms in the United States had worked with foreign buyers in the last year. These levels of interest have been unprecedented. In an effort to protect their privacy, many foreign buyers make their purchases behind the shield of lawyers and limited liability companies.

The prospects for the Miami housing market in 2013 appear to be solid. In addition to the influx of foreign buyers, other factors, such as falling vacancy rates and an increased pace of job growth, have the housing market looking healthier than it has in years. Another exciting component is that an increased number of Latin American based companies are now choosing to make Miami their headquarters. As more and more individuals with buying power begin to transfer their home base to Miami, it is expected to fuel the growth of the housing market even more.

It is going to be exciting to see what 2013 brings this year.

The June Miami real estate data

released by Miami Association of Realtors indicate that the pending sales of condos and single-family homes in Miami rose 22%, compared to the same period in 2011. “Despite low levels of housing inventory in Miami, pending sales activity continue to point to strong future sales,� said Martha Pomares, chairman of the board of the Miami Association of Realtors. “Dwindling supply, coupled with rising contract activity, will continue to drive price appreciation in Miami-Dade.�

Several other factors indicate very strong activity as well as sizable deals taking place. One such deal is the home at 1473 North Ocean Boulevard in Palm Beach was just sold for $41.5 million, making it the largest sale since 2008.

There are many other factors point to a healthier and more stable real estate market. Let’s take Sunny Isles Beach real estate market for example. During the spring of 2012 a combined value of $27.2 million were paid for 10 priciest luxury condos in Sunny Isles Beach, averaging about $750 per square foot. The original asking price for these condos were $31.7 million, which averages to about $870 per square foot. This indicates that the selling price was about 12% off the asking price.

As of August 1, 2012, there are about 30 condos sold and under contract in Sunny Isles Beach above $1 million, making a median asking price of about $680 per square foot. Currently there are only 50 condos actively available in Sunny Isles Beach with a minimum asking price of at least $1 million, making the median asking price of about $750 per square foot. During the second quarter of 2012, more than 50 luxury condos in Sunny Isles Beach were sold with the asking price of at least $1M. There were only 35 units sold in the same period of 2011.

The same is happening for South Beach real estate. The luxury condo resales for the second quarter of 2012 has increased, with a minimum asking price of at least $1 million, to about $570 per square foot, compared to the same period of 2011 where the median price was about $560 per square foot.

However, during the second quarter of 2012 the rental activity in the Sunny Isles Beach market has decreased by about 10% due to diminishing inventory and rising rent prices. In fact, the average rent prices rose to about 18% in Sunny Isles Beach for luxury ocean front condos, in 2012. Tenants leased nearly 215 residential properties in the Sunny Isles Beach market between April and August of 2012 compared to about 235 properties in the second quarter of 2011. A year earlier in 2010, tenants leased nearly 230 residential properties in Sunny Isles Beach. The demand for rental units in Sunny Isles Beach is increasing with the season approaching, but the already low rental inventory is decreasing.

During the last 10 years, 23 new high-rise projects were developed in Sunny Isles Beach with nearly 6,000 apartments. There are currently no developer units as the inventory is completely sold out for all existing high-rises in Sunny Isles.

As of the second quarter of 2012, 9 new luxury towers are scheduled to be built with nearly 470 units.

For more information on new or existing units, please contact Lana Bell at 1.877.368.2318.

There may have been a time when the housing market throughout the United States has struggled, but that time is over. Now, South Florida is seeing a rise in homes and home construction that is sure to appeal to any buyer interested in the area. Just take a moment to look at Sunny Isle Beach real estate. This greatly sought after area, ideally located on the Atlantic ocean in the North Miami Beach, has quickly become the most desirable area to live in. In fact, according to Forbes magazine, Sunny Isles Beach falls into the top three cities in the world to live in. With its close proximity to the city and its perfect location along the beach, this is a residential area with lots of shops, supermarkets and activities, which makes it the area to move to. Nestled on a strip of beach between the upper scale areas of Golden Beach and Bal Harbour, Sunny Isle Beach is certainly a hot spot.

Nine New Condominiums In Sunny Isles Beach

The best way to see just how hot Sunny Isle Beach is would be to look toward the future. Not just one or two condominiums will soon be built. In fact, nine new condominiums will go up in the near future. Are you looking for luxury living right on the ocean? Then consider one of these luxury condominiums that will soon grace the sandy waters of Sunny Isle Beach:

• Regalia
• Porsche Tower
• Mansions at Acqualina
• 400 Sunny Isles
• Chateau Beach Residences
• Three new St. Tropez Towers

The Life of Luxury

Anyone knows that condominiums on the beaches of Miami offer the life of luxury. Why not choose to live in a location that is brand new? These new condominiums are sure to offer the very best security from top of the line security and technology to pampering options like spas and saunas.

Sunny Isle Beach itself offers plenty of luxury as well. For the most part, this area has not been discovered like other areas of the coastline. For that reason, the area offers more parks than any other community in the Miami area. This means you will be able to offer a more private life of luxury. You will be able to get away from the busy life of Miami so that you can enjoy beautiful beaches and plenty of open space. Then, when you want, you will just be minutes away from the main areas of Miami. It is like having the best of both worlds!

Choosing South Florida

There are many reasons to choose South Florida for a condominium. This area offers plenty of sunshine and golden beaches. In addition, there is plenty to see and do. The Miami area is the center of activity for Sunny South Florida making it a sought after place to live. Sunny Isle Beach is certainly gaining attention as the best location in the South Florida and Miami area.

Are you ready to choose a top of the line condo with plenty of private beaches? This is just what you can gain from Sunny Isle Beach. There are plans for not one or two condominiums but actually nine different condos that will offer the true life of luxury in the world renown city of Miami. Come home to the sun and sand.

The luxury market in South Florida is exploding, with record-breaking residential listings as high as $125 million for the recently-listed former Versace mansion. But with prices that look like those of 2006, some are warning that Miami’s high-end market might be forming another bubble, CNBC reported. It is the type of speculative, largely foreign buyer in South Florida that worries experts. If Europe’s economy collapses, or if global markets fall back into a recession or even slow, the market for Miami’s pricey real estate could collapse overnight. “This is flight to safety for these buyers, an investment decision,� said Jonathan Miller of Miller Samuel Real Estate Appraisers and Consultants. “The question is, how long and how far will it go? Does this create a bubble at the very high end in these specific markets?�

In the meantime, the new condo transactions at the St. Regis Bal Harbour Resort & Residences as well as Mansions at Acqualina are off to a great start. About 170 units have been closed at St. Regis Bal Harbour Resort & Residences totaling more than $623 million in the first seven month of sales! In addition, deposits for about 80 units were collected at Mansions at Acqualina in the first 5 weeks of the sales center being open.

Buyers are purchasing these super-luxury, ultra-exclusive properties at an average $1,500 sq.ft. and paying on average between $1,2M to $13.5M dollars. This is a sure sign of Miami real estate exploding once again with prices breaking all previous records. The properties are up by 20 percent just this year, which even breaks the peak of 2006 year.
“Miami is hot and it’s not just the weather!� said Jack Levin, chairman of the Miami Association of Realtors.

Consider the stats: The lion’s share of Miami’s high-end real estate is now bought by foreigners. In 2010, according to the National Association of Realtors, Florida accounted for more than a quarter of the $82 billion in sales to international buyers.

The average price paid by those buyers was $400,000, against an overall U.S. average of $212,000. Sixty-two percent of international purchases were all cash, a percentage that has been increasing since 2007.

Real-estate economists and brokers say most of the foreigner investors are rich families from Brazil, Argentina, Venezuela and Russia. These families are growing increasingly nervous about threats to their wealth from economies and governments back home and are looking for a safe place to store their cash.

Miami is an ideal location, offering all the safety of the United States with the fun and mildly exotic feel of southern Florida.

In other words, Miami’s boom is not a broad-based market recovery driven by local families needing a home. It’s being fueled by a tiny top slice of super-rich overseas buyer looking for the latest hot investment.

As of the end first quarter in 2012, buyers had purchased nearly 45,000 condos in Miami, Fort Lauderdale and Palm Beach areas. They’ve spent over $22 billion dollars. Currently the developers are proposing at least 32 new condo projects with nearly 6,300 units in each of the tri counties Miami-Date, Broward and Palm Beach.

As of June 2012, nearly 1,300 luxury condos priced at $1 million or more are available for resale in the South Florida market where buyers are purchasing an average of about 75 units monthly between January and May of this year, according to the data.

A thousand years ago it was said that “all roads lead to Rome”. Today, there are real estate buyers from Rome as well as hundreds of other cities around the world are all buying Miami real estate as well as properties in South Florida.

During the most recent 2012 Real Estate and Economic Forecast Conference in Orlando, John Tuccillo, chief economist of Florida realtors, had said “I think we’ll see a steady and stable stream of international sales this year”. The residential demand is up again this year from buyers from Canada, Latin America, Europe and other parts of the world. Lower prices and favorable exchange rates have promoted purchases in Florida.

International buyers are ideal clients. They buy higher priced properties and most of the transactions are all cash, according to studies done in 2011 – Profile of International Home Buyers in Florida, prepared by National Association of Realtors. In fact, 77% of sales professionals reported that they had worked with an international customer in the preceding 12 months, up from 65% in 2010.

“This number may even be lower than the true number, because many foreign buyers do not use their foreign address” said Lana Bell, owner and founder of Sunny Realty. Many foreign buyers have already established residences in Miami and are looking to upgrade. In addition, many companies are relocating to Florida, including job-creating multinational companies, which is another positive factor for Miami’s international market.

According to 2011 survey, Canada is Florida’s top international market, accounting approximately 39% (up from 36%). In contrast, United Kingdom accounts for 7%, German buyers – 5%. The biggest jumps occurred in Latin America, where Brazil’s share of International market rose to 8% and Venezuela’s to 7% (both had been 3% in 2010).

Overall, foreign buyers were likely to purchase in a resort area or in a central city, like Miami. In Miami, Brazil and Russia are leading sources of international buyers, especially for condominium purchases in areas like Sunny Isles Beach, Miami Beach, Hollywood, Hallandale, Aventura and Bal Harbour. In areas like Key Biscayne, we see buyers from Argentina, Peru and Europe.

“Our agency serving buyers from South Africa, Australia, UK, Norway, France, Brazil, Russia, Canada and Latin America”, says Lana Bell, founder and owner of Sunny Realty. “About 85% of our transactions involved a foreign buyer” said Lana. From luxury Miami homes to stunning Sunny Isles Beach condos the real estate in Miami offers more than anywhere else in the world.

Two words sum up Florida’s appeal for international buyers: vacation and value. With its beaches, golf, tennis, shopping, boating and cultural and tourist attractions, Florida has been a global vacation destination for four decades now. Today, Florida also offers excellent value for international buyers compared with vacation destinations in Europe, the Middle East and Latin America.

The 2011 survey found that 41% of foreign buyers purchased a property as a vacation home, 23% intended to rent it, 25% planned a dual use and 6% bought it for a retirement home. While many foreign buyers prefer easy to maintain condos, others buy single family homes and some purchase multiple properties in the same location. “We attract international buyers in many different ways”, says Lana Bell of Sunny Realty. “I speak Russian, but my agents speak Spanish, Portuguese, French, German, Hebrew, so there is never a language barrier between us”.

We can expect a continued pattern of strong activity in the international sector, led by demand from Latin America as well as other emerging markets, according to Lawrence Yun, chief economist of the NAR (National Association of Realtors). Follow the trends in foreign currencies, because exchange rates are definitely a driver for international buyers, and Florida continues to be seen as a desirable place to buy.

The latest report from Miami Herald (http://www.miamiherald.com/2012/02/08/2631956/construction-spending-finally.html) indicates that the construction spending in South Florida rose for the fourth month in a row in Broward County in November 2011, joining Miami-Dade County as areas with sustained growth in the real estate sector. “We’re seeing a lot of custom-home building,� said Bernie Navarro, head of the Latin Builders Association. “You see it in Key Biscayne and Coral Gables and Pinecrest. Those places had fallen to zero. Now they’re back on.� While construction employment is falling, the losses are more narrow than previously. “It’s going better than I expected six months ago,� said David Denslow, an economist at the University of Florida. “Remember, six months ago we were worried about a double dip. Now all of the evidence is pointing the other way.�

The Hollywood and Hallandale Condo resales

jumped in 2011 as well. Buyers purchased an average of 140 condominium units per month in the Hollywood and Hallandale Beach areas showing an increase in 2011 of nearly 20 units per month from 2010. This is due to the influx of investors chasing discounted condo resales that can be leased out to tenants who are willing to pay higher rents.

Latest report indicate that office vacancy in Miami-Dade County was at 19.1% at the end of 2011, according to data from CBRE Group’s Florida Market Perspective 2011. There was a total of 44.1 million rentable square feet in the county, and 8.4 million vacant. Last year saw net absorption of 64,238, with 359,630 square feet under construction, with the average asking lease rate in the county at $30.32. “The Miami office market has gained strength during 2011 with tenant activity picking up,� said Carter Hopkins, first vice president at CBRE. “The market should continue to strengthen in 2012.�

In addition to single family homes in Miami

the pre-construction condo sector is also on the rise. Fueled by steady pre-sales at the nearby Apogee Beach Hollywood condo, Jorge Perez of the Related Group is planning a new 31-story tower with condo and hotel units fronting the Intracoastal Waterway in the Hollywood nad Hallandale Beach coastal market of Southeast Broward County.

Despite the unsold inventory, the Related Group broke ground on the 23-story Apogee Beach condo tower on the sand just north of Hallandale Beach Boulevard in December 2011. As of Jan. 30, 2012, buyers have committed to purchase 41 out of 49 units in Apogee Beach project, according to company marketing material.

The path to development for the proposed Beachwalk tower – a few blocks west of the Apogee Beach project – is shaping up to be a bit more complicated initially. The proposed Beachwalk tower – which would stand 305-feet high with 84 residential units and 432 hotel rooms. Beachwalk is the 22nd project to be proposed east of Interstate 95 in South Florida. If they are all built, the projects would add nearly 4,400 units into a market that had 4,200 developer units unsold at the end of last year.

A Related affiliate bought the Beachwalk development site, home to Manero’s Steakhouse for five decades, for more than $2.9 million from TD Bank in May 2011. The Beachwalk project is slated to cost $60 million to construct and have a market value of $80 million at completion.

Related is also planning to start construction in two weeks on its MyBrickell condominium in Miami. To date, about 80 percent of the 192 units are under contract, with buyers paying a 20 percent deposit, the company said. It would be the first new condominium project to break ground in downtown Miami in several years.

Developers seeking to launch new condo projects are focusing particularly on the high-end market, which continues to dominate because of the ability of its prospective buyer pool to pay cash for units. The 70-unit Bellini Williams Island – a high-end condominium in Aventura’s William Island recently broken ground.

Being a broker of Sunny Realty and providing one of the most used resource for Miami real estate (http://www.sunnyislesmiamirealestate.com/) I’m often asked: “how’s (Miami) real estate these day?”. Unfortunately I can’t just answer this question simply – “good” or “great” or “better”. When I start to explain that Miami basically has the best and worst real estate in the country, people think I’ve gone nuts and trying to sell them a story. However, here is The New York Post recent article By ANDY WANG.

Summer was hardly a vacation for those in the business of selling Miami condos.

“I didnt go to St. Tropez because of this”, says developer Gil Dezer, whose Sunny Isles Beach condo projects include the 384-unit Trump Royale and the three-building, 813-unit Trump Towers.
Dezer reports that he sold more than $100 million in Trump units during June, July and August ($50 million alone in August, including a $29 million, 34-unit bulk deal). He has closed more than $1 billion in Trump condos overall and has only about 75 units left.

Recent Trump Towers Condos sales

have been priced at about $525 per square foot. Thats significantly less than the $1,000-per-square-foot contracts buyers walked away from in 2009 after the financial crisis hit, but Dezer, whos paid off the construction loans for all four buildings, seems satisfied. (Donald Trump participated in a ceremonial Trump Royale condo mortgage-burning ritual, lighting the document on fire himself, in January.) The downturn made the job challenging, Dezer says. Every day was a battle. But when youre winning, its fun.

Winning could also be used to describe the situation at Icon Brickell. That nearly 1,800-unit downtown colossus, built by the Related Group with designs by Philippe Starck, seemed to be in peril not long ago, and two of its three towers were deeded back to its lenders in May 2010. But Icon Brickell Condos now nearly sold out, with more than 1,500 units closing for a total of more than $700 million. When you factor in units in contract, only about 30 condos remain.

I think the market has consumed the inventory in a much more rapid way than I and probably everybody thought, says Related Group chairman and CEO Jorge Perez, who adds that most buyers have been foreign. The Latin American economy has been strong.

The forecast was that we would sell all the units in three years at an average price of $350 per square foot, says Edgardo Defortuna, president of Fortune International Realty, which started selling Icon Brickell apartments in June 2010.

Less than a year and half later, Fortune is almost done and seeing prices at about $400 per square foot.

Demand has been so strong that Perez is now building another downtown development. The 192-unit MyBrickell is a couple years away from completion, but Relateds received over 60 reservations for condos before officially launching sales. Unlike Icon Brickell, MyBrickell isnt on the water, and Perez is passing on the cheaper construction costs and the deal we got on the land to offer units, with interiors by Karim Rashid, for about $300 per square foot.

Defortuna, meanwhile, is now selling downtowns Paramount Bay, a 346-unit building resurrected out of foreclosure by owners iStar Residential and ST Residential. Musician Lenny Kravitzs Kravitz Design firm is working on the building, where prices are about $400 per square foot.

South Beach real estate

with significantly pricier properties, is seeing lots of action, too. The summer was uncharacteristically busy, says Lana Bell, president of Sunny Realty, which has an office in South Beach and Sunny Isles Beach. We certainly didnt take a vacation.

According to Sunny Realty latest Miami market report, South Beach condos sold for an average of $515 per square foot during the third quarter. But this factors in distressed properties, including units bought out of foreclosure.

At the markets top end, the W South Beach Hotel & Residences has closed about $260 million in condos at an average of $1,700-plus per square foot, developer David Edelstein says. The W South Beach sold more than $50 million during the summer. One penthouse went for $7.7 million, north of $3,000 per square foot, Edelstein says.

As with much of Miami, foreign buyers have been key at the W. (Douglas Elliman translated its market report into Spanish and Portuguese to spur international interest.) From May through September, about 65 percent of Edelsteins purchasers were foreign, and about half of those were from Brazil.

The allure of the W has helped nearby condo buildings lure in buyers, including those from New York.

Fashion designer Irina Shabayeva, who won season six of Project Runway, owns a one-bedroom with a balcony at the 52-unit Boulan South Beach development just south of the W, but on the other side of Collins Avenue.

I like the Boulan because it was so new, really fresh and modern, says Shabayeva, who primarily lives in the East Village. And its across the street from the beach and the W.

Shabayeva says she enjoys the New Yorker-friendly amenities at the W, which include a Warren Tricomi salon and a Mr. Chow restaurant. And Edelstein says that the Dutch, an outpost of Andrew Carmellinis SoHo restaurant, will open in the W by Thanksgiving.

Boulan, which has sold 22 condos and has one-bedrooms on the market for upward of $600 per square foot, is busy filling its own retail spaces, as well. An art gallery should open in time for Decembers Art Basel festival. A Mexican/Asian fusion restaurant and a nightclub are also in the works.

Neighborhoods all over Miami are getting big residential and retail makeovers. The 56-acre Midtown Miami developments second phase, which will start next year, will include a boutique hotel, a movie theater and 100,000 square feet of retail.

Well definitely have a fashion component, says developer Jack Cayre.

And the nearby Design District is getting a Louis Vuitton store.

There was probably a point in time here someone said, Whats Chelsea? or Whats Meatpacking? and eventually, they became a place because New York was ready to have another place, says Greg Masin, senior director at commercial real estate firm Cushman & Wakefield. When we look at the Design District and at Midtown, what we see is the evolution of the next place in Miami.

Plus, the downtown Metropolitan Miami developments third phase will include rental apartments and a Whole Foods Market. Plans for downtowns eight-block Miami Worldcenter site include residences, restaurants and retailers. And the Genting Group, an Asian casino operator, has unveiled plans for its $3.8 billion Resorts World Miami mixed-use complex. But the scope of the latter two projects will depend on approval for casino gaming, something thats the object of much speculation and uncertainty all over Miami.

Dezer says he has been talking to major Las Vegas casino operators about land he owns in Sunny Isles (13/ acres on the beach and 6/ acres directly across the street that hits the intracoastal waterway) that could accommodate a gaming resort with more than 2,000 rooms and 3 million square feet.

They’re both good real estate, Masin says of the Genting and Dezer sites. If they both had a casino, theyd both be successful.

Whatever happens, Dezer has options.

We originally bought [the land] to build condos, he says. We could build five condo buildings.

That idea would have seemed ridiculous in 2009, but now its more plausible.

Defortuna has sold out the 256-unit Jade Beach condo building in Sunny Isles Beach and has just three apartments left (for about $700 per square foot) at its 252-unit Jade Ocean sister property.

In terms of quality inventory, oceanfront, he says, you can make a strong argument that you need to start building now.

Originally published by ANDY WANG.

(c) 2011 The New York Post. Provided by ProQuest LLC. All rights Reserved.

How’s Miami real estate prices per square foot compare to the rest of world?

Some economists and journalists may still say that Miami real estate is overpriced, but the truth of the matter is that the prices for real estate in Miami are way less expensive that the rest of the world.

The chart above was compiled by credit management system Credit Sesame and shows price per square foot in major cities all over the world. At an average of $1,068 per square foot, Manhattan homes seems cheap compared to Paris, which costs an average of $3,287 per square foot for a residence, according to Credit Sesame’s data.

Also more expensive than Manhattan are cities such as Oslo, Luxembourg, London, Hong Kong and Beirut. Living in Houston, Texas is much more affordable than living in Al Kut, Iraq, $54 per square foot compared to $262 per square foot respectively.

Miami homes for sale

comes in at an average of $182 per square foot, which is really cheap in comparison to Europe, South Africa, Russia and even Poland.

What makes real estate in Miami more attractive?

Buyers have always been attracted to the properties in Miami and South Florida as a result of the natural beauty of living right on the shores of the ocean as well as the close proximity to so many prestigious shops and dining venues. Combine this with the 21st century modern ultra-luxury construction on the ocean and one of the most sophisticated metropolitan cultural living and you will have an idea of what Miami has to offer. The truth of the matter is that this season is going to be one of the best times in recent history to make a purchase in Miami Beach which is most sought after area as a result of the number of bargains coming onto the market.

This trend is also backed by the amount of individuals who have long enjoyed renting properties in Miami in order to escape the icy winters up north and European travelers will now have the opportunity to enjoy even more about living in Miami. Currently Miami offers wide variety of properties available for sale and rent to prospective buyers who are looking to improve their life style and enjoy the warm weather and vibrant night life that Miami has to offer.

Buyers who are looking for a bargain will find that they will be able to purchase a far more luxurious property than they can in their country or city. Miami style residences typically offer larger square footage, great amount of amenities, convenience and magnificent ocean or bay views. Whether you plan to bring family with you, you are enjoying the single life or it is just the two of you, you will certainly be able to find an opulent residence that will suit your needs superbly.

There has never been a better time to consider investing into some of the most prestigious and sought after real estate in world – a Miami residence. For lower prices than you might have ever dreamed, you can now own an opulent residence with top-notch amenities including your own gym, spa, pool, 24-hour concierge, valet parking, on-site cafe, and much more located right on the ocean.

For more information please contact Lana Bell – expert Miami investments realtor today – 1.954.336.1016

South Florida real estate

news has been pointing to positive trends over the past two quarters. But, which areas are ripe for investment or purchase? When is the right time to buy? And, what types of properties are likely to see the best return on investment? While no one can precisely predict the future for the real estate market in Miami, certain trends and predictors do point to when properties should be bought or sold.

While a number of areas show promise for future property values, recent interest has shifted to North Miami Beach and Palm Beach areas. A condominium project shelved by Kolter Group, LLC during the recent economic downturn has recently seen some revitalization. A competitor recently made a bold move, potentially influencing Kolter’s decision to counter with a bold move of their own.

Related Group recently announced plans to construct a 506 unit, dual tower condominium project in the north end of West Palm Beach. Shortly following the Related Group’s announcement was news from Kolter that their North Palm Beach condo project was back underway.

Currently, the Kolter project is estimated to break ground in the fall of 2012, offering additional condo units and reduced pricing than the original plans. Unit pricing is expected to fall between $600,000 and $1.5 million, reduced from the original layout, which called exclusively for luxury units each priced in excess of $1 million. To recapture some of the expected losses due to the pricing reduction, the developer has reconfigured the space to include more units than the original plans called for. The project’s completion date is currently estimated to fall within the 2014 calendar year.
Whether the recent positive trends in the real estate market, or the announcement of a competitor’s project prompted the response from Kolter to re-engage plans to construct these luxury condos, the surrounding areas are excited to see renewed interest in development in general. Not only will these two projects offer additional housing opportunities for residents and investors to capitalize upon, but they will create much needed jobs for the area, fueling other economic sectors in the South Florida marketplace.

Both the Kolter and Related Group projects will feature luxury amenities, great condo views and strong pricing opportunities in which can be taken advantage of. While pre-construction plans and pricing have yet to be announced, interested parties should follow the news associated with each property so they can get in at the best prices possible. This advice is particularly true, as the speed of the market’s recovery in terms of property values is still anyone’s guess.

Similarly, there are several project on the way in Sunny Isles Beach. One of those new projects will be called The Porsche, located in the heart of Sunny Isles Beach and will be the new ultra luxury high-rise with 1 unit per floor, allowing you to even park your own car in your apartment. Stay tuned for more information as we’ll be blogging about new projects all over South Florida.

Most recent Miami real estate report

indicates that single family and condominium sales in Miami jumped 49 percent in the second quarter, with a total of 6,768 sales, according to the Miami Association of Realtors. “Miami sales have increased consistently for nearly three years,” said Jack Levine, chairman of the board of the Miami Association of Realtors. “Residential sales exceeded last year’s levels, which were boosted by the homebuyer tax credit. International buyers and investors continue to fuel the Miami real estate market unlike any other in the U.S.” The median sales price in Miami-Dade county fell to $178,800 in the first quarter, according to the report.

Miami Real Estate Prices are up 12.5% on Non-Distressed Sales

A review of the Miami-Dade County home prices in their entirety can be somewhat misleading. The County, like the remainder of the nation, has been facing a higher percentage of foreclosures than in prior years due to the downturn in the economy. While these home sales certainly contribute to the region’s bottom line sales figures, they are not representative of the overall health of the market.

When distressed properties are pulled out of the equation, home prices within Miami-Dade County are actually up 12.5% year-to-date, based upon a recent report published by CoreLogic, a real estate research firm. This significant growth rate makes the County one of the fastest to rebound in the nation.

What this suggests is that among typical home buyers and sellers, the market is strong. While this is certainly positive news for current homeowners in the area looking to preserve the value of their current properties, it is important to step back to review the entire picture.

To capture this more complete view of the real estate market in the area, all sales should be accounted for. When the foreclosure and other distressed sales are added back into the equation, the growth rate shrinks to just above 0.9 percent year-to-date.

What do these figures tell us about the overall area’s real estate market? Price declines have been heavily concentrated within the distressed market, while the remainder of the market has managed to maintain pricing levels, and in some cases, raised pricing levels. For those buyers seeking non-distressed properties to purchase, they will find a shrinking inventory and rapidly rising prices, according to Sunny Realty. Naturally, as supply decreases, demand increases which will be the primary driver of real estate prices.

Based upon a recent report from the Miami Association of Realtors, inventory in the Miami-Dade area is currently sitting near 30,000, down from over 45,000 from this time last year.

According to Lana Bell of Sunny Realty, “For buyers seeking luxury properties listed in a non-distressed state; now is the time to act.�

While a variety of non-distressed properties are currently available throughout the county, there are still a number of distressed properties listed, and more to come, appealing to investors domestically and internationally.

As we head into the third and fourth quarters of 2011, there still remains some uncertainty about the direction of the Miami-Dade real estate market due to the volatile macro-economic factors that affect such things as the local job market. Despite this uncertainty, based upon the data pointing to positive trends in the market, professionals like Lana Bell of Sunny Realty remain ‘bullish’ about the state of Miami-Dad real estate.