Miami Listings For Sale

Porsche Tower Condo

The Miami real estate market

continues to show progress. Broward county overall showed inventory absorption with an 18% decrease in the number of properties for sale over the first quarter of 2012. Sales showed a slight increase while prices rose on average 13.7%. The Miami-Dade overall outlook is similar with a slight uptick in the number of sales while price per square foot jumped 15.2%.

Turning to the luxury properties in Miami, residential properties in the $1–5 million range showed sales increases around 30% over the same quarter last year, outperforming the $5 million plus market and the $500,000 – $1 million bracket, which saw modest increases.

The Miami single family home market jumped 40%

in the number of homes sold, while prices increased 7.5%. The condo market posted gains as well, with the average price per square foot now averaging $721. The 33160 zip code area, which includes Sunny Isles and Aventura, continues to be the leader in the number of units closed, with a whopping 72.7% increase in sales over the first quarter last year while prices increased 8.3%. The Coconut Grove / Miami / Brickell market also saw big increases and the average price per square foot is hovering at the $500 mark.

In Broward county, the condo market in the $1–5 million range increased a dramatic 85.7%, sounding the signs of real recovery, where prices overall are still lower than most Miami-Dade markets.

The increases in this segment of the market show the return of the working wealthy, who have been mostly absent from the recovery so far. These buyers join a good number of foreign buyers still in the market primarily from Brazil, Venezuela, Canada and Russia. The emergence of financing in this market also contributes to the increases. Although the majority of sales are still cash, financing to these well qualified buyers is available from a variety of lenders.

Read our 1st Quarter 2013 Report »

North Bay Road Miami homes for sale

N. Bay Road real estate

Interesting things have been happening for New York Yankees baseball player, Alex Rodriquez. Better known as A-Rod, this pro player is a fan favorite and he recently had his Miami home on the real estate market. This mansion style house includes 19,861 total square feet located on North Bay Road, right on Biscayne Bay.

The home, with the address of 4358 North Bay Road in Miami Beach, has a wide variety of features and amenities, like:

• A full sized gym
• A built-in sauna
• A steam room
• A full sized swimming pool
• 16 security cameras
• And much more

It may seem like a surprise that A-Rod decided not to sell at this time. However, since the real estate in Miami appreciates so quickly, it might be a wise decision. He left it for sale for a while, but at $38,000,000 it did not find buyers, but found renters.

Not just any renter could choose to pay the price for this house. Reportedly, the lease is for $125,000 a month. It seems like only another star or baseball player could afford it. However, an interesting group has taken residence in the mansion: royalty.

According to sources, the renters of Rodriguez’ mansion are Saudi princes. Of course, this makes sense with an American house fit for royalty. The only change that the princes have made is to bring in more air conditioning. Reports are that the princes chose to add a total of four all-new units to ensure the large house is as comfortable as possible.

Perhaps the reason why this gained so much attention would be the cavalcade of black Escalades that have recently been seen parked in front of the mansion.

By renting out his home, A-Rod can get steady money from the residence and then wait until the market reaches a higher upswing before attempting to sell it again. More and more developers and investors have found themselves doing the same thing in the hope that the market will continue its turnaround.

The good news is that experts say it will. Hopes are that the market will be on a long-term upswing with no new crashes or bubble bursts. This means more people will be buying and more investors will be selling, opening up the housing market extensively. People can expect to see housing prices going up and more buyers paying closer to the asking price than they once would have.

It’s not every day that a professional baseball player rents out his home to princes, but it does happen. It seems true that A-Rod’s mansion was actually fit for a king. With a hefty rental tag, it would take a prince to pay the lease on the house.

Miami real estate for sale

Miami real estate

Not too long ago, everyone was a little afraid to buy any type of property. This real estate downturn led to a big problem for developers and for anyone who wished to sell their property. However, things have changed and the housing market all across the country has begun a new cycle. Of course, this leaves many wondering, will there be another bubble? With the problems of the past, it only makes sense to be wary. However, real estate experts and developers all indicate there is nothing to fear.

The Words of Don Peebles

For instance, Don Peebles, who is the chairman of the Peebles Corporation, is one of the most renowned developers of the day. Recently, he spoke out on the Fox News Channel’s, Neal Cavuto Show, with his own reaction to the real estate boom. According to Don, there will be no bubble now or in the future. Instead, he says that the housing recovery will be ongoing and long-term. This will lead to a continued rise in the housing market and numerous new developments across the country. Peebles says that now is the time to get into the real estate market. This way, as housing prices continue to go up, anyone who has invested will be able to enjoy the higher value.

How the Boom Effects Miami real estate

Peebles, and other real estate developers, all say that Florida and South Florida are the places to develop properties. That has to do with higher sales taxes in states like New York. More businesses will choose the lower cost areas like Florida in an attempt to save money.

As more people move to the Florida area, this will put a greater demand on available real estate. Of course, this will push prices higher and continue to provide successful ventures to real estate developers.

Of course, this is good news all the way around for Florida. As developers take greater interest in the area, they will propose new projects, spend more money on property, and bring new industry.

Experts Believe in the “New Boom”

Experts in the real estate market aren’t just talking about the long-term effects of the real estate boom either, though. They are taking action because they realize just the opportunity that is currently presenting itself.

Peebles himself just recently proposed a development for a 13,500 square foot building to be located in Harlem, New York. With his real estate expertise, obviously, he wouldn’t build if he didn’t feel confident in his advice. This should give anyone the courage to invest in real estate as well.

Whether you are mildly interested in the real estate in Miami or other markets, or you wish to become a developer, now is the time to buy properties and get into construction. The country is on the cusp of what should be a long-term boom. That means properties will continue to go up in value as the years roll by. Anyone who invests now will see excellent returns in the coming years. This is especially true for states like Florida, who will likely see the most out of the upswing.

Indian Creek Real Estate

Indian Creek Miami Real Estate

Recent changes in the South Florida real estate market

have led to surprising doors being opened for high end real estate developers. A few years ago, a housing market downturn caused detrimental changes for developers. No one was buying and no bank was willing to finance. Together, this meant that high end properties were left unsold. However, things have changed and this can best be seen through projects of developers like Oren Alexander.

Indian Creek Real Estate

This developer recently put together a deal that would have been unheard of just two years ago. They sold the 3 Indian Creek property in Miami for $50 million in cash. This sale was for a 30,000 square foot mansion that was actually built by patriarch, Shlomi Alexander. No one expected the housing market to take an upswing that would lead to new sales of high end properties, but in the last year, that happened.

After the sale of 3 Indian Creek, Alexander saw options in that more buyers are interested in exclusive properties in South Florida. A new project for a house described as “island colonial” is now in the works, and it is expected to sell for around $30 million. The hefty price tag is still considered appealing because the 11,000 square foot home is located right on the beach.

Why Are People Buying Luxury Miami Beach Homes

$30 million seems like a lot of money, especially in light of the real estate crash, but buyers have changed. In fact, the buyers interested in these types of properties are purchasing their third, fourth, or even fifth homes. This type of money isn’t as much of an issue. For a while, they didn’t buy because the market was so slow. However, with the new upswing, the luxury buyers are back on the market.

In fact, developers, like Alexander, realize the buyers are now out there, and instead of putting their mansion-like homes on the general market, they shop them exclusively to specific buyers. This makes the properties even more exclusive.

It may come as a surprise, but according to the CEO of Sotheby’s, almost half a dozen properties in Miami-Dade closed for more than $19.5 million each in 2012 alone. In 2011, there were only two sales of this caliber. This makes it all the more obvious that buyers are actively searching for new luxury homes as the real estate market takes a swing upwards.

What Miami Beach Realtors Notice

The realtors are also noticing this change. For example, Alex Rodriguez of the New York Yankees recently put his home up for sale at around $38 million. While he ended up renting out the property, numerous people came for viewings while it was for sale. This indicates that people consider these higher price tags reasonable.

Just a few years ago, luxury homes were not selling. No one was willing to take a risk. However, things have changed, and experts think that soon, properties will be selling for more than $3,000 a square foot in the Miami area. This spurs developers forward with new projects.

Miami real estate

Miami Beach real estate for sale

When the housing market struggled, there was a big gap between asking price and selling price. In other words, with so few buyers available, people simply couldn’t get what they asked for out of a property. This was especially evident in the South Florida area, where numerous properties were sold to those relocating from out of state.

From 2008 until 2011, there was a noticeable gap between prices, forcing sellers to get much less out of their properties than they needed. It created a cycle that made the real estate market suffer even more. However, the Miami real estate market is in an upswing, and things are changing for sellers. For people who live, develop property, or work in real estate, this is definitely a change for the better.

A Closing Gap

In 2011, the actual selling price of Miami homes, on average in the United States, was around 97.1 percent, which was up from previous years as well. In the most recent survey, the national average is 98.3 percent, which is a significant change.

In today’s real estate world in South Florida and throughout the United States, more sellers are getting much closer to their asking price for the actual selling price of their properties. This will continue to push the real estate market toward the upswing.

Why Is the Gap Closing?

Many people wonder why there is such an upswing and why buyers are willing to pay more money. Most professionals and real estate experts all agree that there are a couple of reasons why things are changing.

• Loans are becoming more readily available. During the downturn of the real estate market, it was extremely difficult to get a home loan, but now it has changed. That means more people can get the financing they need to buy property.

• Inventory isn’t as available as before. Now, when the market is going upward, such a short supply of property inventory is leading to more buyers willing to pay more money for available real estate. This will force the gap to close even more.

Essentially, everything goes back to the economic law of supply and demand. Fewer properties are available and there is greater demand for them. People are willing to spend more in an effort to get the real estate they want, pushing the selling price up much closer to the asking price.

For South Florida, this means good things. Now, more real estate properties will sell and more developers will be willing to move forward with their projects. New projects becoming available in the area shouldn’t push the gap wider either. Analysts believe the real estate boom will continue, and this means there will be plenty of buyers waiting to purchase properties in the area. For the real estate investor or for someone wishing to sell their private home, this is all good news.

Miami real estate

Miami real estate for sale

In the last year, the housing market in Miami has begun to make a serious comeback. Part of this has been due to the fact that there is a shortage of inventory. Many homeowners are forgoing placing their homes on the market in the hopes that they will continue to recover more of their pre-housing crisis value. This is essentially forcing current buyers to choose from among the properties that are currently on the market. For example, in 2012, distressed properties held a 40.1% share on the available amount of inventory in Miami. These were the lowest levels of available distressed properties since 2008.

As a direct result of these homeowners’ actions, the number of pending sales in the Miami housing market has increased dramatically. According to a recent report released by the Miami Association of Realtors, the number of pending sales for condos and single family homes has risen 67% over this same time last year. For example, in October of 2011, there were 2,488 pending sales in Miami Dade County. In October of 2012, there were 4,172 listings pending. This number also represents an 18% increase over the number of pending sales in September of 2012. Many are rejoicing in these signs of economic recovery.

Martha Pomares, who served as the chair of the Miami Association of Realtors in 2012, had this to say about the subject:

“The Miami real estate market is poised for another record year, that would surpass the all-time sales record set in 2011. Strong demand persists despite the shortage of housing inventory, and listings are increasingly selling at a more rapid pace, driving in significant price appreciation.”

In a similar sign of economic recovery for the Miami condos as well as single family housing market, the average sale price of condominiums rose 31.7% in November of 2012 versus what they were in November of 2011. This is the 17th straight month of appreciation for townhomes and condos that Miami has seen. In a report released by the MAR, it was noted that the average sale price of single family homes also 15.9% in the same period. This was the 12th straight month of appreciation gains for Miami single family homes.

In fact, these numbers have allowed Miami to set new sales records for 2012, even exceeding the number of sales that were conducted in 2005 before the housing bubble burst. Martha Pomares also noted that, given the shortage of available inventory, it was remarkable that these numbers continued to increase so. For example, in November of 2012 alone, sales activity increased by 23%.

The effects and fallout from the housing crisis are still being felt, and some experts have suggested that it could be 2017 before the market makes a full recovery. However, these signs of growth are encouraging, and it is making buyers feel less fearless when it comes to making purchases. While the future is still somewhat shaky and uncertain, the new growth is an encouraging sign.

Fisher Island Real Estate For Sale

Fisher Island Condo

If Miami real estate history

does repeat and the economists are correct, 2012 was the new 2002.

Last year was the return to normal for Miami real estate. With annualized homes sales at $4.6 million nationally in 2012, we are close to 2002’s $5.5 million mark, which has now been defined as the normal level for sustainable real estate sales. Interestingly enough, a look back at 2002 in South Florida looks very similar to 2012. Ten years ago, combined numbers for Miami–Dade and Broward showed an overall inventory level of just over 20,000 residential properties for sale which at the rate of sales represented about 5 months of inventory, very similar to the numbers for 2012. It is when you start evaluating pricing that things really get interesting and the differences start to emerge.

The average Miami home sales price

in both Dade and Broward counties combined has risen from $446,000 to $620,000 in the last 10 years, with many peaks and valleys along the way. The most significant growth trend has been in what is referred to as the “super” luxury market. Not a high end grocery store, the super luxury market are those properties that define the top tier of property sales in a market. In the last 10 years, that market has gone from above $5 million to above $20 million. In 2002, 768 residential properties were sold over $1 million in both counties. By 2012, that number had grown to 1,911. The over $5 million market growth was even more pronounced in the same time period, with 4 times as many sales in 2012 as compared to 2002. In the super luxury category, over $10 million, there were no sales in 2002 and 30 sales in 2012. This is clearly an entirely different market now.

Rental prices continue to rise as well: 41% of all investors purchased more than one property last year. With rental prices going up, and a continuing strong demand, this too will remain an active segment of the market.

2012 also saw the return of the U.S. Northeast buyer in a very strong way. Income tax changes in many states in the U.S. and countries abroad has been the final impetus to clench that purchase decision in Florida, and South Florida in particular. These are buyers that can claim residency anywhere in the world and choose our backyard. Who can blame them?

Miami Luxury Homes For Sale

The rise of the super luxury Miami real estate market is the break-out story of 2012. While the number of all residential transactions in Broward and Miami-Dade stayed nearly flat from 2011 to 2012, with fewer than 1% more sales year over year, the luxury market took off. South Florida is still valued tremendously low as far as dollar per square foot in the worldwide luxury real estate market, yet gains prominence and importance, year after year.

Luxury Miami Real Estate Sales Volume

Luxury Miami Real Estate Sales Volume

Luxury Miami Real Estate Sales Volume

Luxury Miami Real Estate Sales Volume

Please contact Lana Bell – 1-305-336-0457 to learn about luxury Miami Beach real estate

Miami Luxury Homes For Sale

Waterfront Homes For Sale In Miami

It appears as though the sale of luxury homes in Miami

might once again be on the rise. Last month, a penthouse in The Setai sold for approximately $27 million. Currently, this amount has set a new record for the most amount of money ever paid for a condo in the South Florida region. Neatly situated on the 40th floor of the high rise building, this penthouse suite boasts 4 bedrooms, 4.5 bathrooms, and an overall size of 7,100 square feet. Prior to that there was a sale of $21.5 million dollar condo in the same building back in 2011. The previous record for the amount of money ever paid for a single condo in South Florida was $25 million, which was sold in May of 2012.

Whether or not these signs are indicative of a recovery for the housing market of Miami is going to depend upon who you talk too. At the 2012 Miami International Real Estate Congress event at the Miami Biltmore Hotel, Lawrence Yun, the chief economist for the National Association of Realtors, stated that approximately 77% of Miami’s higher end realty firms had worked with international buyers. By comparison, only 27% of high end realty firms, across the United States, have worked with international buyers in the last year.

Miami’s exposure on an international level has been primarily responsible for the increase in growth from foreign buyers. The majority of foreign buyers have come from South America, Russia, Europe and recently sectors like China and India have shown interest from buyers seeking for a safe haven for their cash at the moment.

The sale of luxury homes in Miami

as well as non-distressed properties is certainly a desirable commodity right now. Available inventory levels have been tight since the summer of 2012. Many residential homeowners are still reluctant to place their homes on the market until they have begun to recover more of their pre-housing crisis values. On the downside, if the value of Miami homes continues to rise at its slow pace, the National Association of Realtors believes that it will be 2017 before these homes return to their pre-crisis levels.

The signs of recovery are there. Between August of 2011 and August of 2012, the median home prices in Broward County rose by 12.5% to an average value of $215,000.00. Is it safe to say that the housing slump is over? It is too early to tell at this point, but if the sale of luxury Miami homes is any indication, buyers are, once again, looking to Miami as a city worth investing in.

Miami Homes For Sale

Celebrity Homes For Sale In Miami Beach

In November of 2012, famous producer and rapper Pharrell Williams made headlines when he listed his home for sale for a sum of $16.8 million. This property is located on the 40th floor of Miami’s famed Bristol Tower, which falls into category of most expensive properties currently on the market in Miami today.

Today, we are seeing a nice surge in sold and also pending sale high-end homes and Miami penthouse sales. The South Beach real estate market continues to be strong and continues to attract both domestic and foreign buyers. The market for luxury properties in Miami and South Beach has experienced tremendous growth in the last year, but the front in Brickell has remained rather quiet up until now. A similar penthouse in Brickell, located at the Four Seasons, is currently for sale for $15 million.

Pharrell Williams might have garnered attention when he listed his home for sale, but he is far from the only celebrity who calls Miami home. Other notable names who currently maintain at least part time residences in Miami include Gianni Versace, Rickey Martin, Jennifer Lopez, Lenny Kravitz, and Madonna, amongst many others. O.J. Simpson used to maintain a residence in Miami until he was forced to sell, due to his ongoing legal troubles.

While Mr. Williams did not have a problem with his name being attached to the property that was for sale, other celebrities make a concentrated effort to hide their identities when it comes to selling their luxury pads. Even if a celebrity, like Mariah Carey, has posed for magazine photos inside of their home, they generally do want to acquire these same level of attention when it comes to selling the property. According to an article published in the New York Times, most celebrities will require the realty firms they hire to sign confidentiality agreements, or they will have the sale conducted behind the privacy scree that a limited liability company and lawyers provide.

Before opening the homes to tours from prospective buyers, realtors will actively scrub the property to ensure that any evidence a celebrity lives there is erased. The jury is still out on whether or not having a famous name attached to it will actually assist a property in selling more quickly, but the efforts taken in ensuring the privacy of famous homeowners prevents the curiosity seekers from attempting visit where their presence is unwelcome.

Content published by Lana Bell

Content published by Lana Bell