Miami Beach Real Estate: 3QT 2009 Stats for Condos in South of Fifth Neighborhood
This has been a very interesting year. I’ve said before that the SoFi neighborhood in South Beach has weathered the real estate storm like a champ. Our busiest time of the year begins with Art Basel at the beginning of December and continues well into June.
For the previous few years, the week of Art Basel has been incredible. Last year was the year of NO action; and it only got worse from there. While inventory languished on the market for the first half of the year, sellers seemed to hear the message. List prices dropped, and dropped fast.
Between May and September six condominiums sold at Apogee South Beach representing over $30M worth of real estate. In that same time period, over $35M in sales were closed at Continuum North.
Miami Beach Real Estate Heats Up Just as the Season Ends
Average Days on Market 1/1/2009 – 9/30/2009
I don’t feel that the days on market stats are all that reliable for a few reasons:
- it can’t take into account how accurately a property is priced
- it can’t judge how motivated a seller is
- Days on Market, or DOM, is easily manipulated by agents/brokers
Even in the recent market, I still see some properties sell within days of being listed.
An industry benchmark is that approximately 10% of the total amount of units should be on the market at one time. The exceptions are for newly-opened condos because typically 30-40% of the units come back to market from investors/flippers when the building opens; and it usually takes about 2+ years for the market to absorb that extra inventory.
The building that’s been affected the most (and therefore has the best deals) is Murano Grande. A high amount of investors purchased in the building and it was hit hard by mortgage fraud which really played havoc with the real estate values. Of late, the distress sales/foreclosures are selling and the Q4 stats should really begin to head in the right direction. I’ve sold a couple of units in Murano Grande lately and the condo association is in good shape and handling the hiccups as well as could be expected.
South Beach Condos Sales Prices
I’ve compared the numbers from the last quarter and to last year, and there is really not much to report. Some are up a little, some are down a little. I can’t spot any specific trends. All-in-all, not so bad.
Best Buys in South Beach Condos
- Apogee South Beach– 800 S. Pointe Drive #602, Miami Beach. This one’s gonna be a great deal, trust me.
- Continuum North–50 S. Pointe Drive #601, Miami Beach. An oceanfront one-bedroom with peek-a-boo oceanviews.
- Murano Grande: 400 Alton Road #2007, Miami Beach. Approx. 1700 sf. Great floor plan. Short sale.
- ICON South Beach: 450 Alton Road #3003, Miami Beach. 3 bedroom on high floor. Spectacular southern exposure with expansive east and west views. This one should be the next to sell.
Additional Resources
