We are beginning to see positive signs that the real estate cycle is trending upward in South Florida. This is a result of foreclosures and short sales pushing prices downward, spurring more sales and reducing inventory.
If we look back on 2008 as the year of indecision, 2009 will be a year of bailouts and bank owned properties, which will propel real estate to start moving again.
In today’s market, opportunities exist to purchase all types of housing at prices that we didn’t think were possible two years ago. The median price of a condo in Miami-Dade County fell 46% from $275,000 to $150,000 in January 2009 from one year ago; and the price of a single family home fell 48% from $339,000 to $176,000 during this period. Home prices are now more in line with the median income levels of the Florida wage earner, making home ownership more affordable.
We are beginning to see signs of increased buying activity in the lower price category of homes listed below $300,000. While inventories are decreasing in the higher priced ranges, we are seeing inventories increasing in the under $300,000 range, pushing prices further downward and causing an increase in buying activity.
In Aventura, condos listed under $300,000 make up 67% of all sales and 40% of the total inventory. Condo sales were up 133% in January compared to a year ago in Aventura. We have a 22 month supply of inventory compared to a 41 month supply a year ago.
Where areas with heavy foreclosures will impact market values, we will need to search out the real values and it will be building and neighborhood specific. Buyers need to check on the financial strength of the individual condo associations and HOA’s when they are thinking of buying a home.
Today, cash buyers can find very good deals in Miami-Dade and Broward Counties with the help of a knowledgeable realtor.
Please click on local real estateyxqdqtct, if you would like to search for homes in the local areas.
Deena Landsman is a professional realtor who specializes in residential property in the Aventura area and surrounding communities of Hallandale Beach, Hollywood and Sunny Isles Beach. Please visit her website at DeenaLandsman.com for additional information.
Deena makes it a priority to give her clients the attention and sound business advice they need in order to make wise decisions.