Everyone likes to see which homes have sold, but whether or not you are able to afford an ultra-luxury residence in Miami, everyone is interested in what happens in that exclusive market. An active and growing ultra-luxury market means that a city is attracting wealth, and with wealthy homeowners generally comes some positive results for the local economy. In South Florida, the ultra-luxury market is defined as homes with a market value in excess of $10 million. This is the upper echelon of the luxury market that stands out because of its unique and lavish homes that are situated on some of the most prime lots in the entire area, just like the one currently offered for sale pictured here at 10 W San Marino Drive in Miami Beach.
With all the activity happening in the South Florida market since the first phase of re-opening for Miami-Dade County, how is the ultra-luxury market faring? According to data sourced by the Berkshire Hathaway HomeServices EWM Realty Research Team, it can be summed up as “stable and steady.” From January 1, 2020 to August 18, 2020, there were 17 single-family homes that have sold in excess of $10,000,000, compared to 18 homes in the same period in 2019.
When looking at the luxury market in Miami-Dade County, which is any property with a market value between $1,000,000 and $9,999,999, we see a much more active market. From January 1, 2020 to August 18, 2020 there were 667 sales in this price segment, while in the same period in 2019 there were only 633 sales. This is a 5.4% increase, which indicates a good increase in market activity.
The pent up demand created by economic closures nationwide back in March and April is certainly resulting in higher rates of sales, especially in the luxury market. There’s still a little over five months left in 2020. It’s unclear what effects the pandemic, the elections, and several other factors will have on these markets, and the market in general, in the months ahead. Nonetheless, if the current trend holds, we are looking at a strong finish to 2020.
Information referenced above was derived from the Southeast Florida Regional MLS for sales of single-family homes in excess of $1 million for the period beginning 1/1/2020 and ending 8/18/2020, and the period beginning 1/1/2019 and ending 8/18/2019.