After Years of Modest Sales, Condos Are Attracting A New Audience
Condominium buyers are definitely back – in rapidly growing numbers. The volume of sales, particularly at the higher-end, has been extremely robust. The overall condominium market in Miami-Dade had 13.5 months of available inventory supply as of mid-March 2020. It was down to 7.6 months for the same period in 2021.
And nowhere is this more obvious than at the high-end, where condos priced at $3 million or more were in abundance as of mid-March 2020, with 71.4 months of available inventory — six years of inventory! In the same period in 2021, that number was down to 16.2 months, and we expect to see continued decreases in inventory. An average of 41 condos priced in excess of $3 million were sold each month across Miami-Dade County during the first 2 ½ months of 2021, compared with an average of 11 sales per month during the prior year. Remember, too, that the COVID shutdown of our markets didn’t occur until the last half of March, 2020; therefore, the sales comparison during the first 2 ½ months of 2020 was not affected by COVID
It is the same scenario in Broward. During the first 2 ½ months of 2020, there was 6.5 months of available condominium inventory at all prices, down to 3.8 months during the same period in 2021.
Broward has seen the same dramatic shift in the luxury market. The inventory of $1 million and above condominiums in Broward was 22 months during the first 2 ½ months of 2020, and was down to 9.3 months during the same period in 2021 – a 57.7% decrease in months of supply.
As we move into Q2 2021 and beyond, we anticipate increased activity related to the returning international traveler, coupled with a growing number of domestic buyers. South Florida has the most compelling offering of high-end condos anywhere in the world. When you compare product, value, and the intangibles of South Florida, such as weather and easy access of air travel, we are simply unmatched in this arena.