Our Summer 2016 Downtown Miami Report

Summer 2016

It’s unbelievable how fast this year has gone by. I still remember writing my first post for The Miami Observer like it was yesterday! I find it hard to believe that I’ve written close to 75 posts so far this year. Nevertheless, Summer 2016 has arrived in full force and it’s time to look back at time gone by.

As today’s rainy forecast continues its typical cadence, I sat down and began looking at the latest figures of our local real estate market. You can contact us for additional questions on any of the figures listed in the report. In addition, you can E-mail us today for a personal copy on the building you live in.

 

Downtown Miami Market Report: Summer 2016

 

For Sale vs. Sold

TrendGraphix FactsAndTrends

ZIP 33132


Condo/Coop/Villa/Twnhse
TrendGraphix Curnt vs. Prev Month: For Sale -3.6% | Sold -13.8% | Pended -19.6%
Curnt vs. 6 Months Ago: For Sale -4.7% | Sold -26.5% | Pended 36.7%

First things first, let’s compare the amount of homes that have sold with what’s for sale. The numbers above depict a similar narrative to the buyer’s market we described in Brickell a few weeks ago. With 8.9% more homes since January, Downtown Miami is still very much a buyer’s market. The amount of supply still surpasses the demand. One perfect example for this observation is May, which as a month had less than 5% of total condos for sale making it to the closing table.

 

Average Days On Market

TrendGraphix FactsAndTrends

ZIP 33132


Condo/Coop/Villa/Twnhse
TrendGraphix Curnt vs. Prev Month: Avg Days on Market -39.2% | Sold/List Diff. % -2.1%
Curnt vs. 6 Months Ago: Avg Days on Market -3.6% | Sold/List Diff. % 0%

 

Months Of Inventory

TrendGraphix FactsAndTrends

ZIP 33132


Condo/Coop/Villa/Twnhse
TrendGraphix Curnt vs. Prev Month: Months of Inventory (Closed Sales) 11.7%
Curnt vs. 6 Months Ago: Months of Inventory (Closed Sales) 29.5%

 

Absorption Rate

TrendGraphix FactsAndTrends

ZIP 33132


Condo/Coop/Villa/Twnhse
TrendGraphix Curnt vs. Prev Month: Absorption Rate (Pended Sales) % -16.9%
Curnt vs. 6 Months Ago: Absorption Rate (Pended Sales) % 43.6%

 

With 200 average days on the market, buyers looking to purchase can smile knowing that there’s plenty of condos to choose from. Sellers, on the other hand, should expect to wait longer before a deal can be reached and perhaps even expect to sell for less (gasp) than the comparable sales from six months ago.

One silver lining underneath the rising inventory stills lies in the absorption rate. Even with more inventory, the rate has remained steady and even increased before Spring.

 

Final Thoughts: Summer 2016

  • Condos that have not sold since listed earlier in the year will either expire around June or have its prices adjusted.
  • The $400K and below market is an exception to the rule. Demand remains steady for affordable units.
  • Downtown’s absorption rate is trending upward, a positive sign
  • Buyers exercising caution, offering an average of 6% less than most listing prices

In conclusion, Summer might serve as a bridge that could help bring a stronger winter season. As condos that have not sold since listed earlier in the year will either expire around June or have its prices adjusted, the market may help correct itself to the point in which the absorption rate continues to rise.

As a result of our dedicated research, our information is deemed reliable. However, it is not warranted.

Last but not least, a friendly reminder to give us a call today for all of your buying or selling needs in Downtown Miami! As local specialists, our market expertise and superior exposure has helped our clients succeed. Message us today or call us at 305-305-3885 to discuss. Thank you as always for reading The Miami Observer!

0
UA-74049804-1