South Beach Condos Market Report June 2013
Here’s our monthly market report compiled from MLS data of all South Beach condos (zip code 33139).
The following charts shows the amount of available / pending condos in May & June as well as sales from the prior months, quarter & year.
As of 6/10/2013 there were 800 condos for sale in South Beach. As you can see this number decreased by approx. 9% from the prior month where there were 873 condos available. The number of pending sales has gone down by more than 15% from 397 in May to 334 in June. Part of this can be attributed to short sales that have been pending for a long time finally closing and being taken out of the equation. Fortunately, we are not seeing a lot of new short sales and / or foreclosures coming on the market, which adds to the ever increasing stability of the South Beach condo market.
As you can see, the amount of sold (closed) condos increased from 139 in April to 147 in June. We’ve started reported the trend of increased or at least stable demand and decreasing inventories since early 2012 and it still continues.
Some figures not shown in the charts: Current list to sales price ratio is 95%, so if you are in the market for a South Beach condo, low ball offers clearly are not getting accepted any longer. Current days on market is 109, in other words the average time it takes to sell a South Beach condo these days is just over 3 months.
The total inventory and the current pace of sales would be sold out in less than 6 months, which is an indication that we are officially in a seller’s market. Right now I see a large discrepancy in pricing of newly listed condos vs. sales prices of recently sold condos. This tells me that sellers might be a bit too “greedy” right now, which should result in a slower pace of sales going forward unless of course they are willing to negotiate more, which would be reflected in a lower list / sales px ratio. We will monitor these trends over the next few months to see which direction the market is headed.
The next chart gives you more details about current pricing.
Average list and sold prices recently sold condos sold increased by a significant margin from April to May, however the discrepancy between the average list price per sqft on condos currently for sale is significantly higher than the prices buyer have recently paid for South Beach condos. Currently active condos are listed at an average of $818/ sqft whereas the average sold price per sqft for condos closed in May was $587. Like I said, it will be interesting to see how this gap will be bridged in the coming months.
If you have any questions reg. these reports or have any other questions, please feel free to contact us at any time:
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