There are two questions that all Realtors constantly have to answer:
How’s the market ? Has it bottomed out yet ?
What differs vastly is the answer you get depending on who you are talking to.
“The market is great, I’m selling a lot of condos”, is one of them. There are some people that don’t know what to say and therefore answer something to the extent of: “blah, blah, blah….”, the ones that tell you that they don’t have a crystal ball (in my opinion the smartest of the three mentioned above) and some that would answer it with another question, like myself.
What do you consider “the market” ?
Miami condos, Miami single family homes, Aventura townhomes, Sunny Isles, Miami Beach, South Beach, they are all vastly different.
Let’s take the Waverly South Beach (1330 West Ave.) as an atypical example of a building that has fared quite differently from what most people think “the market” has been doing. While the amount of foreclosures in a lot of condo buildings has increased in 2009 and consequently prices have decreased, the Waverly tells a different story. One that I would consider a great turnaround.
There have been over 50 units for sale at the beginning of the year, with a number of very well priced foreclosures being available in Q1 & Q2. Currently there are only 19 units available in the building, while 33 have sold so far in 2009. The total number of units at the Waverly is 399, which means that currently less than 5% of the units are for sale. I would consider that “healthy” by any standards and especially compared with the 15-30% of units for sale in some other buildings.
As for prices, they are also on their way up. While there were ten 2bd units that sold for less than 300k this year (one foreclosure sold for as little as 210k), there are currently only two 2 bedroom condos that are listed for less than 30ok. One of them (a short sale) is listed for 275k and another which is neither a short sale, nor a foreclosure is listed at 294k. While these would have not been considered great deals based on the other units for sale, they are now best buys.
Given the reduction in inventory, the increase in average sales price AND last, but not least the REDUCTION in maintenance fees, I am giving the Waverly South Beach my “biggest turnaround of the year” award !