Coconut Grove Real Estate 2016 Market Recap
Happy New Year! The last few sales have come across the wire for 2016 and I wanted to give you a market recap for the year as we head into 2017. Overall we saw prices remain fairly stable between 2015 and 2016. Both years pulled in an average “sale price/square foot” figure of approximately $455.00 which is a very good number. The average sale price fell slightly in 2016 to $1,417,000 (down from $1,548,000 in 2015).
The largest and most significant shift in the Coconut Grove real estate market during 2016 was a drop in the number of total sales and total volume sold. As you can see from the charts below, there were just 133 single family homes sold in 2016 which is down 18% from 2015. There was a total volume sold in 2016 of $167,220,348 which is down 37% from 2015. The large decrease in volume is a result of fewer ultra-luxury sales. I believe that there were several factors which triggered the slowdown in 2016. The first was pre & post election anxiety. The second was sticker shock (there has been an 11% increase in prices since 2014). The third reason was the strong US dollar which drastically reduced the number of foreign buyers.
A few other interesting things if you are keeping track of the Grove market are that 50% of homes which sold in 2016 were reduced prior to going under contract. In addition, homes in 2016 sold nearly 15% off of their original list price, and 7% off of their final list price.
The good news is that we are seeing a definite pickup in the amount of buyers around town and I sense a positive shift in the market. I am much more optimistic about 2017 than I was about 2016. Stay tuned to the blog for market updates, new listings and significant sales in the year ahead!
Looking for a new home in the New Year? Browse a complete list of Coconut Grove homes for sale here.