Archive for the 'Coconut Grove Market Conditions' Category
Real Estate Update: Coconut Grove Hits Bottom With Prices Low and Sales Up
September 15th, 2009 categories: Coconut Grove Market Conditions, Coconut Grove Real Estate
Prices are Low
Prices in Coconut Grove are at an all time low. After a quick check of all closed single family homes in 2009 (there have been roughly 100), the average sale price per square foot is $265.00 (median sale price per square foot is $250.00).
At the same time last year (January through September 2008), the average sale price per square foot was $343.00 (median sale price per square foot was $309.00).
Right now we are looking at a sale price to list price ratio of 88%. This means that buyers are paying roughly 88% of the list price. However, the SP/LP figure needs to be taken with a grain of salt as there are some homes that have been reduced significantly to reach their final list price (on those homes we see about a 5% SP/LP ratio).
$500,000 – $1,000,000 market is the most active
As I have been saying all along, the $1,000,000+ market is SLOW. The average sale price on a home this year in Coconut Grove is $800,000 (median sale price is $600,000). That is the lowest average I have seen since I started in the business, and $200,000 lower than the average sale price of the same time last year. The figure is due to a combination of falling values, bad economy and difficulty in getting Jumbo Loans. I don’t have to look at the numbers to know this is true. I can tell simply by the amount of interest I am receiving on my $500,000 to $800,000 listings compared to my $1,000,000+ listings.
Coconut Grove Home Sales Are Up!
We are certainly selling more homes this year as compared to last year. At the same time last year we had only 70 sales for 2008, but so far this year we have had approximately 100. That is an almost 40% increase in single family home sales in Coconut Grove!
My prediction for Coconut Grove real estate in the months to come?
With activity drastically increasing (even over the past month) I do not predict that we will see another drastic drop in values next year. It is the simple law of supply and demand. With supply falling, demand will increase (along with prices).
And it is about time, Coconut Grove was one of the last communities in South Florida to see an increase in home sale activity.
Now is the time to buy, I have noticed that in all price ranges, the best quality homes are coming off the market much faster than before.
To stay updated with all of the current Coconut Grove real estate information, receive my blog posts directly to your inbox by subscribing here.
If you are interested in buying or selling real estate in Coconut Grove, please give me a call at 305.342.1623 or send me a note here.
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So Far Coconut Grove Real Estate Has Outperformed Last Year
June 30th, 2009 categories: Coconut Grove Market Conditions, What is selling in Coconut Grove?
Looking at the numbers below, we have roughly 30% more sales the first half of this year as compared to last year. I believe that three contributing factors to the increase in sales are that prices have continued to fall, sellers have finally become more realistic, and interest rates remain low.
If last year’s trend continues, the summer should be a busy one for Coconut Grove real estate. Keep in mind that any first time home buyer looking to get their $8,000 tax refund has to close by the end of this year which should help the lower end townhouse and condo market significantly.
2009
| Month | Homes Sold |
| January | 3 |
| February | 6 |
| March | 7 |
| April | 5 |
| May | 8 |
| June | 14 |
| Midyear | 43 |
2008
| Month | Homes Sold |
| January | 2 |
| February | 3 |
| March | 7 |
| April | 7 |
| May | 10 |
| June | 4 |
| Midyear | 33 |
If you are interested in buying or selling real estate in Coconut Grove, please give me a call at 305.342.1623 or send me a note here
| Discussion: 2 Comments »
Land In Coconut Grove….The Time Is Now
June 29th, 2009 categories: Coconut Grove Market Conditions, New Listings in the Grove
Aside from the $1,000,000+ single family home market, vacant land has also taken quite a hit in the current real estate market. Due to stricter financing requirements, developers aren’t snapping up lots as fast as they once were. For the most part, the only people who are buying vacant land in Coconut Grove right now are buyers who are building custom homes. And from what I’ve heard, builders are lining up to do the work.
In South Coconut Grove, I just listed an 11,600 square foot lot priced at $550,000 ($47.00 psf). It sits on Ventura Avenue between Braganza Avenue and La Playa Boulevard. The lot size is 11,600 square feet. The beauty of this lot is that it sits in the center of a great street surrounded by million dollar homes and has already been cleared and is ready to build. See photos below.
So far this year in the South Grove there have been 3 land sales. The first was a 10,000 square foot lot on 3855 Poinciana Avenue with a list price of $495,000 and a sale price of $450,000 (sold for $45.00 per square foot). The second was a 15,000 square foot lot on 4060 Battersea Road with a list price of $749,000 and a sale price of $550,000 (sold for $36.00 per square foot). The third was an 11,287 square foot lot on 3777 Irvington Avenue with a list price of $425,000 and sale price of $412,000 (sold for $36.50 per square foot).
If you are interested in finding out more about this property, feel free to give me a call at 305.342.1623 or you can also contact me here.
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31 Coconut Grove Pending Sales In April…
May 4th, 2009 categories: Coconut Grove Market Conditions, Coconut Grove Real Estate
It was an unbelievable month for real estate here in Coconut Grove, things have changed drastically in just 30 days for us. As predicted, this was the busiest month that we have seen in over a year. My Grove market boards are getting full, and that is a great thing!
What is selling? The under $1,000,000 priced properties and short sales/foreclosures.
There were 15 single family homes to go under contract in Coconut Grove in April. All but one were priced under $1,000,000. There were 16 condos and townhouses to go under contract in April in Coconut Grove, all were under $1,000,000.
More than 50% of these pending sales were foreclosures and short sales. Combine that with the price point of the properties and you can see that buyers right now want deals. They also don’t seem to be turned away by the poor condition of the foreclosures and short sales. I have been in almost every one of these distressed properties that went under contract and can say that most of them give double meaning to the word distressed.
You may also be interested in: How To Price Your House In Today’s Market, New Construction in Coconut Grove
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Coconut Grove Has 2 Townhouse Markets
April 6th, 2009 categories: Coconut Grove Market Conditions, Gated Communities, Townhouses
Coconut Grove has 2 distinct townhouse markets. The first is the townhouse market of Center Coconut Grove. The second is the luxury townhouse market.
The Center Coconut Grove Townhouse Market
The first townhouse market in Coconut Grove consists of the townhouses in Center Grove. Here you see an average price of $300,000 to $800,000 and is comprised of old construction and new construction.
1st Qtr. Closed Center Grove Townhouses:
| Address | Bd/ Bth |
Sq. Ft. | Original List Price | List Price At Time Of Sale | Sale Price | Distress? |
| 3187 Lamb Ct. | 3/2.5 | 2,318 | $649,000 | $649,000 | $550,000 | No |
| 3075 Alamanda St. | 4/3 | 2,472 | $699,000 | $569,000 | $510,000 | No |
| 2972 Shipping | 3/2 | 1,756 | $499,000 | $499,000 | $446,700 | No |
| 3041 Orange St. | 5/3 | 2,600 | $849,000 | $475,000 | $470,000 | No |
| 3154 Mary St. | 2/2 | 1,032 | $439,000 | $399,000 | $320,000 | No |
| 3076 McDonald St. | 2/2.5 | 1,380 | $299,900 | $269,000 | $250,000 | No |
1st Qtr. Pending Center Grove Townhouses that have not closed:
| Address | Bd/ Bth |
Sq. Ft. | Original List Price | List Price At Time Of Contract | Distress? |
| 3036 Matilda St. | 3/2.5 | 2,500 | $689,000 | $619,000 | No |
| 3060 Indiana St. | 3/2.5 | 3,025 | $649,000 | $599,000 | No |
| 3092 New York St. | 4/3.5 | 2,706 | $449,900 | $449,900 | No |
| 3054 Day Ave. | 3/2.5 | 1,710 | $499,000 | $399,000 | No |
| 3075 Elizabeth St. | 3/2.5 | 2,104 | $850,000 | $335,000 | Short Sale |
| 3112 Ohio St. | 3/2 | 2,400 | $322,900 | $322,900 | Foreclosure |
| 3110 Ohio St. | 3/2 | 2,400 | $330,000 | $289,900 | Foreclosure |
| 3151 New York St. | 3/2.5 | 2,406 | $379,900 | $319,900 | Foreclosure |
| 3024 Aviation Ave. | 2/2.5 | 1,252 | $315,000 | $315,000 | No |
| 2990 Virginia St. | 2/2 | 1,116 | $385,000 | $171,000 | Foreclosure |
The Luxury Townhouse Market
The luxury townhouses (villas) in Coconut Grove are located in gated communities as opposed to individually gated units as you see in the Center Grove. From North to South the luxury townhouse communities in Coconut Grove consist of L’Hermitage, Bayshore Villas, Longview, Abitare and The Cloisters. The minimum size is usually 2,500 square feet and list prices (excluding foreclosures) begin around $800,000.
1st Qtr. Closed Sales in Luxury Townhouses:
No Closed Sales
1st Qtr. Pending Luxury Townhouses that have not yet closed:
| Community | Bd/Bth | Sq.Ft. | Original List Price | List Price At Time Of Contract | Distress? |
| L’Hermitage | 4/4 | 3,717 | $1,047,000 | $895,000 | No |
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First Quarter Review: Coconut Grove, Coral Gables and Pinecrest
April 1st, 2009 categories: Coconut Grove Market Conditions
Not surprisingly many of my clients are not only looking at real estate in Coconut Grove but all over Miami. Here is a short analysis of the 3 most popular communities that my clients are interested in.
Don’t be misled by the seemingly high average prices because factored into these numbers are many waterfront and multi-million dollar estates which bring the numbers up. There are certainly many good properties for sale in all of these communities that are under $500,000.
Single Family Coconut Grove 1st Qtr. Market Summary:
| Number of Properties For Sale: | 266 |
| Number of Foreclosures For Sale: | 21 |
| Average Price FOR SALE: | $1,167,066 |
| Average Price/Square Foot FOR SALE: | $357.00 |
| Number of Properties SOLD: | 17 |
| Number of Foreclosures SOLD: | 7 |
| Average Price SOLD: | $1,081,871 |
| Average Price/Square Foot SOLD: | $298.00 |
Single Family Coral Gables 1st Qtr. Market Summary:
| Number of Properties For Sale: | 603 |
| Number of Foreclosures For Sale: | 65 |
| Average Price FOR SALE: | $1,934,074 |
| Average Price/Square Foot FOR SALE: | $440.00 |
| Number of Properties SOLD: | 58 |
| Number of Foreclosures SOLD: | 25 |
| Average Price SOLD: | $1,015,257 |
| Average Price/Square Foot SOLD: | $259.00 |
Single Family Pinecrest 1st. Qtr. Market Summary:
| Number of Properties For Sale: | 261 |
| Number of Foreclosures For Sale: | 19 |
| Average Price FOR SALE: | $1,711,558 |
| Average Price/Square Foot FOR SALE: | $322.00 |
| Number of Properties SOLD: | 26 |
| Number of Foreclosures SOLD: | 9 |
| Average Price SOLD: | $908,302 |
| Average Price/Square Foot SOLD: | $235.00 |
To view all homes for sale in Coconut Grove, click here.
To view all homes for sale in Coral Gables, click here.
To view all homes for sale in Pinecrest, click here.
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Then and Now….
March 1st, 2009 categories: Coconut Grove Market Conditions
I am seeing more and more 4 bedroom homes come on the market in Coconut Grove in the upper $600,000 price range. That is incredible because just a few years ago you couldn’t touch a 4 bedroom house in the Grove for under $800,000.
Check out these 4 bedroom homes in Coconut Grove priced under $700,000.
50 Bay Heights Drive | $699,000
- 3,202 Square Feet Living Area, 9,826 Square Foot Lot
- 4 Bedrooms, 3 Baths
- New kitchen, 3 new A/C’s and duct work
- On market since September 2008 – never reduced.
3565 Avocado Avenue | $699,000
- 2,034 Square Feet Living Area, 7,000 Square Foot Lot
- 4 Bedrooms, 2 Baths
- Pool, new marble floors, new A/C, new windows and doors, requires some renovation.
- Reduced from $779,000 to $699,000 in November 2008
125 West Shore Drive | $650,000
- 2,676 Square Feet Living Area, 10,776 Square Foot Lot
- 4 bedrooms, 4 baths
- Pool, split floor plan.
- Reduced from $720,000 to $650,000 in January 2009
You may also be interested in: A Tidal Wave of Foreclosure Activity In Coconut Grove
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Where the action is….
February 23rd, 2009 categories: Coconut Grove Market Conditions
After talking to other agents around the Grove, it seems that everyone agrees the most active market in terms of “lookers” right now is in the under $700,000 price range.
Click here to see what single family homes you can buy in Coconut Grove for under $700,000.
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This time, its not about the rates….
February 11th, 2009 categories: Coconut Grove Market Conditions
So interest rates are at all time lows and people should be beating down the door to buy your house, right? Wrong. Maybe for the first time in history, buying a home is not about the interest rates. Right now the question buyers must ask is whether or not they have enough money for the down payment.
I just had a meeting with James Venney and he informed me that yesterday the down payment requirement rose from 25% to 30% for Jumbo Loans (any loan amount over $417,000). In recent times (during the real estate boom), there was a very low down payment requirement or even none at all. Down payments were a non-issue.
Check out the below charts which show the trend lines for mortgage rates between the end of 2002 through 2008. Then take a look at the Sold and Pending numbers for homes in zip code 33133 during the same time period.
You will see that in the second quarter of 2004 when interest rates dropped, home sales rose. And as would be expected, in the second quarter of 2005 when interest rates rose, home sales dropped.
The fascinating thing is to take a look at the second half of 2007 when interest rates began to drop again, we saw home sales continue to fall in 33133. And fall, and fall. In the beginning of January/February of 2008 when we saw more low rates, the number of sales still fell.
Why has basic economics failed us? I believe that its all about the down payment. Buyers aren’t so concerned right now with whether interest rates have risen or fallen 1-2%, but they ARE concerned about how much cash they need to put into their home. With the average price of a home in Coconut Grove around $1,000,000 – buyers here looking in that price range are now required to put down $300,000 for a Jumbo Loan.
Due to the unique nature of home buyers here in South Florida and our high home prices we might not see a turnaround in home sales until the down payment requirements fall.
Click here to read other Coconut Grove Real Estate News.
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Once Upon A Time…
February 8th, 2009 categories: Coconut Grove Market Conditions, Coconut Grove Real Estate
Once upon a time in the land of Coconut Grove I had a buyer who offered $1,300,000 on this house on Battersea Road. The house is on a double lot and was attractive to my buyer because he could tear it down and build 2 new houses. The sellers turned down the $1,300,000 offer and today have re-listed the property at $879,000.
These are the types of sellers who are getting punished the most in this market. Those with old homes and large lots once sat on a gold mine as developers fell all over themselves trying to buy up all the land in Coconut Grove. Now it is being sold for exactly what it is, an older house that needs a lot of updating and sits on a large lot in South Grove.
Don’t get me wrong, this house has some great redeeming qualities. It has a beautiful pool, is surrounded by several gorgeous oaks, and is located on one of my favorite streets in South Grove – Battersea Road. It is ironic that the view out the front window of this house looks at a $3,000,000+ McMansion across the street.
Once upon a time there could have been two of those McMansions sitting where this old house now lies. Is that a good thing or a bad thing?
Details on 4035 Battersea Road, Coconut Grove, FL 33133:
- Lot Size: 13,000 Square Feet
- 2,085 Square Feet Living Area
- 2 Bedrooms, 2 Baths
- Asking Price: $879,000
You may also be interested in: Coconut Grove Market Conditions
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