Mid-market sales still strong, but overall home sales in South Florida struggle
The number of sales for single-family homes in Miami-Dade County priced between $250,000 and $600,000 jumped 10.5 percent year-over-year in February — and that represents a quarter of the Miami-Dade market, according to the Miami Association of Realtors’ report released Wednesday. The reasons: an influx of new residents and a shortage of new construction at attainable price points.
“Competition for mid-market Miami homes continues to heat up,” said Christopher Zoller, a Coral Gables Realtor and chairman of the Miami Realtors Association. “With mortgage rates on the rise, home buyers have an urgency to lock in rates.” Fixed-rate mortgages hover at about 4.2 percent, according to Freddie Mac.
However, this mid-market boom comes as sales of existing single-family homes and condos each decreased 10 percent year over year, from a total of 2,039 to 1,835. Inventory increased for condos and decreased in the single-family category. Single-family homes have a 5.9-month supply, which indicates the top end of a seller’s market. Condo supply grew to 13.7 months, which indicates a strong buyer’s market.
Cash is still king, as Miami cash transactions comprised 47 percent of February’s sales, compared to 52 percent last year, and nearly double the national figure.
In the condominium market, the median sale price in February increased 6.3 percent in Miami-Dade to $220,000 year over year. Miami-Dade’s median sale price for existing, single-family homes last month was $321,000, up 18.8 percent from a year ago.
Prices are still going up. In the condominium market, median prices in February increased 6.3 percent in Miami-Dade to $220,000 year over year. Miami-Dade’s median price for existing, single-family homes last month was $321,000, up 18.8 percent from a year ago, the Miami Association of Realtors said.
In Broward County, median prices also increased, but unlike in Miami-Dade, inventory on the market decreased in February, according to the report released Wednesday by the Greater Fort Lauderdale Realtors association.
Broward’s median sale price for townhouses and condos rose to $147,750, an increase of 8.2 percent over a year ago. The median sale price for single-family homes rose to $302,500, an increase of 1.2 percent, the Broward report showed.
But there is less on the market in Broward County. The number of new listings for townhouses and condos decreased by a significant 20.3 percent. The supply of inventory stood at 6.4 months, the report said. The supply of inventory for single-family homes now stands at 3.9 months, putting single-family homes solidly in the seller’s market category.
Broward’s median sale price for townhouses and condos rose to $147,750, an increase of 8.2 percent over a year ago. The median sale price for single-family homes rose to $302,500, an increase of 1.2 percent, the report showed.
Yet, in Broward, single-family home sales dropped 15.9 percent — a significant slowdown — from 1,175 a year ago to 998 in February. Condo sales held up, with 1,171 sold in February, ticking up from 1,150 a year ago.
Continuing the trend of the last few months, there was a significant decrease in short sales and foreclosures for both single-family and condos in both Miami-Dade and Broward as the local real estate market continues to recover from the recession.
Nationally, total existing-home sales retreated 3.7 percent to 5.48 million in February. The national median price was $228,400, up 7.7 percent year over year.