Miami Shores 33138 Single Family Home Average Sales prices are Up 43.4%

Single Family Home Average sales prices are Up 43.4% in our 33138 Zip Code. Inbound New York Buyers Boost Miami Soaring Home Sales in August. Single Family Home prices are Up 16.6% in Miami. Year over Year through the Month of August. The Median Sales price is $370,000, up 12.4% last year.

Fueled by Historically low mortgage rates and the robust fundamentals of the South Florida housing market is leading to increased market activity as homes sell more quickly, average of 94 days from Listing to Contract.

The Active Inventory of Homes on the Market for Sale has decreased, -34.8% from last year, increasing the leverage for Home Owners. Sellers can attract Top Dollar for their Homes.

Contact me for a Free Home Evaluation. I can sell your Home for the Best Price in the Least Amount of Time.

Sales of Large Homes Up 21 Percent in August in U.S.

According to Redfin, the typical home that sold in the four weeks ending August 16 was 3.7% larger (1,772 square feet) than the typical home that sold a year earlier. Compare that with 0.4%, the average year-over-year growth rate from 2015 to 2019.
Even though sales of large homes were up 21% year over year nationwide in July–sales grew nearly 10 times faster for large homes than small homes–small and medium-sized homes saw the bigger price increases. The price of the typical small home was up 8.1% year over year in July, versus a 7.5% increase for medium-sized homes and a 6.7% increase for large homes.

“Most people would prefer a large home over a small home given the choice,” said Redfin chief economist Daryl Fairweather. “That’s true regardless of what’s happening in the world, although spending more time at home due to the pandemic is encouraging some homebuyers to seek out bigger houses with bigger yards. But affordability still reigns, which is why the market for large homes isn’t much hotter than for smaller homes. The lines are drawn economically. The people with steady work-from-home jobs are able to move away from city centers, or even to entirely different parts of the country, and find more space for a similar price. But a lot of people searching for homes are in less advantageous financial situations and can’t afford more space even if they want it.”

The average minimum square footage of Redfin.com users’ saved searches was 1,864 so far in August, up from 1,794 a year ago and up from 1,803 in January. The size of sought-out homes has been growing over the past five years, up from 1,685 in January 2016.

“People want bigger: Bigger houses, bigger properties,” said Vancouver, WA Redfin agent Chriss Houghton. “That’s what people are asking for, whether their idea of big is a half-acre, one acre or 10 acres. If people are living in a small cookie-cutter home right now, they want a larger house with extra rooms and a dedicated place for an office.”

Redfin analyzed July housing market data to determine whether homebuyer interest in additional space has translated to a hotter housing market for bigger homes. The answer? Yes–but only slightly.

Sales grew nearly 10 times faster for large homes than small homes

Sales were up 21.2% year over year nationwide for large homes in July, compared with 10% for medium-sized homes and 2.3% for small homes. For this analysis, Redfin divided single-family homes across the country into three size tiers: Small (300-1,500 square feet), medium-sized (1,500-3,000 square feet) and large (3,000-5,000 square feet).

The increase in pending sales for large homes was nearly double that of medium-sized homes, with an even bigger gap for small homes

The story is similar for homes that went under contract in July, with large homes experiencing a 16.1% year-over-year increase in pending sales, compared with 9% for medium-sized homes and 2.6% for small homes.

The coronavirus outbreak has caused homebuyers to want larger homes, with 21% of homebuyers saying the pandemic has caused them to want designated space to work from home and 21% saying it has caused them to want more outdoor or recreational space, according to a Redfin survey of more than 1,000 people who are planning to buy a home within the next 12 months from July 19-21. Additionally, 10% said they now want a bigger home, and 7% said they want a designated space for children to learn from home.

Prices jumped more for rural areas (up 11.3% year over year in July) and suburbs (9.2%) than urban areas (6.7%), which points to a preference for more space. The median square footage of homes that have found a buyer in rural areas and suburbs is about 1,850, versus about 1,500 in urban areas.

But small and medium-sized homes saw their prices increase slightly more than large homes

The price of the typical small home was up 8.1% year over year to $199,900 in July, versus a 7.5% increase to $322,500 for medium-sized homes and a 6.7% increase to $539,000 for large homes. The bigger price increase for smaller homes is likely due to buyers prioritizing affordability. Seventeen percent of homebuyers said the pandemic has caused them to want a less expensive home, according to the aforementioned survey.

The typical small home sold 19 days faster than the typical large home

Homes of all sizes sold faster than last year in July, with small and medium-sized homes selling faster than large homes. The typical small home went under contract in 28 days (2 fewer days than last year), versus 34 days (-2) for medium-sized homes and 47 days (-3) for large homes. Just under 39% of small homes went under contract within two weeks (up from 28.9% last year), compared with 34.1% of medium-sized homes (up from 22.8%) and 24.1% of large homes (up from 14.3%). It’s typical for more expensive homes to take longer to sell.

New listings increased nearly 8% for large homes, and declined for smaller homes

New listings of large homes were up 7.6% year over year, while they were down 8.3% for small homes and down 1% for medium-sized homes. Total home supply was down about 25% from last year in July for each category. A lack of new listings has contributed to dwindling supply among small and medium-sized homes. But while there has been an increase in new listings of large homes, they are being snatched off the market in greater numbers, which is why total inventory is down about the same amount for all three categories.

The uptick in new listings of large homes could be partly due to owners of larger, more expensive homes realizing they have the potential to earn a significant amount of money by selling their home.

“Owners of single-family homes are recognizing it’s a good time to capitalize on demand from people who want more room, both inside and outside, to accommodate all the new things they’re doing at home,” said Seattle Redfin agent Jessie Culbert Boucher. “Some people have been in their large family homes for decades, they’ve been thinking about selling and see that now is a good time. Others–and these are definitely not the ones who have lost their jobs during the pandemic–are putting their big houses on the market and taking advantage of low mortgage rates to upgrade into even larger, even nicer homes.

Sales of Large Homes Up 21 Percent in August in U.S.

According to Redfin, the typical home that sold in the four weeks ending August 16 was 3.7% larger (1,772 square feet) than the typical home that sold a year earlier. Compare that with 0.4%, the average year-over-year growth rate from 2015 to 2019.

Even though sales of large homes were up 21% year over year nationwide in July–sales grew nearly 10 times faster for large homes than small homes–small and medium-sized homes saw the bigger price increases. The price of the typical small home was up 8.1% year over year in July, versus a 7.5% increase for medium-sized homes and a 6.7% increase for large homes.

“Most people would prefer a large home over a small home given the choice,” said Redfin chief economist Daryl Fairweather. “That’s true regardless of what’s happening in the world, although spending more time at home due to the pandemic is encouraging some homebuyers to seek out bigger houses with bigger yards. But affordability still reigns, which is why the market for large homes isn’t much hotter than for smaller homes. The lines are drawn economically. The people with steady work-from-home jobs are able to move away from city centers, or even to entirely different parts of the country, and find more space for a similar price. But a lot of people searching for homes are in less advantageous financial situations and can’t afford more space even if they want it.”

The average minimum square footage of Redfin.com users’ saved searches was 1,864 so far in August, up from 1,794 a year ago and up from 1,803 in January. The size of sought-out homes has been growing over the past five years, up from 1,685 in January 2016.

“People want bigger: Bigger houses, bigger properties,” said Vancouver, WA Redfin agent Chriss Houghton. “That’s what people are asking for, whether their idea of big is a half-acre, one acre or 10 acres. If people are living in a small cookie-cutter home right now, they want a larger house with extra rooms and a dedicated place for an office.”

Redfin analyzed July housing market data to determine whether homebuyer interest in additional space has translated to a hotter housing market for bigger homes. The answer? Yes–but only slightly.

Sales grew nearly 10 times faster for large homes than small homes

Sales were up 21.2% year over year nationwide for large homes in July, compared with 10% for medium-sized homes and 2.3% for small homes. For this analysis, Redfin divided single-family homes across the country into three size tiers: Small (300-1,500 square feet), medium-sized (1,500-3,000 square feet) and large (3,000-5,000 square feet).

The increase in pending sales for large homes was nearly double that of medium-sized homes, with an even bigger gap for small homes

The story is similar for homes that went under contract in July, with large homes experiencing a 16.1% year-over-year increase in pending sales, compared with 9% for medium-sized homes and 2.6% for small homes.

The coronavirus outbreak has caused homebuyers to want larger homes, with 21% of homebuyers saying the pandemic has caused them to want designated space to work from home and 21% saying it has caused them to want more outdoor or recreational space, according to a Redfin survey of more than 1,000 people who are planning to buy a home within the next 12 months from July 19-21. Additionally, 10% said they now want a bigger home, and 7% said they want a designated space for children to learn from home.

Prices jumped more for rural areas (up 11.3% year over year in July) and suburbs (9.2%) than urban areas (6.7%), which points to a preference for more space. The median square footage of homes that have found a buyer in rural areas and suburbs is about 1,850, versus about 1,500 in urban areas.

But small and medium-sized homes saw their prices increase slightly more than large homes

The price of the typical small home was up 8.1% year over year to $199,900 in July, versus a 7.5% increase to $322,500 for medium-sized homes and a 6.7% increase to $539,000 for large homes. The bigger price increase for smaller homes is likely due to buyers prioritizing affordability. Seventeen percent of homebuyers said the pandemic has caused them to want a less expensive home, according to the aforementioned survey.

The typical small home sold 19 days faster than the typical large home

Homes of all sizes sold faster than last year in July, with small and medium-sized homes selling faster than large homes. The typical small home went under contract in 28 days (2 fewer days than last year), versus 34 days (-2) for medium-sized homes and 47 days (-3) for large homes. Just under 39% of small homes went under contract within two weeks (up from 28.9% last year), compared with 34.1% of medium-sized homes (up from 22.8%) and 24.1% of large homes (up from 14.3%). It’s typical for more expensive homes to take longer to sell.

New listings increased nearly 8% for large homes, and declined for smaller homes

New listings of large homes were up 7.6% year over year, while they were down 8.3% for small homes and down 1% for medium-sized homes. Total home supply was down about 25% from last year in July for each category. A lack of new listings has contributed to dwindling supply among small and medium-sized homes. But while there has been an increase in new listings of large homes, they are being snatched off the market in greater numbers, which is why total inventory is down about the same amount for all three categories.

The uptick in new listings of large homes could be partly due to owners of larger, more expensive homes realizing they have the potential to earn a significant amount of money by selling their home.

“Owners of single-family homes are recognizing it’s a good time to capitalize on demand from people who want more room, both inside and outside, to accommodate all the new things they’re doing at home,” said Seattle Redfin agent Jessie Culbert Boucher. “Some people have been in their large family homes for decades, they’ve been thinking about selling and see that now is a good time. Others–and these are definitely not the ones who have lost their jobs during the pandemic–are putting their big houses on the market and taking advantage of low mortgage rates to upgrade into even larger, even nicer homes.”
National-housing-market-summary-by-home-size,-July-2020.jpg

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Luxury Projects, 20 Towers, Planned For Hallandale Beach

As beachfront land in Miami, Fort Lauderdale and Palm Beach has become built out, development is filling South Florida’s in-between municipalities. Luxury Projects, 20 Towers, Planned For Hallandale Beach Courtesy of KAR Properties An aerial image shows how Hallandale Beach, south of Hollywood, is growing with luxury towers. Cities such as Hollywood, Dania Beach and Sunny Isles Beach have all experienced this trend. Next up: Hallandale Beach, which is sandwiched between Miami and Fort Lauderdale. Twenty towers are in the works there, and the local Community Redevelopment Agency says $1B in projects are underway. Developer Ari Pearl of PPG Development has landed a $100M loan for one of the city’s most ambitious projects: luxury SLS Residences. The financing, arranged by Lotus Capital Partners, will go to ground-up construction of an SLS-branded residential building with 250 units on the 127-acre Diplomat Golf & Tennis Club site at 501 Diplomat Parkway. PPG bought the site for $43M in 2018. The SLS residential component is a $220M development, part of a bigger, $650M expansion that is slated to include hotel towers, a Katsuya restaurant, an 18-hole championship golf course designed by Greg Norman and a 48-slip marina. Hallandale Beach, once largely a haven for retirees and snowbirds, has a population of 40,000. It has recently been making headway in retail/restaurant space, with acclaimed Japanese restaurant Etaru and a proposed 14K SF Icebox Culinary Center, with a greenhouse and restaurants. A mixed-use complex called Atlantic Village will also feature over 700K SF of restaurants, plus retail and Class-A office. South Florida Office Market Update October 24, 2019 | Register Now Featured Speaker Mukang Cho CEO, Morning Calm Management Mukang Cho Other major projects in the works in Hallandale include: 2000 Ocean, a residential project by New York-based developer KAR Properties and furnished by Italian design brand Minotti. Hallandale Oasis, an Arquitectonica-designed mixed-use project on Hallandale Beach Boulevard, including two high-end residential towers and two retail commercial areas. Gulfstream Point, a new, 300-unit apartment complex with a ground-floor restaurant near Gulfstream Park Racing & Casino. See Also: Fort Lauderdale Aiming For A More Walkable Downtown Related Topics: SLS Hotel, SLS International, Hallandale Beach, SLS Hotels, SLS Lux, Hallandale Beach City Council, SLS Hotels & Residences, SLS Properties AddThis Sharing Buttons Share to Facebook FacebookShare to TwitterTwitterShare to LinkedInLinkedInShare to EmailEmailShare to PrintPrint

Read more at: https://www.bisnow.com/south-florida/news/construction-development/hallandale-beach-towers-luxury-101095?utm_source=CopyShare&utm_medium=Browser

2019 a Buyer’s Market! Housing market will be slower, steadier as higher interest rates weigh on prices.

It looks like 2019 could be a buyer’s market in real estate, but that’s not necessarily a good sign for the economy.

Home prices, while still higher than a year ago, are pulling back in most major markets, according to a report released Wednesday. Values in November were 5.1 percent higher compared with November 2017, CoreLogic said. That is down from the 5.4 percent annual gain seen in October. CoreLogic is now projecting a smaller, 4.8 percent gain in November 2019.

The decline in asking prices comes as sellers face a new reality of higher interest rates and affordability worries among potential buyers.

“The rise in mortgage rates has dampened buyer demand and slowed home-price growth,” said Frank Nothaft, chief economist at CoreLogic. “Interest rates for new 30-year fixed-rate loans averaged 4.9 percent during November, the highest monthly average since February 2011. These higher rates and home prices have reduced buyer affordability.”

• Home values in November were 5.1 percent higher compared with November 2017, according to a report released Wednesday by CoreLogic. But that is down from the 5.4 percent annual gain seen in October.
• The slowdown in asking prices comes as sellers face a new reality of higher interest rates and affordability worries among potential buyers.
• CoreLogic is now projecting a smaller, 4.8 percent gain in November 2019.

There is also more supply on the market now, as new listings come out amid a slower sales pace. Last spring, more than half of the nation’s 50 largest housing markets were considered “overvalued,” meaning prices were at least 10 percent higher than their long-term sustainable levels. In November, that share slipped to 44 percent.

Mortgage rates shot up in the fall, and by the start of November the average rate on the popular 30-year fixed mortgage sat just over 5 percent, according to Mortgage News Daily. It has since fallen back, in response to the major sell-off in the U.S. stock market, and wider concerns over global economic growth. The rate hit 4.61 percent on the last day of 2018. That is still 57 basis points higher than the end of 2017.

Miami Enjoys Over $3.1 Billion in Residential Sales in Q3

According to the Miami Association of Realtors, total Miami-Dade County home sales surged 15.2 percent in 3Q 2018 as median prices for all properties rose for the 27th consecutive quarter.

Total Miami sales rose 15.2 percent, from 5,895 to 6,792. Miami condo transactions jumped 16.7 percent, from 3,021 to 3,524. Miami existing single-family sales increased 13.7 percent, from 2,874 to 3,268. Third quarter statistics include September, which was impacted by stalled sales in 2017 due to Hurricane Irma. While sales have been trending upwards, the percentage is higher than it might have been because of closings delayed by the hurricane last year.

“The statistics are being compared to a quarter that saw many South Florida home sales stalled, but a long view analysis of Miami real estate shows a market thriving with high demand and low supply,” MIAMI Chairman of the Board George C. Jalil said. “Miami single-family home sales are on pace to better last year’s total home sales numbers, and Miami condos have posted positive gains in three of the last four quarters.”

$3.1 billion in Total Miami Sales Volume in 3Q 2018

Total sales volume accounted for $3.1 billion in 3Q 2018, a 24 percent increase from the $2.5 billion sales volume a year ago. The sales do not include Miami’s multi-billion-dollar new construction condo market.

Non-distressed sales comprised 93 percent of all closed residential sales in 3Q 2018 vs. 90 percent in 3Q 2017. Only 6.8 percent of all closed residential sales in Miami were distressed in 3Q 2018, including REO (bank-owned properties) and short sales, compared to 10.4 percent in 3Q 2017. In 2009, distressed sales comprised nearly 70 percent of Miami sales.

Short sales and REOs accounted for 1.5 and 5.3 percent, respectively, of total Miami sales in 3Q 2018. Short sale transactions decreased 29.2 percent year-over-year while REOs fell 23.6 percent.

Miami Luxury Homes Sales Surge 27.9 Percent

Total luxury home sales ($1 million and above) jumped 27.9 percent, from 343 in 3Q 2017 to 439 in 3Q 2018.

Single-family home luxury sales fueled the $1-million-and-above transaction surge, increasing 33 percent to 254 transactions in 3Q 2018. Condo luxury transactions increased 21.7 percent to 185 transactions in 3Q 2018.

A rise in sales among mid-priced condos also played a key role in 3Q 2018. Miami condo sales in the $150,000 to $400,000 range increased 27.8 percent year-over-year, from 1,772 sales to 2,264.

Low mortgage rates make purchasing a home more affordable. According to Freddie Mac, the interest rate for a 30-year fixed-rate mortgage averaged 4.57 percent for 3Q 2018, up from the 3.89 percent recorded during the same quarter a year earlier.

Miami Median Prices Rise for 27th Consecutive Quarter

The median price for single-family homes in Miami-Dade County increased to $360,000 in the third quarter, an 8.5 percent jump from $331,750 in the same period last year. The median price for existing condominiums increased 3.3 percent year-over-year from $227,500 to $235,000.

Median prices have now increased for 27 consecutive quarters, a streak spanning 6.75 years.

Statewide, the median sales price for single-family existing homes in 3Q 2018 was $255,000, up 6.3 percent from the same time a year ago, according to Florida Realtors. The statewide median price for condo-townhouse properties during the quarter was $182,500, up 6.1 percent over the year-ago figure.

The national median existing single-family home price in the third quarter was $266,900, up 4.8 percent from the third quarter of 2017 ($254,700), according to the National Association of Realtors.

Hot Markets Overview Reveals Strong Demand and Limited Supply in Many Local Areas

Months’ supply of inventory is a strong indicator of real estate activity. Top Miami neighborhoods with the lowest months of supply of inventory in 3Q 2018:

Single-Family Homes

• Richmond Heights, a small community south of Kendall, had 7 months supply
• Westview, a north Dade community south of Opa-locka, had 4 months supply
• Palmetto Estates, a South Dade community west of Palmetto Bay, had 2.7 months supply
• El Portal, a small community south of Miami Shores, had 2.8 months supply
• Palm Springs North, a northwestern Dade community south of the Broward line, had 3.0 months supply

Condominiums

• Three Lakes, a South Dade community west of Kendall, had 2.2 months supply
• Richmond West, a south Dade community west of Palmetto Bay, had 1.9 months supply
• Tamiami, a South Dade community west of Kendall, had 2.2 months supply
• Naranja, a south Dade community north of Leisure City, had 2.5 months supply
• Miami Lakes, a north Dade town north of Hialeah, and Kendale Lakes, a south Dade community west of Kendall, each had 2.7 months supply

National, State Home Sales in 3Q 2018

Nationwide existing-home sales, including single family and condos, decreased 2.6 percent to a seasonally adjusted annual rate of 5.273 million in the third quarter, down from 5.413 million in the second quarter. That number is 2.4 percent lower than the 5.403 million pace during the third quarter of 2017, according to NAR.

Closed sales of single-family homes statewide totaled 72,843 in 3Q 2018, up 7.5 percent from the 3Q 2017 figure, according to Florida Realtors. Looking at Florida’s condo-townhouse market, statewide totaled 28,894 during 3Q 2018, up 9.5 percent compared to 3Q 2017.

Balanced Market for Single-Family Homes, Buyer’s Market for Condos 

At the current sales pace, the number of active listings represents 6.2 months of inventory for single-family homes and 13.6 for condominiums. A balanced market between buyers and sellers offers between six and nine months of supply inventory.

Miami real estate had 22,087 active listings in the third quarter, a 5.7 percent increase from the 20,894 listings at the same time last year. The inventory for single-family homes increased 9.8 percent, from 6,060 to 6,652. Miami existing condo inventory grew 4.1 percent, from 14,834 to 15,435.

Miami Homes Selling Close to List Price 

The median percent of original list price received was 95.7 percent for single-family homes and 94.1 percent for condos in 3Q 2018.

The median time to contract for single-family home listings was 44 days, a 4.8 percent increase from 42 days in 3Q 2017. The median time to contract for existing condos was 74 days, a 5.7 percent increase from 70 days in 3Q 2017.

The median time to sale for single-family homes decreased 4.3 percent, from 94 days to 90. The median time to sale for existing condos increased 1.8 percent, from 114 to 116

Miami Cash Sales Almost Double National Figure 

Cash sales represented 36.1 percent of Miami closed sales in the third quarter of 2018, compared to 39.9 percent in 3Q 2017. About 21 percent of U.S. home properties are made in cash, according to the latest NAR statistics. The high percentage of cash buyers reflects Miami’s top position as the preeminent American real estate market for foreign buyers, who tend to purchase with all cash.

Cash sales accounted for 49.4 percent of all Miami existing condo sales and 21.8 percent of single-family transactions.

Mortgage Rates in U.S. Decline in Early November!

According to Freddie Mac’s most recent Primary Mortgage Market Survey for November 2018, U.S. mortgage rates dropping slightly after last week’s increases.

Sam Khater, Freddie Mac’s chief economist, says, “While higher mortgage rates have led to a decline in home sales this year, the weakness has been concentrated in expensive segments versus entry-level and first-time buyer which remains firm throughout most of the rest of the country. Despite higher mortgage rates, the monthly mortgage payment remains affordable. For many buyers the chronic lack of entry-level supply is a larger hurdle than higher mortgage rates because choices are limited and the inventory shortage has caused home prices to rise well above fundamentals.”

Freddie Mac News Facts

• 30-year fixed-rate mortgage (FRM) averaged 4.83 percent with an average 0.5 point for the week ending November 1, 2018, down from last week when it averaged 4.86 percent. A year ago at this time, the 30-year FRM averaged 3.94 percent.

• 15-year FRM this week averaged 4.23 percent with an average 0.5 point, down from last week when it averaged 4.29 percent. A year ago at this time, the 15-year FRM averaged 3.27 percent.

• 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 4.04 percent with an average 0.3 point, down from last week when it averaged 4.14 percent. A year ago at this time, the 5-year ARM averaged 3.23 percent.

(http://www.worldpropertyjournal.com/real-estate-news)

Miami Home Sales Spike 35 Percent Annually in September…

via Miami Home Sales Spike 35 Percent Annually in September…

Miami Home Sales Spike 35 Percent Annually in September…

According to a new report by the Miami Association of Realtors, total Miami-Dade County home sales in September 2018 surged 35.7 percent last month a year after Hurricane Irma brought minimal damage and stalled hundreds of sales in September 2017.

Miami-Dade single-family home sales jumped 43 percent year-over-year, from 684 to 978, in September. The condo market continued trending upward with 29.5 percent more sales in September 2018 vs. September 2017. Miami condo sales have risen in seven of the last nine months.

“Miami is one of the most resilient communities in the world and our real estate market embodied that resiliency by bouncing back as expected from stalled transactions in September 2017,” said MIAMI Chairman of the Board George C. Jalil. “The sales growth continues a trend of increased Miami home sales, particularly in the existing condo market.”

Miami Single-Family Home Sales Jump 43 percent

Miami-Dade County single-family home sales increased 43 percent year-over-year, from 684 to 978. The Miami market has registered 9,851 single-family home sales year to date, an increase of 0.7 percent from this time last year.

The largest segment of growth for single-family home sales is the $200,000 to $600,000 range. The segment recorded 757 single-family home sales, an increase of 49 percent from September 2017.

Miami Existing Condo Sales Have Increased in Seven of the last Nine Months

Miami existing condo sales increased 29.5 percent year-over-year in September, from 804 to 1,041. The Miami market has registered 10,531 existing condo sales year to date, an increase of 5.2 percent from this time last year.

The largest segment of growth for existing condo sales is the $150,000 to $300,000 range. The segment recorded 539 condo sales, an increase of 47.7 percent from September 2017.

Sales Dollar Volume Jumps 42.6 Percent to $900 Million 

Total sales volume increased to $900 million from $631.1 million in September 2017. Existing condo sales volume increased from $304.7 million to $374.3 million (an increase of 22.8 percent). Single-family home total dollar volume rose 61.1 percent, from $326.4 million to $525.7 million.

Luxury sales played a significant role in the rise of the total sales volume. Miami single-family $1 million-and-up luxury sales jumped 62.2 percent, from 45 to 73 transactions. Existing luxury condo sales increased 25.6 percent, from 43 to 54 transactions.

Luxury single-family home sales have now increased for five consecutive months. Luxury existing condo sales have increased in five of the last six months.

Lack of access to mortgage loans continues to inhibit further growth of the existing condominium market. Of the 9,307 condominium buildings in Miami-Dade and Broward counties, only 12 are approved for Federal Housing Administration loans, down from 29 last year, according to Florida Department of Business and Professional Regulation and FHA.

Nearly Seven Consecutive Years of Price Appreciation in Miami 

Miami-Dade County single-family home prices increased 7.5 percent in September 2018, increasing from $335,000 to $360,000. Miami single-family home prices have risen for 82 consecutive months, a streak of nearly seven years. Existing condo prices rose 1.3 percent, from $234,500 to $237,500 in September. Condo prices have increased in 85 of the last 88 months.

Low mortgage rates make purchasing a home more affordable. According to Freddie Mac, the average commitment rate for a 30-year, conventional, fixed-rate mortgage increased to 4.63 percent in September from 4.55 percent in August. The average commitment rate for all of 2017 was 3.99 percent.

Miami Distressed Sales Continue to Drop, Reflecting Healthy Market 

Only 6.8 percent of all closed residential sales in Miami were distressed last month, including REO (bank-owned properties) and short sales, compared to 9.1 percent in September 2017. In 2009, distressed sales comprised 70 percent of Miami sales.

Total Miami distressed sales increased 1.5 percent year-over-year, from 135 in September 2017 to 137 last month.

Short sales and REOs accounted for 1.6 and 5.2 percent, respectively, of total Miami sales in September 2018. Short sale transactions increased 3.2 percent year-over-year while REOs increased 0.9 percent.

Nationally, distressed sales accounted for 3 percent of sales (lowest since NAR began tracking in October 2008), down from 4 percent a year ago.

Miami Real Estate Selling Close to List Price 

The median number of days between listing and contract dates for Miami single-family home sales was 47 days, an 14.6 percent increase from 41 days last year. The median number of days between the listing date and closing date for single-family homes was 91 days, a 1.1percent decrease from 92 days.

The median time to contract for condos was 70 days, a 4.1 percent decrease from 73 days last year. The median number of days between listing date and closing date decreased 7.5 percent to 111 days.

The median percent of original list price received for single-family homes was 95.6 percent. The median percent of original list price received for existing condominiums was 94.7 percent.

National and State Statistics 

Nationally, total existing-home sales fell 3.4 percent from August to a seasonally adjusted rate of 5.15 million in September. Sales are now down 4.1 percent from a year ago (5.37 million in September 2017).

Statewide closed sales of existing single-family homes totaled 21,087 last month, up 17 percent compared to September 2017, according to Florida Realtors. Statewide closed condo sales totaled 8,492 last month, up 14.6 percent compared to a year ago.

The national median existing-home price for all housing types in September was $258,100, up 4.2 percent from September 2017 ($247,600). September’s price increase marks the 79th straight month of year-over-year gains.

September was the 81st month-in-a-row (over six and a half years) that statewide median sales prices for both single-family homes and condo-townhouse properties increased year-over-year. The statewide median sales price for single-family existing homes was $251,610, up 4.9 percent from the previous year, according to Florida Realtors. The statewide median price for condo-townhouse units in September was $182,500, up 5.5 percent over the year-ago figure.

Miami’s Cash Buyers Represent almost Double the National Figure 

Miami cash transactions comprised 35.4 percent of September 2018 total closed sales, compared to 43.5 percent last year. Miami cash transactions are almost double the national figure (21 percent).

Miami’s high percentage of cash sales reflects South Florida’s ability to attract a diverse number of international home buyers, who tend to purchase properties in all cash. Miami has a higher percent of cash sales for condos due to lack of financing approvals for buildings.

Condominiums comprise a large portion of Miami’s cash purchases as 48.9 percent of condo closings were made in cash in August compared to 21.1 percent of single-family home sales.

Balanced Market for Single-Family Homes, Buyer’s Market for Condos 

Inventory of single-family homes increased 9.8 percent in September from 6,060 active listings last year to 6,652 last month. Condominium inventory increased 4.1 percent to 15,435 from 14,834 listings during the same period in 2017.

The increase in inventory is for properties above $300,000 for condos and for properties above $600,000 for single family homes.

Monthly supply of inventory for single-family homes increased 10.7 percent to 6.2 months, which indicates a balanced market. Existing condominiums have a 13.6-month supply, which indicates a buyer’s market. A balanced market between buyers and sellers offers between six and nine months supply of inventory.

Total active listings at the end of September increased 5.7 percent year-over-year, from 20,894 to 22,087. Active listings remain about 60 percent below 2008 levels when sales bottomed.

New listings of Miami single-family homes increased 73.9 percent to 1,682 from 967. New listings of condominiums increased 59.9 percent, from 1,429 to 2,285. The numbers are impacted from the stalled transactions after Hurricane Irma in September 2017.

Nationally, total housing inventory at the end of September decreased from 1.91 million in August to 1.88 million existing homes available for sale, and is up from 1.86 million a year ago. Unsold inventory is at a 4.4-month supply at the current sales pace, up from 4.3 last month and 4.2 months a year ago.

New-Home Sales Tick Up as Housing Shortfall Tops 4 Million

via New-Home Sales Tick Up as Housing Shortfall Tops 4 Million

New-Home Sales Tick Up as Housing Shortfall Tops 4 Million

The numbers: New-home sales ran at a seasonally adjusted annual 629,000 rate in August, the Commerce Department said Wednesday.

What happened: Sales of newly-constructed homes rose 3.5% compared to July, and edged past the MarketWatch consensus of a 625,000 pace. And the pace of sales in August was 12.7% higher than a year ago. But hefty revisions to prior months were all downward, a reminder that the housing recovery remains grudgingly slow.

Big picture: The government’s home-construction reports are based on small samples and are often revised heavily, making it hard to rely on any one month’s data. For the year to date, sales were 6.9% higher than the same period last year. That year-to-date comparison has declined steadily over the course of the year, a possible sign of flagging momentum.

Another sign may be rising inventories: at the current pace of sales, it would take 6.1 months to exhaust available supply, one of the highest ratios in recent years. In a note out after the release, Amherst Pierpont Securities Chief Economist Stephen Stanley noted that there were 318,000 homes available for sale in August, the highest number since 2011.

What they’re saying: Economists at Freddie Mac analyzed the pace of new housing construction and found that years of underbuilding has left the U.S. with a cumulative shortfall—that is, supply compared to historical averages—of 4.6 million housing units in the years since 2000. That number is especially stark considering that builders constructed a surplus of homes in the bubble years of the last decade.

Investors have turned bearish on publicly-traded builders, even as the fundamentals remain tilted in their favor. On a Tuesday call with analysts, KB Home CEO Jeffrey Mezger addressed that issue, and reiterated the company’s commitment to lower-priced homes, where most housing-watchers think the greatest need—and the greatest opportunity—sits.

“I keep getting back to the current inventory levels which are low. While the national numbers are four months, many of the markets we’re in today at still two months, month-and-a-half, and then when you get into the price points we play at, it’s even less. So there’s not a lot of inventory out there at the affordable price band and much of the headlines, I think, are tied to higher price points that are seeing some slowdown and we’re trying to stay ahead of that,” Mezger said. “We think market conditions are very good and continue to see a great opportunity as we head into 2019.”

KB Home’s results from the most recent quarter beat Wall Street expectations.

Market reaction: The iShares U.S. Home Construction ETF was down in morning trading. Its shares have lost nearly 17% in the year to date.

 

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