Make Your Move with Montgomery Mills

2009 Real Estate Market Review for Miami-Dade County

2010-01-06T15:27:00.001-08:00

2009 ended and 2010 started with a flurry of activity. Buyers are realizing there's no advantange to wait any longer. Marc Roth with BusinessWeek posted an article Dec. 8, 2009 titled "If You Don't Buy a House Now, You're Stupid or Broke." Great history lesson on interest rates, how they affect loan costs, and why now is the ideal time to buy a house if you're going to. Interest rates are already starting to inch their way up in a trend likely to continue as the housing market and the economy in general show signs of improvement. Prices may not drop further in the area you're interested in and even if they do, the drop may be offset by an increase in interest rates. Inventory levels are dropping, reducing the quantity of homes to select from. If you want to buy a house, now's the time.

A lot of changes took place in 2009 that affect qualifying for a loan. Talk to your loan officer, figure out what you qualify for and get started.

So how did the housing market perform in 2009?

Here's some interesting sales data pulled from our local MLS database that applies to single family homes. Total sales for the last 4 years is listed for comparison and perspective:

Miami-Dade County

Total sales for 2006: 11,074 - 2007: 7,071 - 2008: 6,535 - 2009: 9,974

In 2008, 12.1% of the sales were bank owned properties. In 2009, 52% were bank owned sales. With over half the sales being bank owned property, the market for sellers was rough. The reality of prices adjusting after years of 30% + increases in value each year until our market shifted in April of 2005 was a hard pill to swallow. Our market here saw the beginning of a cycle change in the summer of 2008.

Home sellers took a long time to recognize the adjustment or decrease in value. They set high asking prices and many "chased the market" with reductions. Bank owned properties were priced based on Broker's Price Opinions (BPO's) and appraisals, so most had lower asking prices. Still, in early 2009 many of them sat with no activity for long periods of time until the price was reduced to what buyers were willing to pay. A home is worth what buyers are willing to pay, period. Their opinion of value changed in 2006 and as inventory levels increased to to the point where they could negotiate with a seller without competition for the same property. If the seller wanted to sell...

By the end of 2009, REO sales had changed considerably, with most getting multiple offers within a few days and selling for more than the original asking price. In early 2009, with so few sales in each area, it was difficult to find proper comparables to use as a guide for pricing property. With most people including banks preferring to err on the high side, sales took longer in early 2009 than they do today if the price is set correctly for day one of the sale. In most subdivisions today there are enough recent sales to easily calculate a narrow range of what an asking price should be set at and what the final sale price will most likely be.

In 2008, 7.4% of the properties that sold were short sales - 13.7% were short sales in 2009.

As of today, there are 8,408 homes for sale. 466 are bank owned (5.5%) and 3,035 are short sales. (36.1%) The quantity of bank owned property has drastically reduced. (in case you didn't figure that out from the 52% of the sales in 2009 were bank owned properties)

The Village of Pinecrest

Total sales for 2006: 168 - 2007: 137 - 2008: 131 - 2009: 168

In 2008, 2.3% of the sales were bank owned properties. In 2009, 13.1% were bank owned sales. In 2008, 3.1% of the properties that sold were short sales - 8.3% were short sales in 2009.

As of today, there are 176 homes for sale. None are bank owned and 24 are short sales. (13.6%)

The Village of Palmetto Bay

Total sales for 2006: 225 - 2007: 186 - 2008: 156 - 2009: 177

In 2008, 5.1% of the sales were bank owned properties. In 2009, 20.3% were bank owned sales. In 2008, 7.1% of the properties that sold were short sales - 9.6% were short sales in 2009.

As of today, there are 121 homes for sale. 5 are bank owned (4.1%) and 24 are short sales.(19.8%)

The Town of Cutler Bay

Incorporated in 2005, the MLS data for Cutler Bay sales reflects no sales in 2006 and only 55 in 2007. The first full year of sales reflected is 2008 with 120 total sales. 2009: 200

In 2008, 6.7% of the sales were bank owned properties. In 2009, 41% were bank owned sales. In 2008, 9.2% of the properties that sold were short sales - 20.5% were short sales in 2009.

As of today, there are 110 homes for sale. 14 are bank owned (12.7%) and 48 are short sales. (43.6)

The City of Coral Gables

Total Sales for 2006: 409 - 2007: 331 - 2008: 331 - 2009: 351

In 2008, 6.3% of the sales were bank owned properties. In 2009, 14.8% were bank owned sales. In 2008, 3.9% of the properties that sold were short sales - 8% were short sales in 2009.

As of today, there are 438 homes for sale. 9 are bank owned (2.1%) and 35 are short sales. (8%)

The City of South Miami

Total sales for 2006: 74 - 2007: 57 - 2008: 52 - 2009: 66

In 2008, 3.8% of the sales were bank owned properties. In 2009, 33.3% were bank owned sales. In 2008, 3.8% of the properties that sold were short sales - 10.6% were short sales in 2009.

As of today, there are 57 homes for sale. 3 are bank owned (5.3%) and 11 are short sales. (19.3%)

Take advantage of an ideal time to buy and have a Happy New Year!

Is there any place better to live?

2010-01-03T09:24:00.000-08:00

This is my favorite time of year to enjoy South Florida living. The weather couldn’t be better. It’s refreshing to have the cooler days. Now’s the time to enjoy all of the wonderful outdoor activities Miami has to offer.

Next weekend, January 9 and 10, 2010 from 10 am to 5 pm is the Beaux Arts Festival on the campus of the University of Miami. Admission and parking is free. Admission to Lowe Art Museum will also be free for the weekend.

The setting for this show is peaceful and relaxing on the green lawns of the campus. There’s a variety of art and prices for everyone’s taste. And, speaking of taste, there will be a sampling of delicious foods available.

For the first time there will be a family area with a magician and storyteller for the children. Bring the family and enjoy a great art show.

Pinecrest Farmers’ Market Moves

2009-12-05T06:44:00.000-08:00

Pinecrest Gardens at 11000 Red Road (formerly Parrot Jungle) will be the beautiful new home of the market. Sunday, December 6, 2009 is opening day and it will run on Sundays through April 2010. Vendors will be there from 9:00 am – 2:00 pm.

In the past this market was located in the parking lot at Gardner’s Market, but it had outgrown the space. Now with the additional space they will be able to offer more locally grown and produced products such as fruits and vegetables, Bee Haven Farm honey, Tim Rowan lettuces, goat cheese, hand made soaps, Hani Hkouri ice cream, and orchid plants.

This is a great way to spend time outside enjoying our gorgeous South Florida weather while purchasing delicious fresh fruit and vegetables for the upcoming week.

When you are tired of turkey......

2009-11-27T09:35:00.001-08:00

And looking for a change in menu here’s a great place to try. Pinecrest Bistro located at 12313 S. Dixie Highway in Pinecrest. At this time they are only open for dinner.

Chef Bente Lamchick (her brother was a former owner of Flemings) and husband Randy are co-owners.

Although they have been open for 3 years I had dinner there earlier this week for the first time. What a delightful surprise.

For starters they brought out warm fresh pita bread with homemade humus. I think it’s the best pita I’ve ever had. My choice of one of the specials turned out to be an excellent one - grilled salmon on a bed of fresh sautéed spinach with a wonderful, flavorful sauce. It was accompanied by brown rice and a crispy salad.

The setting is small and intimate. Scott, one of the servers, made the visit special and we found he was very knowledgeable about the wines.

Chef Bente is happy to try to accommodate any special dietary wants or needs.

If you give them a try, I don't think you will be disappointed.

MM

Annual Ramble at Fairchild

2009-11-20T08:00:00.000-08:00

This weekend is the 69th Annual Ramble at Fairchild Tropical Gardens in Coral Gables. If you have attended in the past, I know you are looking forward to this year’s event as much as I am. If you’ve never been, you should add this to your activities for this weekend. For the first time, the Ramble has been extended to 3 days beginning on Friday, November 20th and running through Sunday, November 22nd. The festivities begin at 9:30 am and closes at 4:30 pm.

There is something for everyone in the family to enjoy. For a schedule of events go to Ramble.

You can also go to Fairchild Tropical Gardens and print a coupon good for $5.00 off admission.

Hope to see you there.

Marie

Weekly Report for Pinecrest, Palmetto Bay and Cutler Bay

2009-11-17T15:48:00.000-08:00

Another week flew by. Seems like the days are going by faster the closer we get to the holiday season. The days are shorter, it's getting dark earlier, and buyers that want to take a look at houses after work are ending up seeing one or two after dark. I had a 5:30 appointment last Saturday to show a property on E-Lake listed by Vicki and Alexandra Restivo and ended up outside just in time for the sun to set. The colors made a spectacular backdrop for the dock and beach area. Impressive. Sometimes work doesn't feel like work at all.

Here's the sales activity from our local MLS from last Wednesday, November 11, 2009 through tonight, Tuesday, November 17, 2009.

Village of Pinecrest
As of tonight Pinecrest has a total of 191 single family homes for sale. Only one is a foreclosure, 22 are short sales. 5 of the total available were added since last Wednesday; none of the 5 added to the market are bank owned or short sales.

There are currently 32 total under contract. 1 is bank owned, 14 are short sales. 104 closed in the last 6 months. 13 were bank owned, 5 were short sales. 1 home went under contract since last Wednesday. It was a short sale. 2 properties closed since last Wednesday, neither were bank owned or a short sale.

Pinecrest currently has 168 homes for sale, 17 under contract, and 86 that closed in the last 6 months that were neither bank owned or short sales. In one week 5 entered the market and 2 closed that weren't bank owned or short sales. One was a 4/3 with 3904 sf on a 35,109 sf lot that sold for $1,245,500. The other house was larger; a 7/6 with 6941 sf on a 40,120 sf lot that sold for $2,150,000.

Village of Palmetto Bay
Palmetto Bay has a total of 141 single family homes for sale tonight. 3 are bank owned; 29 are short sales. 7 of the total were added since last Wednesday; 0 bank owned and 3 short sales.

There are currently 51 properties under contract. 7 are bank owned, 25 are short sales. 4 homes went under contract since last Wednesday. 1 is bank owned, 2 are short sales. 106 properties closed in the last 6 months. 17 were bank owned, 11 were short sales. 1 property closed since last Wednesday. It was a short sale with 3 bedrooms, 2 baths, 1697 sf on a 10,000 sf lot that sold for $235,000.

Palmetto Bay has 109 for sale, 19 under contract and 78 sales in the last 6 months that weren't bank owned or a short sale. 5 homes entered the market and 1 went under contract last week that weren't bank owned or short sales.

Cutler Bay
Cutler Bay has a total of 102 single family homes for sale. 5 are bank owned, 51 are short sales. 8 of the total were added last week; none are bank owned, 3 are short sales.

Tonight there are a total of 91 homes under contract. 13 are bank owned, 65 are short sales. 3 went under contract since last Wednesday. 1 is a foreclosure sale, 2 are short sales.

There have been 120 single family home closings in Cutler Bay in the last 6 months. 44 were bank owned, 26 were short sales. 1 sale closed since last Wednesday. It wasn't bank owned or a short sale - a 2/2 with 1030 sf on a 5658 sf lot that sold for $95,000.

Cutler Bay has 46 homes for sale, 13 under contract and 50 that closed in the last 6 months that aren't bank owned or short sales. 5 entered the market last week and 1 sold that were regular resales by the owners.

The real estate market normally slows down between Thanksgiving and the end of the year, but what's normal? Last year wasn't "normal." This year between the extended and expanded tax credit, low interest rates and those wanting to purchase in time to file for their homestead exemption, the activity for this last quarter may show an increase instead of slowing down.

Weekly Report for Pinecrest, Palmetto Bay and Cutler Bay

2009-11-10T19:59:00.001-08:00

Wow, last week went by fast.

Here's the sales activity from our local MLS from last Wednesday, November 4, 2009 through tonight, Tuesday, November 10, 2009.

Village of Pinecrest
As of tonight Pinecrest has a total of 191 single family homes for sale. Only one is a foreclosure, 23 are short sales. 6 of the total available were added since last Wednesday; none of the 6 added to the market are bank owned, 2 are short sales.

There are currently 34 total under contract. 1 is bank owned, 14 are short sales. 103 closed in the last 6 months. 14 were bank owned, 5 were short sales. 3 home went under contract since last Wednesday. One was a short sale.

2 properties closed since last Wednesday, neither were bank owned or a short sale.

Pinecrest currently has 167 homes for sale, 19 under contract, and 84 that closed in the last 6 months that were neither bank owned or short sales. In one week 4 entered the market, 2 went under contract and 2 closed that weren't bank owned or short sales.

Village of Palmetto Bay
Palmetto Bay has a total of 141 single family homes for sale tonight. 4 are bank owned; 30 are short sales. 10 of the total were added since last Wednesday; 1 bank owned and 1 was a short sale.

There are currently 48 properties under contract. 6 are bank owned, 23 are short sales. 5 homes went under contract since last Wednesday. 1 bank owned, none were short sales.

108 propeties closed in the last 6 months. 18 were bank owned, 10 were short sales. 2 properties closed since last Wednesday. Neither was bank owned or a short sale.

Palmetto Bay has 107 for sale, 19 under contract and 80 sales in the last 6 months that weren't bank owned or a short sale. 8 homes entered the market, 4 went under contract and 2 closed last week that weren't bank owned or short sales.

Cutler Bay
Cutler Bay has a total of 98 single family homes for sale. 6 are bank owned, 49 are short sales. 6 of the total were added last week; 2 are bank owned and 3 are short sales.

Tonight there are a total of 90 homes under contract. 12 are bank owned, 65 are short sales. 1 went under contract since last Wednesday. It was a foreclosure sale.

There have been 119 single family home closings in Cutler Bay in the last 6 months. 44 were bank owned, 26 were short sales. 1 sale closed since last Wednesday. It wasn't bank owned or a short sale.

Cutler Bay has 43 homes for sale, 13 under contract and 49 that closed in the last 6 months that aren't bank owned or short sales. 1 entered the market last week and 1 sold that were regular resales by the owners.

Vacant Land in the Village of Pinecrest

2009-11-08T05:08:00.000-08:00

The Village of Pinecrest has always been a prestigious and highly sought after location. For some, purchasing the right house in this ideal location is what they have in mind. For a select few, finding the ideal location to build their custom dream home is the dream they're hoping to turn into reality. This post is for those with a custom built home in their future.

Market history:
In Miami-Dade County, our market shifted in April of 2005. Here's how land in Pinecrest has performed since then...

Using data pulled from our local MLS service which includes land sold via Brokers and Realtors, and tracking only lots from a half acre to an acre and a half, (21,780 sf - 65,340 sf) the quantity of sales each year has remained constant; 4 sales in 2006, 4 in 2007, 4 in 2008, and 4 again so far in 2009.

The average length of time it took to sell hasn't changed much either. The average days on the market in 2006 was 97, 110 days in 2007, 145 days in 2008, and an average of 103 so far in 2009.

What has changed is the price per square foot. In 2006 the average price per square foot was $30.78 per sf. In 2007 it was $23.94. 2008 had an average of $18.76 per sf. Here we are in 2009 with the 4 lots sold this year averaging at $12.79 per sf.

Granted, there are other things to consider when you're using statistics to make a point with a small amount of data to pull from. Location is one... the northern end of Pinecrest would have more value than the southern part. A street lined with mature Oak trees or land containing these beautiful trees would have more appeal and value as well. Generally speaking though, these numbers tell the story.

In some respects, when it comes to value, the effect of the market cycle in Pinecrest is fairly similar to other areas. On the other hand, the consistent sales since the shift clearly shows just how desirable this area is. Comparatively speaking, owners of land in Pinecrest have done well when the decision is made to sell, whether there was an existing structure to tear down or not.

Today
There are a total of 46 lots available for purchase in the Village of Pinecrest. 29 of those are between a 1/2 acre and 1 1/2 acres. 8 are on an acre or more.

Here's one you've had to have noticed if you drive through Pinecrest.

It's on the corner of 82 Ave and SW 124th Street. A full acre (43,560 sf) for sale priced at $570,000.00. This is the lowest priced one acre or more property for sale in Pinecrest. Bargain.

It's located directly across the street from Evelyn Greer Park. In 2005, this park was highlighted as one of the best playgrounds in South Florida by Parenting Magazine. Gardner's market is one block away. The entrance to the US 1 corridor is also a block away. Location.

The lot was foreclosed on and offered for sale by the lender at the end of September 09. It was offered for sale in May of 2005 for $799,000.00.

The 2008 market value posted on the tax roll is $666,468.00.

This prime location priced at $13.08 per sf is one of the great deals available in Pinecrest right now. Opportunity.

For questions regarding the sale you can contact me.
You can reach me on my cell at 786-205-4207 or by email at mills.v@ewm.com.

For questions or approval of your building plans, the Village of Pinecrest Building and Planning Department can be contacted as follows:

12645 Pinecrest Parkway
Pinecrest, Florida 33156
(305) 234-2121
(305) 234-2133 Fax
(305) 234-2111 Inspection Line

Email Building Dept. building@pinecrest-fl.gov
Email Planning Dept. planning@pinecrest-fl.gov

Weekly Report for Pinecrest, Palmetto Bay and Cutler Bay

2009-11-03T15:36:00.001-08:00

Busy schedule Monday. Tuesday night works a lot better for me.

Here's the sales activity from our local MLS from last Wednesday, Oct. 28, 09 through tonight, Tuesday, Nov. 3, 09.

Village of Pinecrest
As of tonight Pinecrest has a total of 189 single family homes for sale. Only one is a foreclosure, 22 are short sales. 10 of the total available were added since last Wednesday; none of the 10 added to the market are bank owned or short sales.

There are currently 35 total under contract. 1 is bank owned, 14 are short sales.

104 closed in the last 6 months. 14 were bank owned, 5 were short sales.

1 home went under contract since last Wednesday. It wasn't a foreclosure or short sale.

2 properties closed since last Wednesday, neither were bank owned or a short sale.

Village of Palmetto Bay
Palmetto Bay has a total of 137 single family homes for sale tonight. 5 are bank owned; 31 are short sales. 7 of the total were added since last Wednesday; 1 bank owned and no short sales.

There are currently 46 properties under contract. 5 are bank owned, 23 are short sales. 4 homes went under contract since last Wednesday. 1 bank owned, no short sales.

108 propeties closed in the last 6 months. 18 were bank owned, 9 were short sales. One bank owned property closed since last Wednesday.

Cutler Bay
Cutler Bay has a total of 92 single family homes for sale. 5 are bank owned, 46 are short sales. 9 of the total were added last week; 1 is bank owned and 7 are short sales.

Tonight there are a total of 97 homes under contract. 13 are bank owned, 69 are short sales. 9 went under contract since last Wednesday. 2 are bank owned, 3 are short sales.

There have been 115 single family home closings in Cutler Bay in the last 6 months. 43 were bank owned, 25 were short sales. 4 sales closed since last Wednesday. 2 were bank owned, no short sales closed.

Notice the pattern? In each area, short sales out number the foreclosures when the properties are under contract. The numbers reverse when it comes to actual closings. A much larger percentage of bank owned sales close than those that are short sales.

Bank owned; sale prices are approved prior to it going on the market. Short sales prices have to be approved by the lender after it's under contract. Unfortunately for the seller and the buyer, a large percentage will not be approved and sold.

If you're a buyer thinking of making an offer on a short sale, unless you don't mind waiting two or three months only to find out the lender didn't approved your offer, take a hard look at the numbers before making your offer. Forget the asking price. You don't know how the asking price was determined. There are homes for sale at prices there's no way a lender will ever approve of. All that does is create a flurry of wasted activity.

You can greatly increase the odds of getting a short sale purchase approved by being realistic with your initial offer after a review of what it's really worth. Then at least you've got a logical basis to negotiate a good deal with the lender. Before approving an offer, the lender's going to take a long, hard look at the property's current market value. They'll pay one or two brokers and an appraiser to offer their opinions on what that current value is to add into their data analysis mix. Then they'll tally up the expenses they'd have to foreclose, maintain and sell it themselves. If your offer isn't close to what that projected number is, they're not going to approve your offer. Whether you're buying or selling, market value is the majic number to base your strategy on. Need help figuring out what market value is?

Gables by the Sea

2009-10-29T19:13:00.000-07:00

Today's tasks included checking up on a property we currently have under contract in Gables by the Sea.

Gorgeous day... just had to take a short detour once I finshed.

The end of Lugo Ave., the main road through the Coral Bay subdivision, offers a spectacular view.

Downtown Miami off in the distance, a world away accross the water.

A warm day, a light breeze, just enough to carry salt in the air.

A moment on the one fixed bridge to take it all in before heading back to the office.

These homes are on the north side of the bridge.

While they did take a good picture with the sun behind me, the homes on the south side of the bridge have direct ocean access.

Direct ocean access, when you want it.

There are 14 homes available. 11 have direct ocean access with no bridges between you and gorgeous open water anytime you want.

Exclusive gated community with a voluntary association.

Priced between $1,595,000 and $3,900,000.

Weekly Report for Pinecrest, Palmetto Bay and Cutler Bay

2009-10-26T05:59:00.000-07:00

Sales activity data from our local MLS for the week of 10/18/09 - 10/26/09.

Village of Pinecrest

As of this morning Pinecrest has a total of 188 single family homes for sale. Only one is a foreclosure, 25 are short sales. 5 of the total available were added last week; none of the 5 are bank owned. 1 is a short sale.

4 homes went under contract last week. None of those were bank owned properties; 2 are short sales. There were no closings reported last week.

Village of Palmetto Bay

Palmetto Bay has a total of 143 single family homes for sale this morning. 4 are bank owned; 32 are short sales. 6 of the total were added last week; 1 bank owned and 1 short sale.

2 homes went under contract last week. 0 bank owned, 1 short sale. No closings reported last week.

Cutler Bay

Cutler Bay has a total of 91 single family homes for sale. 7 are bank owned, 41 are short sales. 5 of the total were added last week; 1 is bank owned and 3 are short sales.

9 went under contract last week. 2 are bank owned, 7 are short sales. 2 sales closed last week; neither were bank owned or a short sale.

Now is a good time to sell if you've been waiting and live in any of these areas. There's a small window of opportunity while there's little competition from bank owned properties and before things slow for the holiday season.

It's also still a good time to buy, but the "good deals" are dissappearing fast at this point. Better make you're move... Call us.

September data for Pinecrest, Palmetto Bay and Cutler Bay

2009-10-25T17:23:00.000-07:00

September numbers are in. Here’s a quick comparison of how September 2009 compared to September 2008.

In Miami-Dade County, there were 46.2% fewer single family homes for sale at the end of September 2009 than there were at the end of September 2008, and there were 33.7% more sales recorded in September 2009 than there were in September 2008. The condo and townhouse market was similar with inventory levels down 29.4% and sales up 39%.

The Village of Pinecrest: 18.1% fewer homes on the market and sales up 171.4% from the same month a year ago. Available condos and TH’s went down 49.5% while sales remained steady with no increase or decrease.

The Village of Palmetto Bay: Inventory levels went down 47.9% while sales went up 47.1%. Condo and TH’s , quantities for sale decreased 41.7, sales went up 100%.
Cutler Bay: 61% fewer homes for sale in Sept. 09 than there was in Sept. 08. Sales shot up 52.2% Condos and townhouses numbers went down 43.2% while sales increased 400% from the same month last year.

Still not convinced the market is shifting? Take a look at the 5 year graph for Miami-Dade County real estate activity.

So what does this mean?

If you’re a buyer, your options to choose from are a great deal fewer today than they were last year. Fewer homes to choose from means competition with other buyers. Multiple offers are already occurring. As competition grows, so will the odds of you paying a higher price. Higher prices turn into higher appraised values for similar homes. Property values stop decreasing, level off, and start to rise again.

Bottom line… if you plan to buy, it really is time to get serious.

Victor Mills - 786-205-4207