The February 2017 Miami Beach market update is an interesting one to say the least.  Especially when it comes to condos.  Like I have said in past, 2017 is certainly going to be an interesting year with the market changes that lie ahead. Lets start with Miami Beach single family homes first, which seems to be the more stable and predictable side of the market.

In February 2016 Miami Beach saw 22 single family home closed sales.  The average sale price per square foot was $564/sqft and the average days a listing took to sell was 179 days.  Compare that with February 2017, there were 20 homes sold with a huge jump in price per square foot at $835/sqft and an average of 223 days on the market.  While the huge difference in sale price per square foot does reflect todays higher prices, its also important to remember that Miami Beach has several different neighborhoods with single family homes where the sale prices can vary greatly.  This indicates that the Miami Beach single family home market is fairly stable year over year with the amount of closed sales almost identical.  

February 2016 Miami Beach Single Family Home Sales

February 2017 Miami Beach Single Family Home Sales

Here is where things get interesting, with the Miami Beach condo market.  In February 2016 Miami Beach saw 196 condo closed sales with an average of $525/sqft and average 101 days on the market.  In February 2017, there were only 89 condo closed sales with average price per square foot only slightly up to $534/sqft and average of 145 days on the market until sold.  This is a drastic difference from only 1 year ago with a 56% decrease in the amount of units sold.  When you combine that statistic with the fact that average price per square foot only went up incrementally and units are taking significantly longer to sell, we have a slowdown on our hands.  This is simple supply and demand and the demand for condos in the area appears to be on the decline. 

February 2016 Miami Beach Condo Sales

February 2017 Miami Beach Condo Sales

To conclude the February 2017 Miami Beach Market Update, I predict throughout 2017 the Miami Beach condo market will continue to decline, especially with the glut of new inventory becoming available just across Biscayne Bay and even here in Miami Beach.  The single family home market on the other hand seems to be fairly stable and I don’t expect to see any significant changes this year with houses, other than a slight decline in overall prices.  If you enjoy these articles, I will keep them coming on a monthly basis when the previous months market data is available.  Until then, feel free to contact me today!