Miami Beach Real Estate Blog

Miami Beach single family homes (especially waterfront luxury homes) that are truly good deals continue to be in short supply. I’d like to take this opportunity to highlight two latest sales in the island communities off Miami Beach which are indicative of a price bottoming trend:

Di Lido Island Turnkey Home with Endless Water Views

Luxury Home - 830 W Dilido Dr, Miami Beach

Tropical paradise for that was on the market for sale for just 12 days at the final asking price of $2.9 Million. Master bedroom is surrounded by water and sunlight which opens to pool/deck. Wide bay views at the north tip  of Venetian Islands. The oversized living room, completely updated, is very comfortable and sunny. Courtyard/ circular driveway decorated  bytrimmed landscaping and wrought iron sliding gate. Fabulous private pool overlooking the open bay, dock and other boat equipment.

Key “Market Bottom” indicators:

“For Sale” Price: $2,950,000 (12 days on the market at this reduced price point)
Original List Price : $4,700,000 (July, 2008)
Previous Price Reduction: $3,450,000 (January, 2009)
Bedrooms: 4
Bathrooms: 3
House S.F.: 3,734
Land S.F.: 13,408
Closed Price per S.F.(Land): $194
Closed Price per S.F.(House): $698
Previous Sold Date: 2004 ($3,150,000)
Closed Price: $2,610,000 (Sept 2, 2009)
Discount from Latest Asking Price: 11.5%

Rivo Alto Island Waterfront Home – Completely Remodeled

25 East Rivo Alto home in Miami Beach

Over 100 linear feet on Biscayne Bay, on the preferred southern side of the Venetian Islands. This Mediterranean delight greets with a beautiful courtyard setting reminiscent of a European Villa. Gracious living areas and authentic touches throughout.  Upstairs are 3 bedrooms with Water Views in main home. The sale also included a separate two story adjacent guest house.

Key “Market Bottom” indicators:

“For Sale” Price: $2,590,000 (19 days on the market at this ACCURATE price point)
Bedrooms: 4
Bathrooms: 4
House S.F.: 3,894
Land S.F.: 13,382
Closed Price per S.F.(Land): $175
Closed Price per S.F.(House): $740
Previous Sold Date: 1998 ($950,000)
Closed Price: $2,350,000 (Sept 1, 2009)
Discount from Latest Asking Price: 9.2%

Biscayne Island- Incredible Land “Steal”

Miami Beach Venetian Island Home

Double lot on Biscayne Island this home needed to be updated. Biscayne Island is one of the Venetian Islands located on the Miami side. Located at the end of the street in a private cul de sac surrounded by million dollar homes. This one sold for well below land appraised value. Located just minutes from the new performing arts center, beaches, Lincoln Road, Ocean Drive, the airport, Downtown Miami, entertainment, shopping and more.

Key “Market Bottom” indicators:

“For Sale” Price: $700,000 (207 days on the market at this price point)
Original List Price : $1,500,000 (July, 2007)
Bedrooms: 3
Bathrooms: 2
House S.F.: 1,888
Land S.F.: 14,760
Closed Price per S.F.(Land): $38
Closed Price per S.F.(House): $301
Closed Price: $570,000 (July 24, 2009)
Discount from Latest Asking Price: 18.5%

What we’re seeing (again) is that Miami Beach waterfront and non-waterfront single family homes that are priced RIGHT have multiple offers and sell relatively quickly.

If you’re a potential buyer interested in purchasing, NOW is the time to pull the trigger if you qualify for a mortgage (count on putting 30% cash down of appraised value) or have the cash to invest in remodeling a home.  My advice is that under no circumstances should buyers be seeking to potentially “flip” or plan on making a profit on their property for AT LEAST five years.

Miami Beach single family homes (especially waterfront luxury properties) are in limited supply, and with most major financial news pundits announcing a “housing bottom”, I’d like to take this opportunity to highlight two latest sales in the island communities off Miami Beach which are indicative of this conclusion.

Venetian Islands Turnkey Home:

Venetian Islands Home

Venetian Islands waterfront home with stunning, direct, Downtown Miami unobstructed bay views. This 3,586 square foot home was renovated with 3 bedrooms, a great kitchen, media room and maid’s bedroom/bath. Facing west, with pool, boat dock and 60′ of waterfront.

Key “Market Bottom” indicators:

“For Sale” Price: $3,200,000 (20 days on the market at this reduced price point)
Closed Price: $2,800,000 (August 11, 2009)
Original List Price : $4,200,000 (May, 2009)
Previous Price Reduction: $3,400,000 (June, 2009)
Bedrooms: 4
Bathrooms: 5
House S.F.: 3,586
Land S.F.: 10,500
Asking Price per S.F.(Land): $304
Previous Sold Date: 2004 ($2,225,000)

Discount from Latest Asking Price: 12.5%

Biscayne Island Home – Wide Bay Fixer Upper:

Biscayne Island Home

Opportunity to complete the remodeling of this Spectacular Waterfront residence located on the Miami side of the Venetian Islands chain.  The new owners will enjoy the Panoramic water views of a home located on a 15,000 lot.

Key “Market Bottom” indicators:

“For Sale” Price: $2,137,500 (5 days on the market at this reduced price point)
Closed Price: $2,030,000 (July 16, 2009)
Original List Price : $6,7500,000 (February, 2007)
Previous Price Reduction: $2,500,000 (March, 2009)
Bedrooms: 3
Bathrooms: 4
House S.F.: 4,010
Land S.F.: 15,000
Asking Price per S.F.(Land): $142
Previous Sold Date: 01/2007 ($5,350,000)

Discount from Latest Asking Price: 5%

If you’re a potential seller of waterfront real estate in Miami Beach and cannot hold on to your property because of negative cash flow (probably if your housing expenses total more than 31% of your gross income), the smart approach is to price right. Working with a knowledgeable, honest, and experienced sales agent is the key here, and the price needs to be based on the last three to six months of closed sales.   My team and I have experienced that Miami Beach waterfront properties- whether they are single family homes or condos which are priced RIGHT have multiple offers and sell quickly.

If you’re a potential buyer interested in purchasing, NOW is the time to pull the trigger if you qualify for a mortgage (count on putting 30% cash down of appraised value).  My advice is that under no circumstances should buyers be seeking to potentially “flip” or plan on making a profit on their property for AT LEAST five years.  There are many reasons why we can expect to see an initially FLAT and then GRADUAL price appreciation in Miami Beach real estate market for several years.  Times have indeed changed, but the opportunity to purchase a discounted PRIME waterfront single family home or condo is now!