I’ve had several requests to produce a Miami Beach Real Estate Market Report for South Beach Luxury condos in the SoFi area (South of Fifth). The reason is simple, SoFi condo sales keep defying all Miami Real estate market trends and reinforces the notion that real estate is local – in this case as local as each particular condo building in a very small area of Miami Beach. We’ve had reporters contact us to explain the discrepancy in this market trend. If numbers show that Miami real estate prices have decreased 30%, what is going on in South Beach? Again – those are very general numbers that pull all of Miami and Miami Beach together! Meaning condos in Little Havana and Kendall areas are being compared to Oceanfront condos in Miami Beach – doesn’t make any sense and it’s good to separate those figures to understand how local in nature Miami Beach Real Estate really is.
I cannot stress enough how important it is to look at each particular building when trying to come up with pricing. In the Data provided above you will find all of 2008 condo sales in the SoFi area of South Beach with averages – The average list price of a condo in SoFi in 2008 was $1,238,500 and the average sold price per square foot was $651. But… when you discriminate each building those prices are totally different – here’s an example:
- Apogee South Beach average list price was $4,805,000 and average sold price per square foot was $1,360
- Continuum South average list price was $2,867,000 and average sold price per square foot was $1,072
- Continuum North average list price was $1,712,000 and average sold price per square foot was $845
- Icon South Beach average list price was $1,434,000 and average sold price per square foot was $725
- The Yacht Club at Portofino average list price was $617,000 and average sold price per square foot was $548
- Murano Grande average price was $1,578,000 and average sold price per square foot was $625
Even within each building, it is difficult to compare a low floor unit with a street view to a PH oceanfront residence, or even an interior unit in the same floor! That’s why it is crucial that buyers work with a Miami Beach Realtor that knows the area well.
Apogee South Beach is one of my all time favorite buildings and is defying all odds in the so called “down Miami real estate market“- its architecture is austere and simple – my second favorite is Continuum South and it has to do with location and amenities (not so much architecture….i find it a bit labyrinthian in quality). So the lesson here is to compare apples to apples and not to generalize when it comes to Miami Real Estate. And on THAT note, I will leave you with a statement made by David Gibbons, Zillow’s Director of Community Relations made yesterday on Twitter.
and here’s a postcript made by David right afterwards – thanks! much appreciated! 🙂
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**data obtained from South East Florida MLS**