March was a mixed month for Miami-Dade real estate, according to data released Wednesday by Miami-Dade Realtors.
Compared to March 2015, the median sale price of single-family homes in Miami-Dade increased by 7.7 percent, from $260,000 to $280,000, while prices of existing condos slid by 2.5 percent, to $215,000 from $209,500 in the previous year.
EWM Realty International broker Chris Zoller attributes the slump in condo prices to the “simple fact that developers are selling new product.”
“If you have money for both [a new car and a used car], what are you going to buy? Like most people, you’re going to look to buy a new product,” he said.
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The volume of sales in Miami-Dade also dropped. Single-family home sales decreased 5.8 percent from March 2015, with 1,240 sales this year versus 1,168 in the same month of 2015. Sales of condos declined by nearly twice as much, falling 11.5 percent, from 1,466 in March 2015 to 1,297.
Meanwhile in Broward, median sale prices increased across the board, with single-family prices up 2.9 percent over March 2015 and condo prices up 5.8 percent year-over-year. The number of sales in Broward increased by 2.9 percent for single-family homes, from 1,399 to 1,440, and 5.4 percent for condos/townhouses, from 1,544 sales to 1,628, according to data released by Broward Realtors.
“Miami-Dade has slowed down, specifically due to the strong dollar and the economy of Latin America. When the Latins are looking at currency valuations that have resulted in an . . . increase in price, it has had a profound effect on [sales],” said Phil Spiegelman, principal of ISG World. “But this isn’t the first time . . . political unrest in Latin America has had effect on the South Florida real estate market,” and markets will readjust, he added.
Spiegelman and Zoller predict that both sales and prices across Miami-Dade will return to an upward trajectory in the coming months.
Miami-Dade inventory grew in March, with an increase of 8.2 percent for single-family homes and 15.9 percent for condos. Single-family homes fall just short of the six-month supply considered a healthy threshold, while condos surpass it almost twofold with a 10.8-month supply.