- Brought to you by the Miami Association of Realtors
And we’re not talking about the weather! With a continued influx of out-of-state buyers and historically low interest rates, South Florida’s real estate market is as hot as ever. We spoke with three of the region’s top real estate experts about the market’s current state, tips for buyers and sellers, and predictions for the future.
Jorge L. Guerra Jr. launched his brokerage firm Real Estate Sales Force (RESF) 15 years ago; he now has four offices throughout South Florida with over 475 agents. He also serves as the 2020 chairman of the Miami Association of Realtors and the 2021 global liaison of the National Association of Realtors (NAR).
How would you characterize the current state of luxury real estate in Miami? Since the pandemic set in, people from the Northeast have been flooding the region and absorbing some of the inventory. Additionally, our international market is fueled by once-in-a-lifetime interest rates, which have shined a light on South Florida.
Any noticeable trends over the last six months? The most noticeable trend has been people moving down to South Florida from the Northeast. It’s not about the Big Apple anymore—it’s the “Big Orange.”
What are your predictions for the next six to 12 months? If there is a second wave of COVID, I expect a slowdown during the winter months and the start of 2021. In the next 12 months, if there is a vaccine, a market fueled by low interest rates and growth will be the perfect recipe for a booming real estate economy.
Would you say that you are seeing a difference in local buyers vs. out-of-state buyers? The difference is that the local buyers are taking advantage of interest rates; out-of-state buyers are coming here because of Miami’s lifestyle.
What are some of the best neighborhoods right now for luxury buyers, sellers and investors? Coral Gables, Miami Beach and Brickell. Single-family houses are going to be very expensive, so condos are the best investment right now.
Tips for buyers/sellers? For buyers: Come pre-qualified, work with an experienced agent, and do your research to understand pricing—because you have to be aggressive. For sellers: With low inventory, low interest rates and an unpredictable future, right now is the perfect time to get top dollar for your property. Also, invest in a real estate professional that leverages technology since most showings are now virtual.
What’s a common mistake buyers/sellers make? A common mistake buyers make is looking for houses without being pre-qualified, therefore presenting a weak offer. Also, working with an inexperienced agent. You want someone who knows what they’re doing and can get you a deal in a booming market. For sellers, a big mistake is overpricing your listing, not investing in web appeal and not preparing your home for sale. When you sell a house, it’s more than just posting a “for sale” sign in the front yard. There is a psychological aspect to it. Buying a home is a very personal decision. You want calming music in the background, the fresh aroma of cookies or flowers to envelope the home. Unveil the home in a way that potential buyers can envision themselves living there.
Any recent notable sales or listings? 205 N. Hibiscus Drive in Miami Beach is one of the most luxurious and prestigious waterfront homes on Hibiscus Island. The property faces north with open waterways and 120 feet of water frontage to fit your yacht and jet skis. The home is tastefully remodeled with floor-to-ceiling high-impact windows, a new kitchen, new bathrooms and a two-car garage. It also features an indoor barbecue grill with a fully equipped kitchen for your guests at your pool. The pool and jacuzzi have also been remodeled and updated with a new pool deck. The home has 3,488 square feet of living space on a 21,000-square-foot lot equipped with state-of-the-art security cameras and entertainment system. The property is fully gated and staffed with a 24-hour police officer at the main gate, giving you high-level security. Hibiscus Island comes with four lit tennis courts, basketball courts, four racquetball courts and a children’s park. It’s also minutes from South Beach, Downtown Miami and all of the famous restaurants and nightlife this city has to offer!
Having lived half of her life abroad, Patricia Anglero, an Angola native of Portuguese descent, has gained a broad understanding of international business. She earned her real estate license in 2003, successfully transitioning from an agent at Galleria Collection to owner of Galleria International Realty, where real estate is treated as a “people business,” and agents are given the support they need.
How would you characterize the current state of Broward’s luxury real estate market? The luxury market was moving a little better initially this year, but with global uncertainties right now, many buyers are waiting in the wings to capture a better deal.
Any noticeable trends over the last few months? All sales in Broward’s luxury market saw a slight slowdown, somewhat due to the lack of Jumbo loan products. More recently, we have seen a steady increase in available listings, which has caused sellers to give better incentives and reduce prices to meet market conditions and keep buyers interested.
What are your predictions for Broward real estate over the next six to 12 months? The appeal of South Florida to Northeast buyers will continue to be the driving force of our healthy market—about 65% of our buyers are from out of state. Low inventory is driving the price, and the influx of buyers seeking single-family homes in the suburbs has not stopped.
What are some of the best neighborhoods right now for luxury buyers/sellers/investments? Pompano Beach, Greenacres, Wellington and Parkland.
Tips for buyers/sellers right now? Do your homework about the area that suits you for the next eight to 10 years. Take advantage of low interest rates now to be able to afford a higher price point. Consult with an experienced Realtor and identify your “ultimate” home before starting to drive around looking. A good agent will ask you many questions so that they can set up appointments based on your criteria.
What’s a common mistake buyers/sellers make? Thinking that dealing with the seller directly is the best course of action. Owning a home is one of the most important decisions you will make. A reputable Realtor will know how to guide buyers and sellers in pricing their properties correctly.
Any recent notable sales or listings? 1900 N. Ocean Blvd., #4 in Fort Lauderdale sold for $4.65 million in May 2020.
Bill Mate began his real estate career about 15 years ago by selling luxury homes in the Jupiter area; today, his firm Paradise Real Estate International has 150 agents. He is also the 2021 president of the Miami Association of Realtors’ Jupiter-Tequesta-Hobe Sound Board of Governors.
How would you characterize the current state of Palm Beach’s luxury real estate market? Palm Beach continues to exceed past sales from a year ago month-after-month due to increased migration to Florida. Some experts say the often-utilized figure of 1,000 people a day moving to Florida is probably underestimated and that the actual figure is probably closer to 2,000 a day. Palm Beach abounds with luxury communities like the city of Palm Beach, where homes range from $2.5 million to $60 million—and some of them were built in the 1920s. Sales also abound in the private golf communities of Jupiter, Delray and Boca Raton.
Any noticeable trends in the Palm Beach market over the last six months? We have seen increased pricing on homes because of the demand and influx of buyers. The opposite occurs with inventory: As sales and prices increase, there are fewer homes on the market, which fuels higher prices. The trend has shown many homes selling in a week—or even a day. If you are a buyer, don’t hesitate.
What are your predictions for the next six to 12 months? The future is always hard to predict, but I don’t see the emerging trend changing. Interest rates are low or the lowest they have ever been. This, coupled with the exodus from the Northeast and Florida being a no-income-tax state, will continue to increase sales and lower inventory.
Would you say that you are seeing a difference in local buyers vs. out-of-state buyers? The majority of new buyers are out-of-state buyers. They are seeking all that Florida has to offer and its many outside amenities and opportunities.
What are the best neighborhoods right now for luxury buyers/sellers/investments? Palm Beach continues to attract wealthy residents to its luxury atmosphere and environment, but in Jupiter, many club communities offer golf, tennis, social amenities and access to water. Admirals Cove, for example, has 6 miles of tidal water behind its gates, and almost everyone has a dock in their backyard.
Tips for buyers/sellers right now? As I said earlier, if you are a true buyer, don’t hesitate because the home you are considering won’t be available tomorrow. As for sellers, make sure your home is in pristine condition so buyers can make a quick decision. Also, both buyers and sellers should plan for the next step after the buy/sell transaction: Where is the seller going to live? How is the buyer going to furnish the home? How long will they be there? How do they handle my medical concerns?
What’s a common mistake buyers/sellers make? Again, buyers and sellers must plan and be prepared for the transaction and beyond.
Any recent notable sales or listings? 224 Eagle Drive and 117 Waters Edge Drive, both recently sold in Jupiter.