Many Miami Beach condo buyers we encounter in the real estate buying process often labor under several misconceptions, which could be called myths. Below are a few of what I've found to be the most common:
1. We are looking for "a below market deal / distressed sale". The longer the condo is on the market, the more willing the Miami Beach condo seller will be to negotiate a bargain price.
The Miami Beach waterfront condo market has gotten a considerable boost from a very active first half of the year. This type of waterfront condo and luxury real estate sales momentum has not been seen since the market heights of 2006. Especially in premier waterfront condo buildings, such as The Continuum on South Beach, continue to set remarkable sales records! Recent myth-busting impressive sales, and diminishing supply, for oceanfront condos and waterfront homes is on a steady and stable rise - dissolving the above stated Buyer misconceptions. Especially in Miami Beach's South of Fifth neighborhood, the latest luxury condo sales momentum has led to a greatly diminished supply of available waterfront condo inventory. As you can be seen at the the very bottom of this article, the past 90 days of South Pointe area condo sales at The Continuum (North and South Towers), Apogee, The Murano at Portofino, The Portofino Tower, and The South Pointe Tower average 90% of asking prices.
2. If my offer is accepted right away, the offer was too high; in this Buyer's market, I don't have to negotiate, the Miami Beach condo seller does.
Location & architectural uniqueness are a few of the key determining factors in recent buyers decisions to purchase. As illustrated by the most recent Miami Beach condo sales at the aforementioned Continuum Miami Beach, Apogee, and The Murano at Portofino. The underlying reason for the recent price APPRECIATION and diminishing supply (at reduced price points) is that there will be NO further waterfront condo development in South Beach. Given the scarcity of waterfront land, as well as The City of Miami Beach's strict development regulations / restrictions, this puts a PERMANENT bottleneck on future condo building development & supply. This also represents a strong upside for future Miami Beach waterfront real estate market appreciation.
Even an older "B" caliber South Beach condo building - The South Pointe Tower, due to its amazing location South of Fifth Street (behind South Pointe Park and facing Fisher Island) – has witnessed incredible sales momentum in the past year! The South Pointe Tower was completed in 1981, and is next door to The Continuum on South Beach - which offers twelve incredible oceanfront acres at the southernmost tip of Miami Beach. This as the equivalent of living next to an Oceanfront resort, and has features and a location that CANNOT be reproduced. This is why specific ultra-luxury waterfront condo buildings such as The Continuum, Apogee, and The Murano at Portofino have had recent sales approaching $1,600/S.F., with unprecedented Buyer demand (from mostly high net worth Foreign Buyers).
As real estate sales professionals, it's our duty to get the best possible price for our clients. As part of this process, when working with qualified Buyers, this involves educating a Miami Beach condo buyer and setting realistic expectations as to what is a "good deal".
Miami Beach Condos- Ninety Days Closed Sales| Closing Date | Miami Beach Condo | List Price | Living Area | LP$/SqFt | Sales Price | SP$/LP$ |
| 7/14/2011 | SOUTH POINTE TOWER COND I | $ 779,900 | 1,279 | $ 610 | $ 772,500 | 99.051 |
| 7/8/2011 | CONTINUUM II | $ 3,500,000 | 2,173 | $ 1,611 | $ 3,500,000 | 100 |
| 7/8/2011 | PORTOFINO TOWERS | $ 1,690,000 | 2,340 | $ 722 | $ 1,625,000 | 96.154 |
| 7/6/2011 | CONTINUUM NORTH TOWER | $ 1,595,000 | 1,698 | $ 939 | $ 1,400,000 | 87.774 |
| 7/5/2011 | SOUTH POINTE TOWER | $ 850,000 | 1,165 | $ 730 | $ 825,000 | 97.059 |
| 6/30/2011 | Continuum on South Beach | $ 1,550,000 | 1,698 | $ 913 | $ 1,450,000 | 93.548 |
| 6/30/2011 | Continuum on South Beach | $ 3,750,000 | 2,508 | $ 1,495 | $ 3,400,000 | 90.667 |
| 6/30/2011 | CONTINUUM SOUTH TOWER | $ 2,250,000 | 2,122 | $ 1,060 | $ 2,122,000 | 94.311 |
| 6/28/2011 | PORTOFINO TOWERS | $ 2,275,000 | 2,040 | $ 1,115 | $ 1,750,000 | 76.923 |
| 6/27/2011 | CONTINUUM ON SOUTH BEACH | $ 2,005,000 | 1,698 | $ 1,181 | $ 1,700,000 | 84.788 |
| 6/27/2011 | CONTINUUM ON SOUTH BEACH | $ 4,431,000 | 3,017 | $ 1,469 | $ 3,850,000 | 86.888 |
| 6/27/2011 | CONTINUUM NORTH TOWER | $ 3,999,999 | 2,621 | $ 1,526 | $ 3,836,000 | 95.9 |
| 6/22/2011 | Continuum North Tower | $ 699,000 | 640 | $ 1,092 | $ 675,000 | 96.567 |
| 6/21/2011 | Murano at Prtofino | $ 2,399,000 | 2,618 | $ 916 | $ 2,215,000 | 92.33 |
| 6/20/2011 | APOGEE CONDO | $ 7,990,000 | 4,154 | $ 1,923 | $ 7,350,000 | 91.99 |
| 6/16/2011 | South Pointe Tower | $ 725,000 | 1,559 | $ 465 | $ 700,000 | 96.552 |
| 6/13/2011 | CONTINUUM SOUTH BEACH | $ 1,490,000 | 1,591 | $ 937 | $ 1,379,000 | 92.55 |
| 6/10/2011 | Continuum South Tower | $ 3,850,000 | 2,508 | $ 1,535 | $ 3,800,000 | 98.701 |
| 6/6/2011 | PORTOFINO TOWER | $ 1,250,000 | 2,340 | $ 534 | $ 950,000 | 76 |
| 6/6/2011 | Apogee | $ 5,400,000 | 2,756 | $ 1,959 | $ 4,900,000 | 90.741 |
| 6/2/2011 | continuum | $ 5,299,000 | 3,017 | $ 1,756 | $ 5,050,000 | 95.301 |
| 6/2/2011 | South Pointe Towers | $ 675,000 | 1,169 | $ 577 | $ 565,500 | 83.778 |
| 6/2/2011 | MURANO AT PORTOFINO | $ 1,090,000 | 1,791 | $ 609 | $ 935,000 | 85.78 |
| 5/26/2011 | Murano At Portofino | $ 3,800,000 | 3,365 | $ 1,129 | $ 3,500,000 | 92.105 |
| 5/24/2011 | PORTOFINO TOWER | $ 699,000 | 1,090 | $ 641 | $ 655,000 | 93.705 |
| 5/18/2011 | PORTOFINO | $ 1,295,000 | 2,340 | $ 553 | $ 1,188,000 | 91.737 |
| 5/18/2011 | SOUTH POINTE TOWER | $ 700,000 | 1,042 | $ 672 | $ 680,000 | 97.143 |
| 5/17/2011 | CONTINUUM NORTH TOWER | $ 4,500,000 | 3,017 | $ 1,492 | $ 4,050,000 | 90 |
| 5/17/2011 | SOUTH POINTE TOWER | $ 990,000 | 1,559 | $ 635 | $ 926,000 | 93.535 |
| 5/16/2011 | Continuum On South Beach | $ 1,345,000 | 1,491 | $ 902 | $ 1,300,000 | 96.654 |
| 5/10/2011 | Continuum South Beach | $ 4,500,000 | 2,954 | $ 1,523 | $ 4,000,000 | 88.889 |
| 5/10/2011 | Continuum South Tower | $13,500,000 | 6,438 | $ 2,097 | $ 10,576,000 | 78.341 |
| 5/9/2011 | MURANO AT PORTOFINO | $ 2,550,000 | 2,618 | $ 974 | $ 2,400,000 | 94.118 |
| 5/3/2011 | Continuum North Tower | $ 7,900,000 | 5,300 | $ 1,491 | $ 6,500,000 | 82.278 |
| 5/3/2011 | SOUTH POINTE TOWER | $ 575,000 | 858 | $ 670 | $ 550,000 | 95.652 |
| 4/30/2011 | continuum on south beach | $ 2,995,000 | 2,292 | $ 1,307 | $ 2,850,000 | 95.159 |
| 4/29/2011 | PORTOFINO TOWERS | $ 1,599,000 | 2,040 | $ 784 | $ 1,480,000 | 92.558 |
| 4/29/2011 | PORTOFINO TOWERS | $ 1,275,000 | 2,040 | $ 625 | $ 1,100,000 | 86.275 |
| 4/28/2011 | CONTINUUM ON SOUTH BEACH | $ 1,100,000 | 1,365 | $ 806 | $ 1,100,000 | 100 |
| 4/28/2011 | Murano at Portofino | $ 2,895,000 | 2,618 | $ 1,106 | $ 2,200,000 | 75.993 |
| 4/26/2011 | Murano at Portofino | $ 1,395,000 | 1,407 | $ 991 | $ 1,250,000 | 89.606 |
| 4/25/2011 | The Continuum | $ 1,425,000 | 2,072 | $ 688 | $ 1,425,000 | 100 |
| Average List Price to Sales Price: | 90% |
