The natural emigration of buyers is fueled by better value.
Last month we had the pleasure of helping a family close on the purchase of a luxury condominium on Singer Island in Palm Beach County. The search for their home began in Deering Bay where they wanted a luxury apartment facing the water, with amenities and all that the community and nearby areas have to offer.
We visited new construction buildings, existing buildings, pre-construction sites in Coconut Grove, Coral Gables and Miami Beach. Surprisingly, the buyers wanted more. More value for their dollar. Their measure of value includes a large apartment with four bedrooms, concierge services in the building, state of the art gym, proximity to the ocean for boating, a golf club and a small radius where they can be within minutes of it all.
Up the coast we went to Sunny Isles, Fort Lauderdale and eventually Palm Beach. Yes, the value for the dollar improves as you go north. The proximity to the activities they enjoy is better than in Miami-Dade, in part because of traffic congestion. They found their home and moved in.
Also, last month we participated in a mastermind group of agents at The Keyes Company. Agents from Martin, Palm Beach, Broward and Dade Counties numbered several dozen colleagues. One of the Broward agents described the high number of foreign nationals that are buying in Broward County. Even mentioned that over one hundred languages are spoken by kids that attend the public-school system and several hundred nations are represented in children born overseas. That is old news for Miami-Dade County. The news is that the migration of natural buyers to the area is heading to Broward County and away from us.
The Palm Beach agent presented a very similar perspective with perhaps lesser amounts. Both counties described superior experiences for consumers at their airports and ports. Less congestion than Miami-Dade County. For non-Floridians those are important considerations for their winter getaway.
The impact of this migration is evident in the differing markets. Miami-Dade is in the midst of a buyer’s market whereas Broward and Palm Beach are in the exact reverse, a seller’s market.
You don’t have to sell me on Miami, I love this town. Not so much the traffic, but, it comes with the territory. Having lived in Rio de Janeiro and Sao Paulo, the volume of traffic here is light in comparison. Palm Beach and Broward still beat us out on that. Can we accelerate our progress to effective mass transportation, please?
As Miamians it is in our interest to keep an eye on what’s going on just north of us. In multiple ways, as our competition and perhaps as our eventual destination for some. It is still in Florida with all the features and benefits, and better value for the real estate, dare I say.
In today’s local market sellers must be ready to attack and offer the most compelling value proposition. Yes, that means price too. Tough news for many. Please don’t shoot the messenger now, nor, when the market changes again. It’s a market thing.
Frank DeValdivielso, a member the Miami FL Team and The Keyes Company, is based out of 2423 Le Jeune Road, Coral Gables, FL 33134. For more information you can reach Frank at his office, 786 378 8450, or cell, 786 273 8507. You can also email him at RealEstate@MiamiFLTeam.com and please be sure to visit www.MiamiFLTeam.com for the latest listing and news regarding real estate. Call to sign up for a free monthly market report of your zip code.