- The median sales price increased 7.7 percent to a record of $280,000 since Q1, while the average sales price inched up 2.7 percent to $404,020 in the Miami coastal and mainland area covered.
- Inventory rose most notably for Miami Coastal Mainland luxury condos and townhomes by 78.3 percent since Q2 2015 to 3,103.
- With rising prices and inventory, the South Florida market also saw an uptick in days on market.
The second quarter of the year was a banner one for several parts of the South Florida luxury real estate market. Prices reached record highs, but inventory began to expand and days on market increased. Douglas Elliman recently released its Q2 2016 South Florida Market Reports covering Miami Beach, Miami Mainland, Fort Lauderdale, Boca Raton and West Palm Beach.
Housing trends in Miami
Overall in the Miami Beach/Barrier Islands part of South Florida, prices trended upwards 12.1 percent year-over-year in the second quarter of 2016, reaching a record high average sales price of $1,017,679. The market has been moving fairly rapidly in the past few years, but those trends have taken a bit of halt recently.
The median sales price in Miami Beach and the Barrier Island also jumped by 2.4 percent annually in Q2, reaching $435,000. These increases in prices are having an impact on local inventory levels as well.
Listing inventory increased 35.8 percent annually, but sales decreased 24.7 percent. These two trends together pushed the days on market to 103, up from 52.
For the luxury single-family market, specifically, the median sales price rose 3.7 percent over the first quarter to $8,080,000. Inventory in this sector of the market increased 67.8 percent annually to 193 units.
According to the report, inventory of luxury condos and townhomes increased 31.7 percent year-over-year in Q2. Unsurprisingly, days on market also increased during this time period, from 56 to 119.
Miami coastal and mainland
Specifically in the Miami coastal and mainland area, home prices reached their highest point recorded in the past decade. The median sales price rose 7.7 percent since Q1 to a record of $280,000, and the average sales price upticked 2.7 percent to $404,020.
The number of sales, however, dipped 17.5 percent in the quarter and days on market increased from 57 to 76. Inventory also rose 17 percent to 12,843 units.
In Boca Rotan, the majority of indicators inched up, which was fueled in a large jump in the luxury market. Compared with the same time last year, the luxury single-family median sales price inched up 4.5 percent to $2,195,000, and the median condo and townhouse sales price jumped 21.4 percent to $1,050,000.
Listing inventory rose in both sectors of the market, with single-family homes increasing 17.1 percent and condos increasing 13.3 percent. The days on market increased to a respective 109 days and 188 days.
Fort Lauderdale housing market trends
Fort Lauderdale was one of few markets in the area that saw more home sales in the second quarter of the year compared with the same time in 2015. However, luxury single-family prices increased just 1.4 percent annually to $1,672,000, while inventory climbed 5.6 percent.
In the condo/townhouse sector, median sales price fell 22.8 percent year-over-year. Listing inventory increased 51.3 percent to 289 during the same period, although it’s still lower than the 319 available single-family home listings.