As we enter into 2011, South Florida real estate watchers are keeping an eye on the Florida housing market. Analysts predict that the market will “bottom out” nationally in 2011. Some forecasters believe we already have.
“We actually saw 7000 more real estate transactions this year over the last year of the housing boom, but I would preface it by saying there’s been a 40 percent decrease in the average price,” says Peter Zalewski, the president of a consulting firm that researches the South Florida real estate market. “Right now the average house is selling for $220,000 but in the boom the average was $400,000. Volume is up, but the dollar value is down.”
Below CBS4's Joan Murray spoke to home seller Jeff Kiltie.
In October, Kiltie put his updated east Hollywood home on the market, priced to sell at $174,900. The house on Adams Street is not only in pristine condition it comes with an oversized backyard.
Kiltie is optimistic he will find a buyer. He says, “A lot of houses in this price range are beat up. They’re in foreclosure with the appliances ripped out. We spent a lot of time cleaning, painting and refinishing it. You could walk in tomorrow and move in.”
Kiltie could have gotten more than double the price he’s asking at the height of the market. But where would he have gone since so many properties were overpriced during the boom?
In 2011 the bottom of the market in South Florida all depends on where you live says Peter Zalewski. “As the unemployment rate hovers, it creates a downward pressure on pricing. The people who are affected most are in the western suburbs and that’s the marketplace where buyers from out of town they don’t dream of living in suburbia, they dream of living on the water. And that’s what is allowing the water prices to stabilize.” said Zalweski.
Zalewski showed CBS4’s Joan Murray a high rise where he says you can pick up Miami condos for sale for under $200,000. He believes east of 95, we’ve already hit bottom. “A lot of people will look back long term in 2015 and say, I wish I would have, but everyone has a different stomach for what kind of risk they are willing to take,” says Zalewski.
If you have any questions regarding the housing market in Miami or would like information on Miami homes or Miami condos for sale please do not hesitate to call MLR Realty at 305-673-3303 and speak with a professional Realtor.
Contributed by MLR Realty
