South Floida Condo Market is in a Buyer's Market 

BY: Denise & Melissa Stewart

If you are a Buyer looking for a Fort Lauderdale or Miami Condo, it is Time To Buy

If you are searching for condos in South Florida, you will find out very quickly that we are in a Buyer's Market. This is great news if you are looking for South Florida Condos, but not-so-good news if you are a seller. In a Buyer's Market, several things happen, including price reductions, and properties being on the market longer. In a Buyer's market, sellers are looking for ways to get Buyers to look at their properties, and more importantly, get the Buyers interested enough to sign a contract and buy the property. If there is a legitimate reason why the Buyer's market exists, the market can get even worse, and the Buyer's Market can continue until an adverse situation arises to reverse the trend. 

It is relatively easy to see and understand why there is a Buyer's Market in Miami-Dade, with the prices of condos having escalated in the past 5 years. The increases in the prices, together with the decrease in foreigners investing in the Miami-Dade Condo market is a recipe for disaster if you are a seller, especially if you are a Developer of high end condos that take years to construct.  It is no wander why some developers have chosen to pull their plans back and wait until the market changes. It is believed that there is currently a 2 1/2 year inventory of high-end condos in Miami-Dade, and this should be reason enough to halt new construction, unless you are reaching a total different segment of the market.

Fort Lauderdale is a Buyer's Market for Luxury Condos

In the Fort Lauderdale and Broward County area, the market is not as bad, but it is still a Buyer's Market, especially with condos that are prices in excess of $750,000. The sale of the new construction condos has slowed down, and resales of condos in excess of $1,000,000 has also been very slow in the Fort Lauderdale area. If you are currently looking for a condo meeting this criteria, don't be bashful about asking the seller to consider a steep discount, especially if the condo has been on the market for a while, or if the condo is vacant. A lot of sellers that are sitting on a vacant condo are getting very motivated, especially when they see the Canadian Dollar being as high as it is, and the new construction units coming on line. Projects like Auberge in Fort Lauderdale seem to have lost a little momentum, although the prices being asked are still on the rise. 

If you are dealing with multiple sellers in the same building, then you really have a situation that should be to your benefit, and your Realto should take full abvantage of this. If you are in a situation where a seller simply refuses to negotiate, you need to make sure that the seller understands that his waiting will only cost more, especially if other units in the building become available.

You may ask, what can make a Buyer's Market even worse, meaning is now a good time to buy... The number one thing that can hurt this market would be an increase in interest rates. No matter when that was to happen, this one change can change the market immediately, and the changes can be long lasting. 

If you have any questions about any condos in our area, contact Denise at 866 783 6011 or denise@condo.net