Comments on: Miami Condo Index – Brickell – July 2007

By: The Sail on Brickell Penthouse 2 Bedroom/2 Bath Foreclosure - $299,900 | Real Estate On Credit

Sat, 26 Apr 2008 22:08:53 +0000

[...] at The Sail on Brickell listed for $599,000. Both short-sales are the condos that I discussed in my July and September posts that had recently closed. This makes it apparent to me that the buyers never [...]

By: The Sail on Brickell Penthouse 2 Bedroom/2 Bath Foreclosure - $299,900 » Miami Condos For Sale | Miami Real Estate | Brickell & Miami Condos Blog

Fri, 21 Mar 2008 19:47:28 +0000

By: Advice to Miami Condo Sellers « MiamiPress

Advice to Miami Condo Sellers « MiamiPress — Thu, 27 Sep 2007 14:26:11 +0000

[...] Miami Condo Sellers Posted on September 27, 2007 by miamipress I mentioned last week in the July Brickell condo index that only 9 closed condo sales occurred from June 19, 2007 to July 18, 2007, in the 18 buildings [...]

By: Advice to Miami Condo Sellers » Miami Condo Investments | Miami - South Beach Real Estate Blog

Fri, 27 Jul 2007 01:43:00 +0000

[...] mentioned last week in the July Brickell condo index that only 9 closed condo sales occurred from June 19, 2007 to July 18, 2007, in the neighborhood of [...]

By: Lucas Lechuga

Lucas Lechuga — Thu, 26 Jul 2007 18:43:15 +0000

Jose,

Great comment and thank you for the compliment on my blog. I agree with you 100%. The sooner that sellers become aware of the true condition of the Miami condo market, the sooner that transactions will occur again. Realtors aren’t doing anybody any good by accepting listings that are priced at 2006 prices. We need to educate sellers so that they realize how many new units will be coming on the market in the next 6 months. They definitely don’t want to compete with that type of inventory. If they are truly motivated then it is better to reduce their price now to become the best priced unit in the building than to reduce their price to the same level six months from now and be in the middle of the pack.

I’m going to post something more about this later today. Thanks again Jose for your input!

By: JOSE LAYA

JOSE LAYA — Thu, 26 Jul 2007 02:21:53 +0000

Lucas – Great Job! It’s great to see an agent that speaks the facts… no hyperbole, no BS. You’re right-on about the bulk of the problem stretching from the Brickell corridor up to Arts District, and South Beach and Coral Gables are holding steady. What we all need to remember is that prices in these areas were artificially inflated, for the most part, so it is expected that prices have to continue to come down. When people ask me about the condo market in Miami, I was always say that you need to consider geography, unit and age of the building. Let’s examine Brickell on The River (North Tower)… a 380-unit building on the Miami River just two blocks west of Brickell. Resales began last year and as of today there are 105 units listed on the MLS. When you have almost one-third of an entire bulding up for sale at the same time… you tell me what that equals. I say 105 out of 380 = TROUBLE. Not to mention, that the South Tower (328 units) has not been completed yet. I have shown units in the North Tower and the hallways are empty.
Similarly, units in older buildings have held strong, but let’s examine what we mean by “older”. I like to refer to “older” as any building completed before or during the boom, more specifically any building completed by 2003. These units, depending on location, are holding steady.

In addition, as far as the stand-off between sellers and buyers, I have rejected, and continue to reject, taking on listings b/c sellers expectations were totally off. What they don’t want to comprehened is that as fast as prices were increasing during the heyday, they are now decreasing at the same speed.

What we can do as agents is continue to speak the facts and everyone will eventually get it.

Lucas – GREAT Blog, I will continue to follow. Best wishes to all here…

By: Latitude on the River - 2 Bedroom/2.5 Bath Condo for $409,000 » Miami Condo Investments | Miami - South Beach Real Estate Blog

Wed, 25 Jul 2007 03:23:29 +0000

[...] per square foot. That is less than the average price per square foot of any of the buildings in the July Brickell condo index that were built after [...]

By: Lucas Lechuga

Lucas Lechuga — Tue, 24 Jul 2007 22:39:05 +0000

I’m looking forward to seeing Latitude on the River when it is complete. The prices that were offered for Latitude on the River in 2004 were reasonable. That neighborhood had a ways to go in 2004 but the neighborhood has made great strides in the past three years. The addition of Mary Brickell Village and the Miami river walk has done a lot for that area. It will be interesting to see who walks and who closes in this building. Someone contacted me last week to help him sell his 2 bedroom at Latitude. I will post details about that unit by tomorrow.

By: Michael

Michael — Tue, 24 Jul 2007 03:46:33 +0000

Units at Latitude on the River will start to close in the coming weeks. The location is great and these units do not appear to have been overpriced when first offered. This will be the first real test of the Brickell condo market as 400+ units close.
Any thoughts on this particular project?

By: Tom Grimshaw

Tom Grimshaw — Sat, 21 Jul 2007 22:45:28 +0000

Lucas – Thanks for all of this analysis. It is amazing that the fraud is so obvious and so prevalent. Another point to consider about the instability of the newer buildings is that a buyer buying into one of the newest buildings can’t be sure how long it will take for all of the units to be closed on or foreclosed on. What then happens to that buyer’s maintenance costs? How will the amenities and services that were promised by the developer be delivered if half of the units are not paying their maintenance? I think this makes a great case for the more established, more mature buildings. Not to mention they are a great deal right now.