Homes for sale in Coconut Grove – How they compare to Homes for sale in Coral Gables?

Homes for sale in Coconut Grove vs Homes for Sale in Coral Gables
Which ones offer better value?

Coral Gables and Coconut Grove are amongst Miami’s most desirable locations for young professionals and families. Both Coral Gables and Coconut Grove are safe, centrally located and provide for excellent schools and real estate opportunities.

For those who don’t know Coral Gables or Coconut Grove, I invite you to have a look at the videos below or to check out the provided links to get a better idea of two of Miami’s safest and most desired residential areas.

A drive through Coconut Grove

A drive through Coral Gables

Homes for Sale in Coral Gables vs Homes for Sale in Coconut Grove – What do the numbers say?

Besides personal preference for a certain type of real estate or neighborhood it is important to look at the market data to see what your budget allows you to invest and how healthy this real estate market really is.

The Lowest, Average and Highest Sales Prices per Sq.Ft

Below you see the graphs that compare the average of the 10 lowest sales prices per Sq.Ft, the overall sales price per Sq.Ft and the average of the 10 highest sales prices per Sq.Ft.

This allows you to see how the lower-end and the higher-end of the two different markets relate to one another. It can be noted that Coral Gables is generally a little bit more affordable than Coconut Grove, although the higher-end of the market shows higher sales prices in Coral Gables. This might be partly due to a higher amount of waterfront property sales in Coral Gables. Coral Gables is richer in Waterfront and Gated communities than the Grove which makes their high-end of the market less affordable. The Coconut Grove prices saw a small decline in prices as a limited amount of waterfront homes sold in the last half year of 2015 and the first of 2016.

The Average Sales Prices per Sq.Ft for the different price ranges

Below you can see what homes of different price ranges go for per Sq.Ft. Again, Coral Gables shows more affordable prices per Sq.Ft except for the ultra-luxury market of $2M+ homes

The Average Sales Prices per Sq.Ft over the last 4 years

Looking at the general growth of the market over the last years (made easier for the eye with the help of trend lines*) we see increasing prices in both Coconut Grove as well as in Coral Gables. Coral Gables has seen a more steady growth and prices didn’t jump quite as much as in Coconut Grove. In Coconut Grove the properties prices between $500K and $1M increased by nearly 70% from the mid $200s to the lower-mid $400s. In Coral Gables the biggest rise happened in the same price range but was limited to an approximate increase of 35%.

*Especially in the luxury segment of the market prices might differentiate substantially from month to months due to limited sales or a sporadic sale of a property with features that are driving prices up (eg a private beach). Using automatically generated trend lines offers the reader a better idea of where the market is heading.

Months of Inventory in Coral Gables and Coconut Grove 

Probably the most important indicator to predict a real estate future. The inventory in real estate, expressed in months of inventory, tell you something about the relationship of supply and demand.

Rule of Thumb

• Below 6 months of inventory: More demand than supply, creating a seller’s market
• Between 6 and 9 months of inventory: A neutral market with a balanced relation between supply and demand
• More than 9 months of inventory: More supply than demand, creating a buyer’s market

We can see below that inventory levels in both markets are quite steady. Coral Gables shows more of a seller’s market in the lower-end of the market, a balanced market to a light buyer’s market in the $1M – $2M range and a buyers market in the luxury segment of the market. Homes in higher price segments always show a higher inventory as they simply have a smaller market to sell to.

Coconut Grove has shown an increased inventory in 2016, with the lower-end of the market being neutral and the $1M – $2M market being a buyer’s market. The luxury segment saw a sharp decline in inventory to 19 months.