Full Market Analysis on North Coral Gables – Attention owners on: Milan Ave, Sorrolla Ave, Obispo Ave
While speaking to the owners of our new listing on 1306 Milan Avenue in Coral Gables, I decided to dive deeper into this particular part of Coral Gables. Known for its cozy homes on relatively small (for Coral Gables’ standards) lots I wanted to see the investment value of these homes and provide owners and potential buyers with some useful advise.
North Coral Gables area within research
Your neighborhood statistics for the last 12 months
- Milan Ave – Homes sold between $370,000 – $585,000. Between $300-$397 per sqft. Average is at $343 per SF.
- Obispo Ave – Homes sold between $550,000 – $1,285,000. Between $238-$366 per sqft. Average is at $322 per SF.
- Corolla Ave – Homes sold between $649,900 – $1,080,000. Between $259-$368 per sqft. Average is at $324 per SF.
- Messina Ave – Homes sold between $540,000 – $560,000. Between $345-$377 per sqft. Average is at $361 per SF.
- Ferdinand St: Homes sold between $720,000 – $885,000. Between $381-$387 per sqft. Average is at $384 per SF.
- Tangier St: Homes sold between $610,000 – $875,000. Between $295-$298 per sqft. Average is at $296.50 per SF.
- Venetia Ave: Homes sold between $483,500 – $585,000. Between $326-$363 per sqft. Average is at $344,5 per SF.
- Lisbon St: Homes sold between $585,000 – $730,000. Between $291-$437 per sqft. Average is at $343 per SF.
- Pizarro St: Homes sold between $380,000 – $605,000. Between $219-$355 per sqft. Average is at $287 per SF.
- Madrid St: One home sold for $438,000 at $392 per SF
- Genoa St: One home sold for $525,000 at $315 per SF
- Cortez St – One home sold for $1,500,000 at $459 per SF
- Alhambra Cr: One home sold for $1,000,000 at $212 per SF
- Cordova St: One home sold for $490.000 at $308 per SF
- Columbus Blvd: One home sold for $515,000 at $282 per SF
- Majorca Ave: One home sold for $690,000 at $415 per SF
- El Rado St: One home sold for $440,000 at $311 per SF
- Messina Ave: One home sold for $540,000 at $345 per SF
- Madeira Ave: One home sold for $559,500 at $400 per SF
- SW 14 St: One home sold for $580,000 at $256 per SF
Conclusions on your Coral Gables Neighborhood
- 43 homes sold in this sector of the market in the last 12 months.
- Of these 43 sold homes
- 25 were homes on lots equal to of greater than 7,500 SF.
- 8 sales were on lots over 10,000 SF
- 5 Sales of these were on lots over 12,500 SF
Interesting is that the price per SF for these homes is determined by their lot size; The smaller the lot size the lower the price per SF that is paid for the property
- Properties on lots of 6,000 SF or less received on average a price of $311 per SF
- Properties on lots between 6,000 and 9,999 SF received on average a price of $342 per SF
- Properties on lots of 10,000 SF or more received on average a price of $366 per SF
Does this Coral Gables neighborhood has room to grow in value?
Most of the lots are relatively small (by Coral Gables standards). There are a couple of anomalies like 1713 Cortez that has a 14,000 SF lot and achieved a $ per SF ($459) in line with other high end sectors of the Gables.
This section of Coral Gables offers many smaller (Under 6,000 SF) lots . These provide for great starter homes but are limited on how much they can appreciate.
Thoughts for Discussion and Interesting Question on your North Coral Gables Neighborhood
Well renovated homes seem to be fetching unusually high numbers – is this true?
We have seen tasteful renovations be rewarded when it comes to sales. I believe this to be true in this sector because young families are not extremely liquid. They seem less willing to go through major renovations because of cash flow or the presence of very young children, which makes them less willing to take on such a big project. Many young families know they will out grow these homes rather quickly. They might be prepared to spend a bit more for turn key rather than rip apart a home that could end up being a money pit or an over improvement that might not see enough return 3 years down the road. Also Miami sets the standards high for real estate. Many young people are more attracted by newer and more modern properties than the more dated homes.
Who should sell and why?
Growing families obviously might be interested in an upgrade to a larger home. People with smaller but well finished homes might sell their homes to move to a bigger home, on a bigger lot and, where possible, renovate this again to see the biggest price increases. Older couples looking to move into a condo might also be advised to sell now as condo prices are decreasing and home prices are near a peak.
Who should buy and why?
In my opinion this neighborhood is perfect for empty nesters, they will get a great price for the space/size they need, centrally located so they are close to all main streets, shops, restaurants, offices, and social life. Most of the houses that have small lots have a very simple landscaping easy to maintain. Also for investors, rental rates are very stable, houses of 1-2 bedrooms get rented faster (our listing in 1314 Milan rented in a week). And first time buyers, young couples who want to settle and start a family.
What we think will happen to this market in the next 12 months?
From 2006-2009 a 1,600 SF home could go for $450 per SF. You will be hard pressed to find a home under a $1M in South Gables, Coconut Grove or South Miami. North Gables is the discount bin for shopping for homes under $1M. I think sales prices will remain steady for now but it will be interesting to see buyer habits once the election is over. Election years tend to be stressful for home buyers. A new president could implement policies in certain industries that could hurt a potential buyer’s income.
Whats the average time of ownership in this neighborhood?
3-5 years based on experience. It appears that after 3 years a family of 3 or 4 inevitably start to out grow these homes. They end up looking for more square footage on bigger lots. Empty nesters might stay longer from the moment they retire to the moment they might be going to a elderly home, so maybe 20 years plus.
Where if you sell would you move to? What are other areas doing?