Miami Shores Real Estate Market Update Q3 2023 | Advice for Sellers and Buyers

Welcome to our Miami Shores Real Estate Market Update. We give you our five main observations for this market and advice for sellers and buyers.

5 Observations

1. Inventory levels are at the lowest for desirable homes in the best areas. Although the demand for new homes is high, the supply is limited. There aren’t many new construction homes on the market due to rising construction costs. In 2022 we saw a 34% increase in price/sqft compared to 2021. Although interest rates have been rising, we are seeing a stable market due to a shortage of inventory.
2. Stand-off between sellers and buyers continues in 2023. Rising rates have buyers on the backpedal, reassessing their budgets and affordability. The supply of inventory in the market is decreasing because sellers are hesitant to relocate as they have recently refinanced at lower rates,  thus avoiding higher mortgage costs with relocating
3. Entry-level home prices keep climbing. In 2021 there were 143 homes between $500k to $1M sold, however in 2022, due to rising prices, half of that inventory got pushed into the above $1M price point. The entry price point now is around $834,000 with the majority of the homes selling around $1.3M.
4. Miami Shores is becoming more and more a neighborhood for families. As home buyers are pushed out of neighborhoods like Coconut Grove, Coral Gables, and Pinecrest, families are eyeing the Shores. Having 2 top A+ Schools with Country Day and St. Rose of Lima, home buyers are landing in the Shores and staying put.
5. The luxury market is starting to emerge in the Shores. Home buyers who are looking for waterfront properties are eyeing Shores along Biscayne Bay specifically where lots are overlooking the bay. There have been a few sales in the past year of homes over $5M and new construction mansions built. This area will continue to expand as older homes are being torn down and built into new construction mansions.

Advice for Miami Shores Sellers

The fluctuating market conditions and interest rates have had a significant impact on buyer demand. Despite the peak phase being over and a decrease in the amount of record-breaking prices, buyers are still actively searching for their ideal homes. As pricing has stabilized, buyers are adapting to these rates, resulting in homes maintaining their value and occasionally even appreciating further. If you are genuinely seeking to capitalize on these prices, now might be the opportune moment to consider selling.

Advice Buyers

The market is seeing signs of ups and downs, but the low inventory levels are keeping home values stabilized. Miami Shores remains one of the most affordable single-family markets in Miami. Miami Shores has seen a steady rise and we don’t foresee any signs of slowing down. As inventory is limited, please call me and let me find the right property for you ‘off market’. We call clients daily to engage in off market transactions and create ‘win-win’ situations’ for all parties. 

Conclusion

We have great confidence in the Miami Shores real estate market as it possesses key factors that contribute to its success. These factors include a growing number of families seeking excellent school systems, affordability in comparison to other areas, and a limited supply of new construction homes. These dynamics will ensure the continued prosperity of Miami Shores and establish it as a stable neighborhood within the Miami area. Over the past three years, the market has experienced significant growth, with a year-over-year increase of 20% and the emergence of a new price segment exceeding $5 million. These indicators demonstrate the rising desirability of Miami Shores among buyers. Furthermore, residents of Miami Shores benefit from exceptional amenities such as the Golf Country Club, recreational facilities for activities like tennis and swimming, as well as beautiful parks. With its outstanding qualities, the Village of Miami Shores will undoubtedly be recognized as one of Miami’s premier neighborhoods.

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