Pinecrest Real Estate Report and Forecast | Projections for Q3 & Q4

The Rise of luxury real estate in Pinecrest. Is Pinecrest now too expensive?

Introduction to our Pinecrest Real Estate Report and Forecast

Pinecrest Real Estate Report and Forecast allows us to not only see but understand the drastic shift over the last year as more and more people continue to flock to the neighborhood. This has happened after being priced out of areas such as Coconut Grove and Coral Gables. The proximity to some of Miami’s top-rated schools, expansive lot sizes and tree-lined streets have always been the most attractive features that draw residents in, but is it still as affordable as it was historically known to be?

Overview to the Pinecrest Real Estate Report and Forecast

The short answer is that Pinecrest remains highly desirable and there is still a lack of inventory in a number of price sectors. New or newer homes are very hard to come by and although we do not expect to see bidding wars continue at the same velocity as they occurred earlier this year. We do not expect to see the market prices going down or retracting. The big limiting factor that we have experienced is the lack of availability at private schools as the main schools of Gulliver and Palmer Trinity see far fewer spaces available for incoming families.

The Pinecrest Real Estate Market Stats

• Over the last year Pinecrest housing market has gone up 45%! (from $443 per SF to an average of $646 per SF). However it’s still less expensive than other primary markets: Coconut Grove is at $865, Coral Gables East of US1 is: $841.
• Sales volume for luxury homes in Pinecrest has also increased drastically In Q1 and Q2 of 2022, we saw 18 homes sell for over $5mm in Pinecrest, compared to only 7 sold for the same period the year before.
• In the last 60 days on average we are seeing 25% more homes get newly listed than go into pending contract. This means inventory will rise over time if this current trend continues.
• With that said inventory is so absurdly low that even with a rise of inventory it would take us between 6 months and two years to reach a balanced supply vs demand situation (9 months is a balance where it is neither to the advantage of the buyers nor the sellers).  Inventory across price ranges currently looks like this:

Pinecrest Real Estate Market Forecast: Projected levels of inventory

2022 Q3 + Q4 predictions – Can we sustain a high level of sales for the rest of 2022?

• The demand for properties is absolutely there and we still have a severe lack of product. The most desirable product is of course brand new homes or nearly new homes. The days on the market for these has been very low.
• From the 125 homes that sold in the last 6 months, only 18 homes were newer homes that were built in the last ten years. (That is just 14%). Average DOM = 65.

Five Pieces of Advice for Pinecrest Home buyers

• The $ per sqft for newer homes is considerably less than other neighborhoods. You can get in at under $1000 per sqft. Also lots are much bigger averaging well over 30,000.
• Inventory will increase over the next several months but don’t expect a lot of construction to come on the market. This area is still going to be in extremely high demand.
• East of 67^th is more popular than West of 67^th.
• Expect to pay the highest prices in the quadrant below 88^th, above 104^th with 67^th to the West and Red to the East.
• Once you surpass $10m competing areas like Ponce Davis become serious contenders and often preferred.

Five Pieces of Advice for Pinecrest Home sellers

• Take advantage of this seller’s market while average days on market is still low (38 average days on market over the last 60 days) and homes are selling for an average of 97% of list price.
• If you own a newer home and want to sell, be aware that you can really push the boundaries. Demand is extremely high and supply is very low. Push it, but be careful though to not price yourself into competition with product in gated communities or more desirable areas like Ponce Davis
• If you have an older home at the lower price point be aware that rising interest rates can and will dampen buyers willingness to over pay or get into bidding wars. Be realistic and don’t over price.
• Don’t be scared the market is going to crash. We still have low levels of inventory and until we get to 9 months it’s still a market leaning in your favor.
• Make sure to show your home in the best light. Most buyers are still relocating families and they have little patience for homes that don’t show well. So invest in painting, staging and other strategies to sell well. Also trust in an agent with strong outreach to these markets – we have hundreds of affiliates across the major relocating states likes NYC, San Fran and LA and call as well as email blast them every week! See how we sell click here.