The 2019 / 2020 Coconut Grove Real Estate Forecast

The 2019 Forecast for Coconut Grove Homes

• We expect a continued stable, if not strong, sub $1M market. It will remain increasingly difficult to buy into this market, as there is VERY VERY limited supply.
• The sub $2M market will remain stable assuming we avoid extreme interest rate spikes and/or sizeable national or global economic movements.
• The $2M – $3M home market will soften as it will in all other markets, but less so. The very luxury market of $3M+ homes will experience a slow down as well, which is atypical in other markets apart from waterfront, which is extremely limited.
• There will be continued lack of new product within the Coconut Grove market. This market is very dry up till $3M.
• Higher construction costs and zoning law tightening will further slow the construction of new homes.
• We won’t see any record breaking sales this year, although we will still see some very strong sales due to the unique nature of this primary market with highly desired homes.
• We will see a lack of rental product for single-family homes. The rental market is seeing a low inventory due to Airbnb rentals and increased demand for rentals by buyers who cannot find their dream home and decide to rent for a year.
• We will continue to see the Grove and the Gables as the best performing market for homes in 2019. They will continue to outperform other market also in the luxury market.

Advice for Coconut Grove Buyers

The sub $1M and $1.5M market has a definitive lack of product. If you are looking for anything under $1M and nothing really ‘turnkey’ expect a renovation project or again move your focus to the cheaper sections of Coral Gables. Call me for the specifics of what those areas are

Brand new homes or larger homes over 4,500 SqFt are in scarcer supply and due to higher construction costs and zoning laws this will only become more challenging to find. Most of the inventory sits between $1.5M and $2.5M with just a small amount over $3M. I do keep a solid book of ‘off market’ properties, so please call me for details of those.

The higher end of the market ($2M+) will experience some softening, which will present better opportunities for buyers.

Advice for Coconut Grove Sellers