Market Update - Homes - MIAMI BEACH, Florida Week of September 5th 2011

Ekaterina Bazyka's MARKET UPDATE
MIAMI BEACH, FL
Current Real Estate Market Conditions for Single Family Homes Trends in Pricing Current Levels of Supply and Demand Value Metrics
Report for the week of

September 05, 2011
Presented by Ekaterina Bazyka Luxury Home Specialist http://www.luxmiamirealestate.com - ekaterina.bazyka@gmail.com 954.224.0311
Powered by Altos Research LLC | www.altosresearch.com | Copyright 2005-2010 Altos Research LLC
City Overview
Ekaterina Bazyka | Luxury Home Specialist | 954.224.0311
Single Family Homes in
MIAMI BEACH, FL
This Week
The median list price in MIAMI BEACH, FL this week is $1,425,000. The 395 properties have been on the market for an average of 271 days.
Median List Price Average List Price
Real-Time Market Profile

$ 1,425,000 $ 3,155,130 $ 469 271 395 $ 34,500,000 $ 130,000 57 19 % 5% 6% 3232 8,001 - 10,000 sqft 4.0 4.0
Trend
== == == +
Asking Price Per Square Foot Average Days on Market (DoM) Inventory of Properties Listed Most Expensive Listing
Days-on-market has been trending up recently but the Market Action Index and inventory levels are basically flat and not providing strong indications for the market.
Least Expensive Listing Average Age of Listing Percent of Properties with Price Decrease Percent Relisted (reset DOM) Percent Flip (price increased) Median House Size (sq ft) Median Lot Size Median Number of Bedrooms
Supply and Demand

Home sales have been exceeding new inventory for several weeks. While still a Buyer's market, prices seem to have responded by moving upward. If the demand trends continue, expect prices to keep marching upward, especially once we see a Seller's Market.
Median Number of Bathrooms
Altos Research Value Statistics

Market Action Index Strong Buyer's 14.9 + The Market Action Index answers the question "How's the Market?" by measuring the current rate of sale versus the amount of the inventory. Index above 30 implies a seller's advantage. Below 30, conditions give the advantage to the buyer.
Trend Key:
No change
== Strong upward trend Strong downward trend = Slight upward trend Slight downward trend
Characteristics per Quartile

Quartile
Top/First Upper/Second Lower/Third Bottom/Fourth
Median Price Sq. Ft. Lot Size Beds Baths Age Inventory New Absorbed DOM
$ 7,495,000 $ 2,000,000 $ 995,000 $ 519,000
7192 3909 2704 1961
0.50 - 1.0 acre 0.25 - 0.50 acre 8,001 10,000 sqft 6,501 8,000 sqft
6.0 5.0 4.0 3.0
7.0 5.0 4.0 2.0
56 61 65 62
98 99 99 99
2 4 4 4
2 2 3 6
315 292 258 219
Most expensive 25% of properties Upper-middle 25% of properties Lower-middle 25% of properties Least expensive 25% of properties
Page 2 of 26
Monday September 5, 2011
City Overview
MIAMI BEACH, FL
Median Price
Prices continue their climb again this week. We're a long way from the market's price high-point so watch the Market Action Index as an indicator of how long this trend will last.
7-day Average
90-day Average
Quartile Prices
Not surprisingly, given the condition of the overall market, all quartiles have shown price strength in recent weeks. All have been increasing in price lately.
First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 3 of 26
City Overview
MIAMI BEACH, FL
Price per Square Foot

The market appears to be placing an increasing premium on homes. When list prices and price per square foot consistently increase in tandem, as they're doing now, you can often find short-term investment opportunities. Watch the Market Action Index for persistent changes as a leading indicator for these trends to flatten or drop.
7-day Average
90-day Average
Inventory of Properties Listed for Sale

Inventory has been relatively steady around these levels in recent weeks.
7-day Average
90-day Average
Page 4 of 26
City Overview
MIAMI BEACH, FL
Market Action Index

The MIAMI BEACH market is currently quite strongly in the Buyer's Advantage zone (below 30). The 90-day Market Action Index stands at 14.86. With several months of inventory available at the current sales rate, buyers should find ample choice.
90-day Average
Buyers/Sellers Cutoff
Market Action Index per Quartile

Not surprisingly given the overall Market Action Index, all quartiles are in the Buyer's Market zone with several months of inventory given the current rate of demand for homes in the quartile. Watch the quartile for changes before the overall market shifts. Often one end of the market (e.g. the low end) will improve and signal a strengthening market before the whole group changes.
First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Residential house prices are a function of supply and demand, and market conditions can be characterized by analyzing those factors. Watch this index for sustained changes: if the index falls into the Buyers Advantage zone (below 30) for a long period, prices are likely in for a downward correction. The Market Action Index (MAI) illustrates a balance between supply and demand using a statistical function of the current rate of sale versus current inventory.
Page 5 of 26
City Overview
MIAMI BEACH, FL
Days on Market
The properties have been on the market for an average of 271 days. Half of the listings have come newly on the market in the past 210 or so days.
7-day Average
90-day Average
Days on Market per Quartile

It is not uncommon for the higher priced homes in an area to take longer to sell than those in the lower quartiles.
First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 6 of 26
Neighborhood Detail
MIAMI BEACH, FL 33139

Real-Time Market Profile Trend
$ 2,790,000 $ 3,879,037 $ 687 268 81 $ 29,500,000 $ 130,000 53 16 % 10 % 15 % 3482 0.25 - 0.50 acre 4.0 4.0 + == +
This Week
The median list price in MIAMI BEACH, FL 33139 this week is $2,790,000. The 81 properties have been on the market for an average of 268 days.
Inventory has been lightening lately and the Market Action Index has been trending up. Though days-on-market is increasing, these are mildly positive indications for the market.
Supply and Demand


Market Action Index Strong Buyer's 9.8 == The Market Action Index answers the question "How's the Market?" by measuring the current rate of sale versus the amount of the inventory. Index above 30 implies a seller's advantage. Below 30, conditions give the advantage to the buyer.
Trend Key:
No change

Quartile
$ 7,672,500 $ 3,525,000 $ 1,699,995 $ 795,000
7361 4460 3004 2038
0.25 - 0.50 acre 8,001 10,000 sqft 8,001 10,000 sqft 6,501 8,000 sqft
6.0 5.0 4.0 3.0
7.0 5.0 3.0 3.0
44 62 70 64
20 20 20 21
0 0 0 1
1 0 0 0
294 337 257 186
Page 7 of 26
Neighborhood Detail
Median Price
Recently prices in this zip have settled at a plateau even though they dipped this week. Look for a persistent up-shift in the Market Action Index before we see prices significantly move from these levels.
7-day Average
90-day Average
Quartile Prices
In the quartile market segments, we see prices in this zip code without strong directional indication lately. Quartiles 2 and 4 are mixed, while Quartile 3 is up and Quartile 1 is down. Look to persistent shifts in the Market Action Index as a leading indicator for strong moves (up or down) in the market as a whole.
First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 8 of 26
Neighborhood Detail

The market plateau is seen across the price and value. The price per square foot and median list price have both been reasonably stagnant. Watch the Market Action Index for persistent changes as a leading indicator before the market moves from these levels.
7-day Average
90-day Average

Inventory has been falling in recent weeks. Note that declining inventory alone does not signal a strengthening market. Look to the Market Action Index and Days on Market trends to gauge whether buyer interest is changing with the available supply.
7-day Average
90-day Average
Page 9 of 26
Neighborhood Detail
Market Action Index

The MIAMI BEACH, 33139 market is currently quite strongly in the Buyer's Advantage zone (below 30). The 90-day Market Action Index stands at 9.77. With several months of inventory available at the current sales rate, buyers should find ample choice.
90-day Average

Not surprisingly, all quartiles are in the Buyer's Market zone with several months of inventory given the current levels of demand. Watch the quartiles for changes before the overall market shifts.
First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 10 of 26
Neighborhood Detail
Days on Market
7-day Average
90-day Average

First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 11 of 26
Neighborhood Detail

$ 1,350,000 $ 3,301,434 $ 416 262 153 $ 34,500,000 $ 299,000 64 18 % 5% 5% 3498 8,001 - 10,000 sqft 4.0 4.0 == == == ==
This Week
The Market Action Index has been trending down lately, while inventory and days-on-market are climbing. The trends imply a weakening market.
Supply and Demand

Home sales have been exceeding new inventory for several weeks. Since this is a Buyer's market prices are not yet moving higher as excess inventory is consumed. However, as the supply and demand trends continue, the market moves into the Seller's zone, and we are likely to see upward pressure on pricing.

Market Action Index Strong Buyer's 14.4 The Market Action Index answers the question "How's the Market?" by measuring the current rate of sale versus the amount of the inventory. Index above 30 implies a seller's advantage. Below 30, conditions give the advantage to the buyer.
Trend Key:
No change

Quartile
$ 8,550,000 $ 1,772,500 $ 999,748 $ 639,000
7996 4114 2792 2367
7.0 5.0 4.0 3.0
9.0 5.0 4.0 3.0
62 72 74 70
38 38 38 39
1 4 1 1
1 0 2 1
305 236 264 242
Page 12 of 26
Neighborhood Detail
Median Price
The market for this zip code continues its bounce again this week. We're a long way from the market's high point so watch the Market Action Index to predict how long this trend will last.
7-day Average
90-day Average
Quartile Prices
In most of the quartile market segments, we see prices in this zip code have stabilized recently. Only Quartile 4 shows any price increases in the last few weeks. Often this condition happens in markets where demand has fallen (for example, due to microlocation variables) but supply is still relatively short. Buyers are focusing on the lowest price homes in the area.
First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 13 of 26
Neighborhood Detail

7-day Average
90-day Average

Inventory has been climbing lately. Note that rising inventory alone does not signal a weakening market. Look to the Market Action Index and Days on Market trends to gauge whether buyer interest is keeping up with available supply.
7-day Average
90-day Average
Page 14 of 26
Neighborhood Detail
Market Action Index

90-day Average

First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 15 of 26
Neighborhood Detail
Days on Market
7-day Average
90-day Average

First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 16 of 26
Neighborhood Detail

$ 699,900 $ 2,356,828 $ 311 306 65 $ 32,500,000 $ 259,000 54 25 % 5% 5% 2624 4,501 - 6,500 sqft 4.0 3.0 == == ==
This Week
The median list price in MIAMI BEACH, FL 33154 this week is $699,900. The 65 properties have been on the market for an average of 306 days.
Inventory has been decreasing lately but the Market Action Index is falling also. With days-on-market climbing, these are relatively negative implications for the market.
Supply and Demand

Inventory levels have been relatively consistent relative to sales. Despite the fact that there is a relatively high amount of available inventory, this Buyer's market is still seeing prices move higher. Given inventory levels, these price conditions are relatively fragile. If the market cools off further, the price trend is likely to reverse.

Trend Key:
No change

Quartile
$ 4,075,000 $ 1,049,500 $ 615,000 $ 399,000
5392 3004 2124 1714
0.25 - 0.50 acre 8,001 10,000 sqft 4,501 6,500 sqft 4,501 6,500 sqft
5.0 4.0 3.5 3.0
6.5 4.0 2.5 2.0
52 59 62 62
16 16 16 17
1 0 0 1
1 1 1 2
393 270 290 271
Page 17 of 26
Neighborhood Detail
Median Price
Despite this week's down tic, price trends in this zip code have generally been moving up lately. We are below the market's high point, and we'll investigate the Market Action Index later on to see if we expect this week's blip to become a downward trend.
7-day Average
90-day Average
Quartile Prices
In the quartile market segments, we see the market in this zip code unable to establish a strong directional trend in recent weeks. Only Quartile 2 is trending higher while Quartiles 1 and 3 are flat. Look to the Market Action Index for persistent changes (up or down) as a leading indicator for the significant price changes.
First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 18 of 26
Neighborhood Detail

7-day Average
90-day Average

Inventory has been falling in recent weeks. Note that declining inventory alone does not signal a strengthening market. Look to the Market Action Index and Days on Market trends to gauge whether buyer interest is changing with the available supply.
7-day Average
90-day Average
Page 19 of 26
Neighborhood Detail
Market Action Index

90-day Average

First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 20 of 26
Neighborhood Detail
Days on Market
7-day Average
90-day Average

First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 21 of 26
Neighborhood Detail

$ 1,587,000 $ 2,809,216 $ 504 257 94 $ 14,900,000 $ 189,000 51 17 % 3% 2% 3100 8,001 - 10,000 sqft 4.0 4.0 == + ==
This Week
The Market Action Index has been trending down lately, while inventory is climbing. These trends imply a weakening market.
Supply and Demand


Trend Key:
No change

Quartile
$ 6,990,000 $ 2,199,000 $ 1,272,500 $ 397,450
6882 3980 2514 1854
6.0 5.0 3.5 3.0
7.0 5.0 3.0 2.0
58 57 59 61
23 23 24 24
0 0 2 2
0 1 0 2
322 274 245 189
Page 22 of 26
Neighborhood Detail
Median Price
Prices in this zip code have been on a downward trend recently and this week, while essentially flat, doesn't break us out of that cycle.
7-day Average
90-day Average
Quartile Prices
In the quartile market segments, we see prices in most of this zip code trending higher in recent weeks but the high-end of the market (Quartile 1) is essentially flat. Look to the Market Action Index Quartile breakdown to see a leading indicator for each quartile.
First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 23 of 26
Neighborhood Detail

We're seeing fairly unusual market conditions as prices have been in a downward trend but price per square foot is actually increasing. (Buyers are paying less and getting less home for their money.) Anomalies like these can be attributed to microlocation variables.
7-day Average
90-day Average

Inventory has been climbing lately. Note that rising inventory alone does not signal a weakening market. Look to the Market Action Index and Days on Market trends to gauge whether buyer interest is keeping up with available supply.
7-day Average
90-day Average
Page 24 of 26
Neighborhood Detail
Market Action Index

90-day Average

First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 25 of 26
Neighborhood Detail
Days on Market
7-day Average
90-day Average

First/Top
Second/Upper
Third/Lower
Fourth/Bottom
Page 26 of 26

Market Update - Homes - MIAMI BEACH, Florida Week of September 5th 2011

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Ekaterina Bazyka's MARKET UPDATE

Report for the week of

Presented by Ekaterina Bazyka Luxury Home Specialist http://www.luxmiamirealestate.com - ekaterina.bazyka@gmail.com 954.224.0311

Single Family Homes in

Real-Time Market Profile

Supply and Demand

Median Number of Bathrooms

Altos Research Value Statistics

Characteristics per Quartile

$ 7,495,000 $ 2,000,000 $ 995,000 $ 519,000

7192 3909 2704 1961

6.0 5.0 4.0 3.0

7.0 5.0 4.0 2.0

315 292 258 219

Monday September 5, 2011

Single Family Homes in

Ekaterina Bazyka | Luxury Home Specialist | 954.224.0311

Monday September 5, 2011

Single Family Homes in

Ekaterina Bazyka | Luxury Home Specialist | 954.224.0311

Price per Square Foot

Inventory of Properties Listed for Sale

Monday September 5, 2011

Single Family Homes in

Ekaterina Bazyka | Luxury Home Specialist | 954.224.0311

Market Action Index

Market Action Index per Quartile

Monday September 5, 2011

Single Family Homes in

Ekaterina Bazyka | Luxury Home Specialist | 954.224.0311

Days on Market per Quartile

Monday September 5, 2011

Single Family Homes in

MIAMI BEACH, FL 33139

Supply and Demand

Median Number of Bathrooms

Altos Research Value Statistics

Characteristics per Quartile

$ 7,672,500 $ 3,525,000 $ 1,699,995 $ 795,000

7361 4460 3004 2038

6.0 5.0 4.0 3.0

7.0 5.0 3.0 3.0

294 337 257 186

Monday September 5, 2011

Single Family Homes in

Ekaterina Bazyka | Luxury Home Specialist | 954.224.0311

MIAMI BEACH, FL 33139

Monday September 5, 2011

Single Family Homes in

Ekaterina Bazyka | Luxury Home Specialist | 954.224.0311

MIAMI BEACH, FL 33139

Price per Square Foot

Inventory of Properties Listed for Sale

Monday September 5, 2011

Single Family Homes in

Ekaterina Bazyka | Luxury Home Specialist | 954.224.0311

MIAMI BEACH, FL 33139

Market Action Index

Market Action Index per Quartile

Monday September 5, 2011

Single Family Homes in

Ekaterina Bazyka | Luxury Home Specialist | 954.224.0311