If you're looking for information on the Bal Harbour real estate market, you've come to the right place. In this blog post, we'll take a look at the market history for the past five years and give you our prediction for what's in store for 2023. Remember that real estate is an industry that fluctuates based on supply and demand, so these predictions are just that. However, they should give you a good idea of what to expect regarding prices and demand.
What draws people to Bal Harbour
People are drawn to living in Bal Harbour for many reasons, including the renowned Bal Harbour Shops for luxury shopping and some of the best restaurants in Miami. Whether it's an everyday routine of running errands or a night out with friends, there is something for everyone to enjoy. The vibrant atmosphere and unique experience of living here make it an attractive destination for many people. With the beautiful beaches nearby and exciting events throughout the year, there is something new and exciting around every corner.
Trends over the past five years
Over the past five years, the median list price
per month for single-family homes stayed between $4,999,000 and $7,000,000 from December 2017 through March 2021, with three notable exceptions: the drop to $1,432,500 in April 2020, the increase to $13,575,00 in October 2020, and the increase to $9,000,000 in January 2021. Since May 2021, the median list price has not dropped below $14,400,000. The median list price peaked at $30,000,000 from July 2021 through December 2021, before beginning a slow descent to $15,465,000 by November 2022, except the peak of $24,900,000 in August 2022.
Over the past five years, the number of homes for sale has not exceeded 16 per month. The notable drop in median list price in April 2020 can be attributed to the limited inventory that month: only 2 homes were listed. The most consistent range for the number of homes for sale per month rests between 8 and 12, though it does fluctuate from month to month, dropping as low as 2 and rising as high as 15.
Condos and townhomes
Since December 2017, the median list price
for condos and townhomes has fluctuated, though it had a general upward trend from August 2020 through July 2022. The median has dropped sharply since August 2022. From December 2017 through December 2018, the median list price stayed between $1,549,000 and $1,800,000. It climbed to $1,625,000 in October 2019 and rose again to $1,650,000 by December 2019. The median fell to the $1,220,000 to $1,249,000 range from May through August 2020. From there, it climbed on a generally upward trend toward $2,188,000 in June of 2021, with a few minor decreases in November and December 2020 and February 2021. The median decreased again in August 2021 to $1,999,999 and dropped further to $1,545,000 in November 2021. The median climbed back toward $2,274,500 by February 2022 before falling again to $1,890,000 in March 2022. From April through July, the median rose, reaching the five-year high peak of $2,499,000 for June and July of this year. Since August, the median has been falling steadily, reaching the lowest point in five years with November 2022's median of $875,000.
The number of condos and townhomes for sale per month has remained below 320 for the past five years. From December 2017 through March 2022, the median stayed between 250-320. The median dropped to 62 in April 2020, likely due to the COVID-19 pandemic lockdowns. The number of homes for sale rose for the next five months, reaching a high of 302 by September 2020, before dropping again to 187. The number of homes increased to 295 in November 2020 and 296 in December 2020 before starting a steady downward trend to a low of 151 in June 2021. The number of homes increased again in July and August 2021, at 254 and 253, respectively. After August 2021, the number of homes for sale dropped steadily to February 2022's low of 74. From March through August 2022, the median stayed between 95-105 homes for sale per month. The number dropped to 72 in September, rose sharply to 172 in October, and fell to the five-year low of 27 in November of 2022.
In looking at the trends for the past five years, we can safely estimate that inventory for single-family homes will remain extremely low. Condos and townhomes inventory are likely to remain higher than single-family homes per month, though it is still likely to be far fewer available than demand requests. As such, buyers interested in these properties should be prepared to move quickly and make highly competitive offers.
Median list prices for condos and townhomes are likely to return to the $1,200,000 to $1,800,000 range, which is generally on par with the five-year median. Single-family homes will likely remain in the $10,00,000+ range, as it has been for most of the past two years.
How to prepare to buy Bal Harbour property in 2023
Preparing to buy a Bal Harbour home next year doesn’t have to be a stressful process. By taking the time to do some research and getting organized now, you can make the whole experience much easier for yourself. Set yourself up for success by jotting down what you want in your new home – how many bedrooms, outdoor space, preferred location, etc. Once you know exactly what you need, it’s important to start getting your finances in order. Create a budget for yourself and determine how much of a down payment or mortgage loan you can afford. This will help narrow down your pursuit of potential homes. Furthermore, it’s helpful to connect with a local realtor who is experienced with Bal Harbour so they can provide support and advice throughout the buying process. Make sure to take advantage of their insider knowledge! All these steps will help get you on your way to owning your own piece of Bal Harbour property next year!
Sellers should be pleased to know that demand remains far higher than the available supply. This means there is still an opportunity to get top dollar for your Bal Harbour home. However, given the current market trends, sellers should expect very competitive offers and be prepared to review multiple offers. To handle multiple bids, sellers may want to work with a listing agent like Kimberly Rodstein to schedule a date by which offers are due to limit how many offers they have to review. Additionally, since buyers are likely to have their finances ready before making a purchase offer, sellers should work with their realtor to make sure they have all their paperwork to make the transaction go as smoothly as possible.
How to prepare to list your home in 2023
Preparing to sell your Bal Harbour home can feel like an overwhelming task, but with a few simple steps, you can simplify and streamline the process. Start by packing up items you won't need until after you move into your next home – this will help lessen the chaos of moving. Additionally, giving your home a new paint job is one of the least expensive yet most effective ways to spruce up the space before listing it on the market. Have an inspector look at the property so that any necessary repairs can be made beforehand; moreover, including upgrades with a high return on investments will surely give your property an extra bump in value come time to list it. Lastly, try making sure you keep track of sale trends of comparable properties so that you have an idea of what range your own listing price should sit within. With these tips in mind, you are ready to list your Bal Harbour home next year!
The real estate market for Bal Harbour looks to remain strong going into 2023. With a combination of the right financial planning, good research, and smart moves, buying or selling in this area can be a rewarding experience. The anticipation of what the next year will bring is exciting, but it’s important to be prepared for whatever may come – whether you’re a buyer or seller. Investing in Bal Harbour real estate is an opportunity to live in one of the most sought-out areas in South Florida, and with the right guidance, you can make the most out of your investment. Reach out to experienced agent Kimberly Rodstein
to discuss your 2023 real estate goals.