South Florida Condo Market Velocity Report For Q3 2023

South Florida Condo Market Velocity Report For Q3 2023

South Florida’s condo market  is currently in a sellers market with about 5.4 months of supply currently listed for sale in the tricounty region of Miami-Dade, Broward and Palm Beach, according to an analysis by CondoVulturesRealty.com.

In the first nine months of 2023, buyers purchased an average of 2,816 units per month for a total of nearly 25,350 units between January and September.

Based on the currently actively listings in the Multiple Listing Service – a database used by Realtors to market condos – sellers have an advantage over buyers based on the supply available for purchase.

Generally, six months of supply is considered equilibrium for the South Florida housing market. Less months indicates a sellers market and more months points to a buyers market from a negotiating perspective.

To gauge buyer sentiment, we focus on the Days On Market (DOM) category to better understand how purchasers are proceeding. If buyers are optimistic, the number of days an active listing is on the market should be similar or less than the average period of time for deals to date. If buyers are bearish, the DOM category will show active listing sitting on the market longer.

To gauge seller sentiment, we focus on the spread between the average asking price and the average transaction price on a per unit and per square foot basis. Generally, a spread of up to 20 percent suggests that a seller is willing to negotiate to complete a deal. Anything greater than 20 percent suggests that sellers are overly bullish on their prospects of selling their units at a premium.

This information is believed to be accurate and complete but cannot be guaranteed or warranted. For more information, please call 305.865.5859 or visit CondoVulturesRealty.com