Real Estate News: What Happens When Supply Keeps Falling

Sunny Isles Condos for sale

July was a solid month for Miami real estate, where the median price slightly increased than a year ago. However, on the sales front, we have started seeing an improvement with the luxury properties and even a slight price increase. This pattern will hopefully propel our home sales which have been steadily going downward for the last four months.

Economists note that sales may have been down because of lower inventory. In fact, the last time there was any substantial increase regarding housing inventory was back when Donald Trump was a mere Republican candidate for president, one among a field of 11.

On a national level, homes for sale have dropped over 12%, which is the most substantial year-over-year decline since back in 2013. In January 2018, there was a 3.1-month supply of homes. Anything less than a six-month supply has not been seen since the beginning of 2012, which makes this rather significant.

West Coast Real Estate

West Coast markets have been the largest recipients of this low-inventory situation. San Jose’s metro area has seen the most significant inventory drop year-over-year. This has also led to the most significant price increase, as is expected. When it comes to the number of houses available on the market, there are less than half as many this October than there were a short year ago. This has pumped prices up over 19% with a median price falling at about $1.05 million. Despite the costs, the lack of inventory has led to homes finding a buyer very quickly, sometimes in just few weeks.

Homeowner Uncertainty

With the House of Representatives and Senate still hacking away at tax reform strategies through the month, many homeowners have chosen to step back from the market until more information is known. This is based on the potential for reduction of local and state property and income tax deductions, along with the possibility of changes to the mortgage interest deduction.

However, others have acknowledged that the implementation of these changes is unknown, so others have been open to buying despite the current uncertainty. Experts believe that once a tax bill goes through, it is likely that homebuyer demand will drop in high-tax states, especially where homes are more expensive. This likely would happen slowly over time.

Competitive Markets

Looking at metro areas, Seattle, Washington leads the pack when it comes to homes finding a buyer. In 2016, it took about 13 days, but in 2017 it is down to only 10. Other markets of note are San Jose with 12 median days on the market and Boston with 14 days. Oakland and San Francisco are just below those with houses on the market an average of 15 days.

Estimates

For off-market homes, the median value was just over $250,000, which is up a little over half a percent from September. Much like 2017, just under half of the houses for sale been priced higher than estimates based on a home’s measured value and predictions about final sales price. This led to houses for sale at just a bit above expert forecasts after analysis.

Ex-Husband of Ex-Wife of Phil Collins Puts Sunset Islands Mansion on the Market

Sunset Islands Homes

A luxurious waterfront mansion in Sunset Islands that has been in the middle of a genuinely messy divorce was just placed for sale at a cool $20 million. The divorce proceedings took place between Phil Collin’s ex-wife, Orianne Collins Mejjati Alami, and her ex-husband, Charles Fouad Mejjati Alami.

Messy Divorce Proceedings

Charles Fouad Mejjati Alami was the listed owner of this expansive home with almost 10,000 square feet of space. The mansion is located at 1525 West 24th Street in Miami Beach with a current asking price that averages out to a little over $2,000 a square foot.

It has been reported that Orianne Collins Mejjati Alami is now back together with Phil Collins. She filed for divorce from Charles Fouad Mejjati Alami back in early 2016 with a claim that she owned the home. She further explained that Charles Fouad Mejjati Alami was transferred the title of the beautiful home “through deceit and fraud upon the wife,” according to public court records. The divorced was initially completed in spring of 2017, with an amended final judgment in September.

Most of the court documents related to the messy proceedings are now sealed, but it was reported back in February that Orianne Collins Mejjati Alami was looking to nullify an older settlement agreement made out of court which placed the title for the Sunset Islands home with Charles Fouad Mejjati Alami, to begin with. She explained at the time that she had no memory of signing the property as she was on painkillers prescribed for a painful back operation.

Original Purchase of the Sunset Islands Home

A look at property records shows that in 2014, the mansion’s title was passed over to Charles Fouad Mejjati Alami. He and Orianne Collins Mejjati Alami purchased the property in 2012 for an estimated $8.4 million.

The extraordinary dwelling features seven bedrooms, eight full baths, and two half baths. It was built in 2005 and includes a two-level foyer with double grand staircase, fireplace, gourmet kitchen, formal dining room, breakfast room, maid’s quarters, and family room complete with wet bar. The master bedroom has two full baths along with his and hers closets with a full-length balcony that overlooks the water nearby.

On the nearly 10,000 square feet, there is also a rooftop terrace, two two-car garages, interior courtyard, private gym, home theater, elevator, clubroom, pool, and an exclusive boat dock. Many one of a kind features abounds in and on the property with custom Fendi design and amenities that discerning buyers will appreciate.

Phil Collin’s Property

As for ex-husband Phil Collins, he owns and lives in a property nearby. It is located at 5800 North Bay Road and is the former home of musician Jennifer Lopez. Collins bought the home in June of 2015 for about $33 million. The mansion includes seven bedrooms, eight full baths, three half baths, pool, jacuzzi, and more.

South Beach Miami Homes

South Beach Miami Homes

Are you thinking about moving to the Miami area? While you have a number of areas from which you can choose for your new home or for a vacation home, one of the locales you will want to consider heavily is South Beach. This is easily one of the best locations, and you may want to start looking at the properties here for a range of different reasons.

Many Types of Properties

When you start to look at the options for South Beach homeswww.sunnyrealty.com/South-Beach/Homes-For-Sale, you will discover that you have plenty of different options. There are plenty of large and impressive towers in the area that are right on the beach and that offer condos and penthouses. These are very popular and for good reason. It is possible to find smaller units with just one or two bedrooms, as well as much larger units.

The different condominium towers also have a range of different features, including private beaches, onsite eateries, gyms, theaters, and much more. You can find a tower and a unit that matches the needs of you and your family. They tend to have great locations, as well, so you can get to all the other areas that you need to visit.

South Beach Condos For Sale

Of course, the towers are just one of the many options. You can find some incredible boutique buildings, too. These tend to be smaller, but they have some impressive features. One of these options might suit you better.

However, if you want something a bit larger than a condo, you can find that as well. Different sized single-family homes are available. Some of these are even on some of the manmade islands in the area, such as Palm Island and Hibiscus Island. Some of the homes are right on the water, too, which is nice if you have a boat, or if you are considering getting a boat. You can find just what you need.

You are never at a loss for options when it comes to finding great property in the area, so make a list of the things you would like from a home and then start looking.

A Wonderful Location

South Beach also happens to be a great location. The South Beach homes tend to be just a short distance from just about anything that you might want to see or do. You are only a few minutes from the water and the beaches, as well as places such as Aventura and Bal Harbour Shops. There are plenty of places to enjoy some nice meals or to have a drink. You are also only a short distance from all of the interesting things the Miami area offers, such as the zoo, the aquarium, museums, and theaters.

If you want to live in one of the most vibrant and culturally diverse places in the United States, you will want to make sure you start looking at some of the South Beach homes available. There is something for everyone here.