Month: September 2021

A dive into the Fort Lauderdale real estate numbers

Data up to July of 2021

What is going on in the market?

It’s quite challenging to look at data and statistics and really understand them unless you deal with numbers everyday.

As a disclosure I am not an economist, I am simply pulling the numbers from the Multiple Listing service for Fort Lauderdale only.

My goal on this post is to merely keep the general public informed. Plus I’m a dork and I love this. With that being said, there are tons of ways to look at data; local, national, county. We are going to do a little of everything for fun.

So let’s look at what we have to the left here and just keep it simple. This is a hyper local data for Fort Lauderdale. We are seeing a decline in sales volume currently across the board for Single Family and townhouses in the City of Fort Lauderdale.

Also historically it’s busier between memorial day and labor day. So the bulk of our sales is starting to slow. So, if you are a Seller, you really need to consider pricing your home with the right numbers as sales volume for the rest of the year will keep shrinking leaving you out to dry. Many of the FOMO buyer’s have vanished and buyer fatigue as set in.

This graph to the left is showing us the closed sales year to date up to July. Yes it’s great to see what’s going on this year, but what does the data show from the past few years.

What we se here is although closed sales is slowing down (chart above) we can see that 2021 has been a record breaking year. Many factors, I’m not even sure I know all of them, However, things like influx of people to Florida due to our lenient covid restrictions, people moving out of shared spaces into their own homes, Seller’s taking advantage of the highest sales numbers they seen in their neighborhood, maturing age brackets i.e. 25-30 year olds that want to be owners. FOMO buyer’s. We gotta remember that south Florida has always been hot market, now it’s just blazing on fire.

Interesting see how there was a huge decline in 2019 and 2020 as Covid had hit in 2019, which resulted in lower sales, lower listings, people were uncertain. Once we acclimated to what was going on, vaccines came out, and people were just tired of staying still the market broke out in an absolute buying frenzy.

I find this graph very interesting, we are showing the percentages of closed sales year to date, in comparison to 2021. I”m using the data point of the closed sale from the graph in the previous paragraph Wow amazing. So in 2021 single family homes sales were 178% higher than 2020, 145% of 2019 and 139% of 2018. WOW, you don’t realize the sales volume that has happened until you put it into a chart and look at the data.

This graph is showing months supply of inventory. What is month supply of inventory ? Months’ supply refers to the number of months it would take for the current inventory of homes on the market to sell given the current sales pace.

Historically, six months of supply is associated with moderate price appreciation, and a lower level of months’ supply tends to push prices up more rapidly. Link to the article here.

Wow look how decimated the inventory is for both single family and condo/townhouse sectors. The last five months, none of single family homes have over 2 months of inventory. A balanced market is 6 months, once it goes over six months its a Buyer’s market, and once it’s under six months its a Seller’s market.

This graph is showing the months supply inventory year to date up to July starting from 2018. In July 2018 it’s both a Buyer’s market for condo/TH and SFH. Then in July 2019 it turns into a slightly Seller’s market for SFH with condo/TH still a Buyer’s Market. 2020 is definitely a Buyer’s market for condo/TH with SFH shifting stronger into a Seller’s market.

2021 moves into a full fledged Seller’s market with very low inventory. Comparing July of 2021 to July of 2020, there is a -68.4% change, thats astronomical, furthermore there is a change of almost -80% inventory in the 200 vs 2021 condo/Th segment. WOW!! Has covid really affected our market!

Happy Buyer purchases a multifamily property in Oakland Park!

JUST CLOSED

$350,000

Represented Buyer & Seller

ARV= $500,000+

Zoned RD-15, can build 4 townhouses here.

Congrats to this Buyer Loren on his multifamily single Family home with two detached structures. Loren and I go back 25 years to middle school. Nice to see someone I know get their hands around a property with huge upside and emerging neighborhood in the downtown district of Oakland Park, Florida. BTW loren owns a home inspection company and is a G.C. if you are in need. I’ve used him many times and he has a social media account where he goes through all his inspections on IG.What I love about this property is the opportunity to create something great. This is a property that really needed the right owner. Can’t wait to see what he does with this property.

There is a single family home on the property and 2 detached units. One is a garage conversion into a unit, and the other is just screaming to be converted into an apartment. Also i love implementing house hacking tricks and the house has a section with its own bedroom and bathroom, creating the opportunity to make 4 income producing units. There is always the opportunity to scrap it all and building 4 townhouses. I was contacted by many Buyer’s “what’s the cap, what the ARV” Listen speed wins, Loren knew there was an opportunity no matter what that answer was. When preparation meets opportunity…..

Fort Lauderdale is growing way beyond what you can even imagine!

Wow Fort Lauderdale is on the rise! We forget how progressive the city is being. They are not just putting up buildings, but adding retail, restaurants, grocery stores, sporting venues, train stations, (we need parks) and even underground tunnels! You can’t stop growth!

Incredible city projections to finish by 2030 making this a national city, but at some point international for sure! NHL Team, Elon Musk Tunnel Demonstrate Fort Lauderdale’s Growth Potential.

City leaders this summer accepted Elon Musk’s Boring Company’s proposal to build a tunnel that would transport riders 2.5 miles between a downtown train station and the beach in Teslas. Fort Lauderdale last year provided a home to David Beckham’s Major League Soccer team, Inter Miami, after the team ran into roadblocks building a stadium in Miami.Fort Lauderdale, Florida Downtown Fort Lauderdale City of Fort Lauderdale Ft Lauderdale Beach Downtown FTL

✅ The team already has a deal to renovate Fort Lauderdale’s War Memorial Auditorium with two ice rinks — one for the team to practice on, one for the public — and a 3,000-person concert facility. It broke ground on that in May. But renderings released by the city envision a more full-sized arena on public land. You should check out the video.

✅ According to the city’s Downtown Development Authority, the downtown population has grown by 41% in the past 10 years. There are more than 20 new developments underway in the urban core, including 13,000 residential units, 600K SF of retail, 1.1M SF of office space and 1,000 new hotel rooms.

✅ The area south of The New River and Las Olas Boulevard both effectively bisect the city. The southern side is now affectionately being called the S.O.L.O. District (South Of Las Olas), Morejon said. Unfamiliar to most, this aea is going to explode with about 10 buildings, including a 250 unit tower by one of my clients At Moderno Development Group

✅ The T3 project, um wow! “This is going to be the first project in Florida that is built out of timberIts 5.6-acre, four-block site is being developed into a campuslike mixed-use project with residential units, retail and a seven-story office building. Fort Lauderdale-based Urban Street Development is teaming up with Hines to develop it as T3 FAT Village, an extension of Hines’ T3 brand, which stands for timber, transit and technology and combines the style of old-fashioned industrial lofts with modern technologies.

✅ New building next to Brightline Station yes that’s right, bye bye bus station !!! “When that new office building gets built with about 750K SF, that is right next to the Brightline [private train] station on Broward Boulevard,” Morejon said. “It opens up about 7 acres of land that the city and county own separately. The vision is that valuable publicly owned land can be utilized for a new venue or new mixed-use development.”

✅ Kushner will put up 4 towers off Broward blvd, 4.2 acres where a four-tower development called Broward Crossing is planned in the Himmarshee District.

Under Contract and Just Listed at 100 Las Olas and The Beverly

A two-for-one: Under Contract at 12 SE 10th Ave, Unit 2. Last asking $1,530,000 and a New Construction Coming soon at 100 E Las Olas $1,200,000. Built in 2021. Yes, the deals are large, but my favorite thing about this double whammy deal, is the process. Over the last 7 years I have had up to 6 agents underneath me teaching them the rental game, and the 101’s of working with Buyers.The main thing that I tell newer agents is you have to pick up the phone. It’s simple. But you have to do it consistently. I don’t’ care if its only 2 hours a day 3 days a week. Consistency leads to success. The failure rate in real estate is like 95% or something crazy. Most “sales people” lack consistency, motivation and tenacity. You can’t post on IG, FB and ask for business, you need to go out there and shake the bushes!! MAKE THE CALLS!!!!!

I’ve been generating my own leads for years and have passed out the leads to various agents as I just can’t keep up. Darya Papina who is a newer agent has been calling consistently, following the Docktor’s orders, (lol) well boom! She made contact, built rapport, we set up two zoom calls, and 1 face to face and boom, we are under contract for 1.5M and 1.2M from the same client. If it wasn’t for her efforts this opportunity would not exist. Thank you Darya Papina for crushing the phones!!!!! #siberianwolf

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