What is going on with the Downtown Miami Condo Market?
The 1st Quarter of 2025 for the real estate market is in the books and today we are looking at the Condo Market in Downtown Miami. In our first graph, we show the 1st Quarter of 2025, month by month. Active Listings = 768. This is almost double since January, not good. Closed Sales = 44. This is more than 3 times as many as January which had 13 and is a great sign. Months of Supply = 17. Days on Market = 57. Both of these fell due to the large increase in Closed Sales. Median Price/Sqft = $605/Sqft.
This has been about the same since January. Median Price Sold = $617,500. About the same as February, but much lower than January. Overall the market is showing mixed signals with some key indicators doing well others not. Let's take a look now at the next graph which shows Quarter end #'s and to see what price range most of the activity is taking place in to see if we can spot any trends... Active Listings = 768. Almost double since the star of the year, not good. Closed Sales = 76. Has increased every month which is a great. Need to see if this trend continues. Months of Supply = 30 Months.
This is really high and definitely an area of concern. They say a normal market or balanced market is 6-9 Months, anything above that truly favors Buyers so we have a strong Buyers market. But as we always say with condos it is different as you have to go building by building when it comes to Active Listings, as one may have a lot but next door may not have anything listed for sale.
What Price Range can we spot most of the market activity for both Actives and Closed Sales. We can see that the majority of both Actives and Closed Sales take place at under $1 Million Dollars and makes up about 70% of Actives and 77% of Closed Sales for Downtown Miami Condos. One area of concern is that above $3 Million there are 86 Active Listings while only 2 Closed Sales took place in the entire Quarter. Not good.
For Buyers looking for condos in Downtown Miami you definitely have a lot of inventory to choose from, however with condos it really is building specific so you have to go building by building, but with 768 you should be able to find what you want and be able to negotiate. It is clear that the under $1 Million price range is a lot more competitive so take note. If you are a Seller in this market you have to be very careful when pricing your condo for sale as there is a lot of inventory, and even though there is activity at under $3 Million it just isn't enough given the high levels of inventory. If you are in the price ranges above $3 Million there is very little Sales activity so please take note.
When we see a market like this we suggest to price your condo a bit below the market to attract the most attention possible when coming on the market especially with all the economic headwinds in the world right now you don't want to sit on the market with all this inventory and more and more coming on every day. In summary, we can see that right now the condo market in Downtown Miami is a strong Buyers market.
There is a ton of Active Listings since the start of the year and even though Closed Sales picked up a lot from February to March it is just not enough given the large increase in inventory and we do not expect to see Closed Sales keep up this pace. And while most of the activity is taking place at below $3 Millions Dollars we do see an area of concern for those listings above $3 Million as this is also coming at a really bad time, as we are now dealing with a very volatile and unstable stock market and interest rates due to the trade wars regarding tariffs which we feel we will negatively impact the real estate market in our April sales #'s and in the coming months as well, and maybe even for the rest of 2025, so stay tuned.
One last thing... the condo market in general has been on a bumpy ride for the last 1-2 years since the new rules and regulations came out known as SB-4D, The Condo Safety Act which has mainly affected older buildings and requiring Structural Integrity Reserve Studies and tighter 30 and 40 Year Recertification's which has caused a huge increase in Maintenance Fees and forced Special Assessment's some of which have been in the 10's of Thousands, and some in the 100's of Thousands' of Dollars per each apartment. Which of course has been a huge burden for condo owners in these buildings but also made it really tough to be able to sell these units.
Well, that's our 1st Quarter for 2025 Real Estate Market Update for the condo market in Downtown Miami. I am Jose Laya, and I was born and raised in Miami, and as I start my 19th year in the real estate market I can proudly say that our goal in making these videos is to provide you with value by sharing with you real market data to give you a better insight into the local market.
If you ever have any questions feel free to reach out.
Thank you for watching and we will see you soon.