Home and condo sales in South Florida have been on the decline for several months, with slower price growth compared to previous years. These trends are contributing to signs of a buyer’s market in parts of the region, although luxury properties are also seeing fewer quick sales.
Price reductions are becoming common, ranging from tens of thousands to millions of dollars on higher-end homes. While not all sellers are incurring losses relative to their original purchase prices, many are adjusting expectations as properties remain longer on the market. “Make an offer, you never know what could happen,” a listing agent said after learning a house was above a potential buyer’s budget. That property later received a $10,000 price cut.
According to a recent Redfin report, more homebuyers are backing out of purchases due to increased options. In July, over 21 percent of pending home sales were canceled in Fort Lauderdale, one of the highest rates among major U.S. cities. Miami saw about 17 percent of signed contracts fall through during the same period—unchanged from last year.
Condo buyers have even more choices as sellers look to offload units amid rising special assessments for repairs and maintenance. Increased monthly fees and concerns over unexpected costs have made some buildings less attractive to buyers.
Dr. Nicole Martin, known for her appearance on “Real Housewives of Miami,” and her fiancé Anthony Lopez recently bought a seven-bedroom home at 33 Arvida Parkway for $34 million—a 28 percent reduction from its original $47 million asking price. The seller was real estate investor Rafael Perez.
On the commercial side, Waterton Residential sold District West Gables—a 427-unit apartment complex in West Miami—for $111 million to Federal Capital Partners.
In another notable residential listing, Pedro Adrian, founder of Adrian Homes, and his wife Adria Adrian put their waterfront mansion on Palm Island up for sale at $59 million. The property is being marketed as a teardown by Compass agent Chad Carroll and includes both the main house and an adjacent lot with a tennis court.
Public school enrollment across Florida has declined sharply this year. Miami-Dade County lost about 13,000 students; Broward County saw an 11,000-student drop; and Orange County anticipated losing around 7,000 students according to budget projections. Miami-Dade superintendent Jose Dotres attributed these declines to fewer immigrant students entering schools, lower birth rates, and higher living costs.
For questions or comments regarding West Palm Beach’s new development condo pipeline weaknesses, readers can contact kk@therealdeal.com.
— Research by Mary Diduch
