Real Estates Black Hole Miami Condos 2008 To 2010

[spyderman]

Here are July 07 sales data. On AVERAGE condo units sold for an average 6.02% discount from the asking price. Not to bad. In fact 14.8% sold HIGHER than the asking price.


http://www.buybeach.com/recent_sales/data/con0707.htm

 

[ElCubano]

Quote from spyderman:

Here are July 07 sales data. On AVERAGE condo units sold for an average 6.02% discount from the asking price. Not to bad. In fact 14.8% sold HIGHER than the asking price.


http://www.buybeach.com/recent_sales/data/con0707.htm

9 sold at or above their asking price....some sold as much as 20% discount from asking price ( which we dont know how many times that may have been reduced )..considering these houses sold in july of 07 id say they sold at 30-40% what they could have gotten back in 7/05....

 

[PohPoh]

Quote from ElCubano:

50k for shutter....lol...I paid $1200.00 for mine....i walk on the key biscayne bridge for exercise and i count 20-30 cranes just in the brickell , downtown area...not to mention 4-5 humongous buildings that are definitely not filled to capacity....

Hehe...it wasn't 50K, I was being facetious...but we certainly paid more than 1200...

 

[daddyeaux]

flood and homeowners insurance rates are skyrocketing and fixed incomers cant handle it.........

btw Pabst, 229 people move to Fla. every day, but how many die each day????

 

[BoyPlunger]

Quote from daddyeaux:

flood and homeowners insurance rates are skyrocketing and fixed incomers cant handle it.........

btw Pabst, 229 people move to Fla. every day, but how many die each day????

i don't have any idea, but in florida, i would assume it's fewer than the number that are born.

 

[Oz435]

I read a few months ago that a major moving company in Fl moved more people out of the state than into it.

 

[Appleseed]

Quote from johnstang:

Orlando Sentinel today reports that condo construction is stopping because they cant afford to complete the buildings and even if they did they might not be any buyers.

condo builings must be completed before the first tenant
is permitted to move in. builders are then made to rent out the units if they don,t sell within a a perscribed time. this does not apply to single housing units.
john

 

[Pekelo]

Quote from daddyeaux:


btw Pabst, 229 people move to Fla. every day, but how many die each day????

I read somewhere that FL expects 100K new residents per year! That is quite a number of incoming people looking for living somewhere....

The stupid facts:

Florida population estimates:

Florida's Population (2003) - 17,019,068
Florida's Population (2002) - 16,713,149
Florida's Population (2001) - 16,396,515
Florida's Population (2000) - 15,982,378
Population (1990) - 12,937,926
Population (1980) - 9,746,961
Population Growth Rate (1990-2000) - 23.5%

Looks like FL is growing by 300+K per year...

 

[the gardner]

here are the negatives....

leveraged flippers in the market....who only had to put 5 or 10 percent down to own .......now that the buildings are completed those owners have to pay the sky high maintinces and taxes on those apts.......some investors bought 5 or more apts

huge overbuilding.....look at the buildings at night ....their are almost no lights on.......their vacant empty white elephants

higher mortgage rates.........6 7 8 9 10 percent ...the shutdown of subprime loans...alt a loans ....skyrocketing jumbo loans

lenders demanding more and more money down to purchase anything

high real estate taxes in florida...2 percent of purchase price

huge increases in insurance rates 30 to 40 percent in 06

very high matinence rates ...increasing with inflation

2 trillion dollars in resets.....over the next 5 years.....witch will raise existing mortgage payments massivly

no one is buying now.......no sales......huge amounts of negative media

the income to home cost ratio......is 40 percent above its 30 year norm.....thats very important

huge inventory levels not seen in 19 years ....an almost 10 month supply of homes

home prices predicted to fall nationally for the first time ever

the fact that miami a boom bust market ....has undergone over the last seven years the largest rise in prices over the last hundred years

catagory 5 hurricane risk.....miami direct hit would equal 125 billion dollars in damage......price of cat bonds increasing ...after katrina

global warming ...sea level rising.....steadly...inch by inch...if al gores right its really bad news

foreclosures rising at the highest rate in the country...of any metro area.......an oceanfront building in miami beach is now in foreclosure prudential has the listing

the emergance of buyers brokers .....thorought the mkt

...............etc etc etc............MIAMI IS A BLACK HOLE AND WILL CONTINUE TO BE FOR APPX 5.5 YEARS...............FACT

 

[thriftybob]

Quote from the gardner:

ALL THE NUMBERS INDICATE THAT MANY OF THESE CONDOS WILL TRADE AT 50 TO 60 PERCENT DISCOUNTS FROM THEIR ORIGINAL LIST PRICE.......AND ONCE PURCHASED WILL NOT RISE IN VALUE FOR MANY YEARS .

THE FACT IS THE MIAMI CONDO MARKET IS CRASHING RIGHT NOW AND WILL CONTINUE TO CRASH FOR AT LEAST TWO YEARS....

ANY LEVERAGED MONEY THAT WENT IN TO THAT MARKET IS GONE
VANISHED .THE CONDO MARKET IN MIAMI IS FOR NOW A BLACK HOLE IN THE FABRIC OF OUR ECONOMY

PLEASE DISCUSS

Same as the late 1920's boom and bust in Florida. History has the opportunity to repeat or rhyme when everyone has forgotten the lessons learned.