2015-03-19



Investing in Miami Real Estate
The Investors Guide from A-Z

Investing in Miami Real Estate – most people have heard about Miami’s great investment opportunities but don’t know where to start looking or whom to turn to for guidance. This blog is written for exactly those investors who are not that familiar with Miami Real Estate and want to get a good insight into the market



A Must Read Investors Guide for those looking to Invest in Miami Real Estate. A Pretty Picture says more than a thousand words, but numbers speak loader than words. This Guide to Investing in Miami Real Estate tells you everything you need to know before you start investing in Miami

Why Investing in Miami?

Miami has undergone a cultural revolution in the past few years. The city has left its previous ‘Fun in the Sun’  image of spring breakers, retirees and tanned guys in sports cars behind and entered an era in which it established itself on the map for the Arts, Culture, High-end fashion and fine dining lovers. Moreover Miami is now home to an ever growing number of Multinationals establishing its HQs or South American Hubs in our city due to Miami’s excellent location and our ever growing highly skilled and bi-lingual work force. Finally, Miami’s Brickell area (The Manhattan of the South) is home to the highest concentration of international banks in the nation just behind Manhattan

Interesting reads:

♦ The non-financial reasons to invest in Miami
♦ Why Miami ranked the 3rd most important Western City for High Net Worth Individuals



The importance of Miami for High Net Worth Individuals comes from Miami’s great life style, growing importance as a business hub, great real estate opportunities and an upcoming arts, culture and fashion scene

Why Investing in Miami Real Estate?

When demand is higher than supply you know we are talking about a hot commodity.

Miami is on everyone’s radar these days and we get calls from all over the world from investors looking for a good deal in Miami. The demand for property in this city is enormous and prices are still affordable compared to other global cities. Prices have been increasing in the past few years and there seems to be no ending to this as the demand for Miami Real Estate seems unstoppable.

Part of this demand is because of the enormous interest of South Americans in Miami. Wealthy Investors from South America buy properties here to be able to raise their kids in a stable and safe environment with the world’s best schools as well as put their money in an appreciating asset outside of their own (often politically and socially unstable) countries

Each Miami Real Estate opportunity should be considered as a stand alone case. The David Siddons Group doesn’t listen to generalized opinions. A great performing area does not make up for a bad investment property

Besides Latin America, Miami is in demand with Chinese and European citizens looking to Invest in Miami Real Estate. Although Miami’s prices have seen increases in the last few years, our city is still affordable compared to some prime European cities like Paris, Geneva or London or Asian cities such as Shanghai or Hong Kong

Finally, Miami is becoming a preferred investment spot for New Yorkers. Many investment bankers have bought a second (or first) home here in Miami as the prices of properties, as well as the low real estate taxes allow some of these investors to buy two properties for the price they pay for one in New York. With Miami’a Financial Center of Brickell becoming more and more of a second Manhattan, this choice is quickly made.

Interesting reads:

♦ 10 Reasons New Yorkers are investing in Miami
♦  Miami a first class place to live with the best priced properties

What areas are the best when investing in Miami Real Estate?

Most people coming from outside of Miami ask us: What areas can we best invest in and what brings us the best Returns of Investments? First of all, we need to look at what your budget is and whether you want to invest in a Single Family home or a Condo. Second of all, no one real estate investment can be compared to another. I always tell my clients that I look at each investment differently. Sure I look at well performing areas and focus more on these, but there is more to simply looking at a great area. A good value home in a less performing area can do better than a house in a great performing area.

As top producing agents, we are true market analyst that offer impartial advice based on well researched statistical data and not on a mere opinion.

Interesting Reads

♦ Neighborhood economics
Providing a quick overview of the status of the market by providing key data like price changes, inventory levels and amount of units sold vs for sale (Available for Coconut Grove, Coral Gables and Brickell – other neighborhoods on request)

♦ Investing in Miami Homes vs investing in Miami Condos
♦ The Investment Value of A Certain Area (Eg Coconut Grove or Key Biscayne)

Investing in Miami Real Estate: Homes

Areas with great demand are Key Biscayne, Coconut Grove, Coral Gables and Miami Beach

Please find below the averages sales prices per Sq.Ft (In blue) of the last half year of 2014 in different Miami neighborhoods. The grey columns show the actual sales prices in these areas. As can be seen Key Biscayne and Miami Beach offer the most exclusive real estate while South Miami offers the most affordable

Click to enlarge

Investing in Miami Real Estate – Check here the average sales prices per Sq.Ft for SINGLE FAMILY HOMES in the different Miami areas

Click on any of the below neighborhoods to see prices and inventory levels per neighborhood for 4 different price levels and in the last 3 years (Where possible we made a distinction between waterfront and non-waterfront homes)

Coconut Grove

Coral Gables

Key Biscayne

Miami Beach (South Beach, Venetian Islands and Star/Palm/Hibiscus Island

Miami Beach (Mid Beach and North Beach)

Pinecrest

South Miami

Investing in Miami Real Estate: Condos

Please find below the averages sales prices per Sq.Ft (In blue) of the last half year of 2014 in different Miami neighborhoods. The grey columns show the actual sales prices in these areas. As can be seen Key Biscayne, Miami Beach, Bal Harbour and Sunny Isles offer the most exclusive condos while Aventura and Brickell/Downtown offer the most affordable ones

Click to enlarge

Investing in Miami CONDOS – Check here the average sales prices per Sq.Ft for CONDOS in the different Miami areas

Click on any of the below neighborhoods to see prices and inventory levels per neighborhood for 4 different price levels and in the last 3 years

Aventura

Bal Harbour

Brickell

Downtown / Midtown

Key Biscayne

Miami Beach (South Beach and the Venetian Islands)

Miami Beach (Mid Beach and North Beach)

Sunny Isles

Investing in Miami Pre-construction Condos

Most buyers looking to invest in Miami Real Estate are interested in Pre-construction condos. Although some condos offers great value for money many investors do not do enough homework when investing in Miami pre-construction condos or walk straight into the arms of a sales representative that do not provide them with a objective opinion. Like said before, we don’t believe in generalized opinions but we look at the numbers and we look at each investment separately. A great example of this is Brickell, which is becoming more and more of an oversupplied market and not all condos are a great investment value, contrary to popular believe

Interesting reads:

♦ Why to use a good buyers agent when buying Miami Pre-construction condos
♦ The 10 biggest mistakes when choosing a Miami Real Estate Agent
♦ A Comparison of Condo Prices in Downtown, Brickell and Edgewater
♦ A Detailed price comparison of all Miami Pre-construction condos
♦ Should I sell my Brickell Condo?

There are a lot of aspects to take into consideration when buying Miami Pre-construction condos. Having a well experienced buyers agent (Which is free of charge for the buyer) will make a world of difference. The David Siddons Group provides you with objective feedback and can show you different condos with their pros and cons.  We can ask the right questions and have knowledge of all Miami pre-construction condos

No Generalized Opinions, But A Quantitative Approach At Area, Street, Or Condo Level

David Siddons – Miami Top Producing Real Estate agent and the Preferred Real Estate Agent Investment Firms, First-Time Home Buyers, HNWI’s, and Miami Sellers

Our Reports and extensive analysis on Investing in Miami Real Estate

The David Siddons Group offers you a variety of great investment articles that will help you make a good choice. Besides these reports, we make unbiased and personalized analysis for our clients

Our reports and analysis will help you make the right decision and more importantly, makes you understand why you made the right decision.

Some of our most valued blogs:

The performance of Miami’s luxury Real Estate Market in the last 7 years

For Condos and for Homes

The Performance of Condos or homes in certain neighborhood:

For example

South of Fifth Condo Analysis

The Values of homes per Street in North Coconut Grove

Coconut Grove Townhomes : Values and income opportunities

A Comparative review of Brickell pre-construction condos for sale

Market Insights

New Condos that were launched

Paramount at Miami World Center

The Ten Most unique Miami Pre-construction Condos

The Investors Guide to Miami Real Estate 2014

The Investors Guide to Miami Real Estate Q1, 2015

♦ Interesting to watch ⇒ Our Team and our unique insights into Miami Real Estate

How we can help you when investing in Miami Real Estate?

The David Siddons Group is a top performing team with EWM / Christies with annual sales placing us firmly in the top ½ of 1% of all realtors nationwide. With some of the most advanced research tools at our disposal we spend as much time analyzing the market as we do selling it. With that said, we have worked literally 100’s of real estate transactions for both buyers and sellers and can appreciate that many decisions are a marrying of both the head and the heart… so you will always get a sensitive human touch with us as much as the analytical side!

We know the Miami Real Estate Market and its numbers like nobody else – From the average sales price per street in the Grove or Gables, to the inventory levels in Brickell and the average sales prices of Miami Beach condos, we are always up to date on the latest numbers and can provide your clients with written articles/blogs to support our statements as well as inform them on the latest market data. In other words, we show them why a certain investment will be more profitable over another.

“What I liked most about David is the quantitative approach to Real Estate. He showed me numerical overviews of the markets, trends, and prices per sq. ft. He knows the market like nobody else.”

~ Buyer 2014

We understand the market and market mechanisms – We are used to dealing with High Net Worth Individuals and heavy investors and we are able to speak to them in business/investment jargon.  We don’t copy general statements on Miami Real Estate, as each Miami neighborhood is a completely different market with different market dynamics. We investigate the market ourselves and apply economical models and logic to it.  We believe in the fact that numbers don’t lie and we are not afraid to ask critical questions. We combine mass market psychology with market knowledge and market predictions

Our 2013 and 2014 Investors Guides (which is the largest report ever compiled for the Miami Market) has set us apart as true professionals who understand ALL the luxury neighborhood markets and how they interact and affect one another, appreciating that we never operate in a bubble and that the key dynamics of any market needs to be respected and understood if a client is to make the wisest decision.

Early notifications and preferential treatment As top producers we are on everyone’s preferential list and new projects or listings are often received before the rest of the market is aware of it, allowing for early advantages, unique opportunities and preferential prices for your clients

Our ability to show the market and ‘upsell product’. We can show your clients all that Miami has to offer, which sometimes results in clients increasing their investment budgets or mortgaging part of the deal to get a more valuable investment. The outcome can generate extra business for you.

We will provide first class service. We can meet with you and your clients to provide you with an in-depth analysis of Miami Real Estate and the areas of interest. We can go over the numbers and then select a few properties to show. We will take the greatest care in showing your clients around Miami’s finest real estate

Our expertise has been requested by BBC World news, Bloomberg and the Miami Beacon Council. We are proud to have been consulted for our expert advice in the Miami Herald, appeared on the BBC World News, on Bloomberg and have spoken as an industry voice for various Miami trade Councils including the Beacon Council.

Interesting Reads:

♦ What makes us stand out

♦ How we will sell your property

♦ Why Private Bankers trust us with their most valuable clients 

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