South Florida’s single-family and condo markets saw a return to pre-pandemic high-end activity in 2022 as strong demand continued despite a tight supply.
That’s according to The Keyes Co. and Illustrated Properties’ new Luxury Report, which says the average days on the market for luxury single-family homes went down by 33.1% to 75 from 2021 to 2022. The area’s high-end condo sector experienced a similar year-over-year decline in average days on market, falling 30.1% to 118. In the past, luxury listings often spent at least 300 days on the market before a sale.
“The sharp year-over-year declines in average days on market reinforce that our region is in high demand,” Keyes president Christina Pappas said in a press release. “That demand, coupled with ongoing supply challenges, should help South Florida avoid significant drops in pricing. Our relocation specialists continue to get tremendous interest from residents of high-tax states who want to be here.”
In Miami-Dade County, $1 million-and-up single-family sales declined by 21.5% year-over-year to 2,469 from 2021 to 2022. The average price per square foot rose to $807 during that time. Luxury condominium transactions dropped by 9.8% year-over-year to 2,624, with the average price per square foot increasing 8.8% to $1,098.
One area that sees a scarcity of newly constructed high-end supply is the Bal Harbour Area. Related Group, Two Roads Development and Rockpoint are developing Rivage Bal Harbour, a 61-unit, single-family, oceanfront condominium tower. 20% of the homes are sold already sold. Jon Paul Pérez, Related’s president, says since the pandemic started, more families are looking for top-quality amenities with a focus on wellness and entertainment.
“It’s very promising. It’s showing us the demand is still very strong for a product like this,” he said. “We look forward to demolishing the building in the next few months and breaking ground.”
Rivage is expected to be complete in 2025. Demand for larger units is on the rise, so the smallest unit Rivage will offer is a three-bedroom one.
“We’re seeing a lot of interest in combination units that go up to about 9,000 square feet. Very large dining and living areas designed to feel like more like a home,” Pérez said.
Bal Harbour has always been a popular area for snowbirds, but Pérez says there’s growing interest from residents who want an upgrade, and people who migrated from the Northeast and South America.
“I think we created something that is very unique and iconic. It’s one of those projects that will be talked about for many years,” he said.
According to the Keyes report, other growing high-end areas in Miami-Dade include Brickell and Doral. Brickell saw a 27.6% surge in year-over-year high-end condo sales to 379 in 2022. Doral is to be one of South Florida’s fastest-growing cities, with a 106.7% year-over-year jump in luxury single-family sales to 124.
In Broward County, the Parkland and Weston areas are where many Broward-based families are going. Fort Lauderdale and Hollywood combined to record a 2.9% year-over-year uptick in high-end condo sales to 497. The average sales price in those markets jumped by 29.8% to $2.33 million
In Palm Beach County, the price per square foot for luxury single-family sales increased by 8.8% year-over-year to $731, with the high-end condo price per square foot rising 17.6% to $952. The Boca Raton and Delray Beach submarket continues to see a large demand for high-end condos with 330 transactions in 2022.
Read More: Report: Single-Family and Condo Markets Return to Pre-Pandemic Activity for High-End Properties