The Ivan & Mike Team has just developed an extraordinary tool to help you make the decision of finding the best home investment option in South Florida: The Price Just Dropped Tool
This great toolwas created and designed to make your home search incredibly easier. It shows the properties that dropped their price in the last two weeks by neighborhood, so this means the list of homes is updated and reviewed constantly to show you the top-class residences in Miami with the hottest deals.
The process to find the perfect home, in addition to getting the best price deal, is very simple. First, browse to the Price Dropped Tool. Then, click on the neighborhood you are interested in and on the left side of your screen, a map will appear with the search results and their location.
On the right side, the list of homes will appear in descending order, from the highest to the lowest price. Also, on the top corner of each property displayed, you will see a green rectangle that indicates how much the residence price has dropped. Finally, select the property that caught your attention and get ready to contact us, the Ivan and Mike Team, and schedule a tour to see that dreamy home by yourself.
The Price Dropped Tool innovation
Daily, the real estate market changes, prices go up and down frequently, and our agents find properties in South Florida whose prices just dropped. At Ivan and Mike Team, we believe in innovation to offer our clients a complete service experience, facilitating their search process to get a new home for themselves and their families.
The design of the Price Dropped Tool represents the solution to the clients’ need to make the best decision financially when buying a property. And the key for this insight was possible thanks to the extensive experience and the constant price researching for clients that Michael Martirena and Ivan Chorney have gained throughout their broad career in real estate.
We, The Ivan and Mike Team, are always going one step further in the real estate field to offer our clients and investors an unforgettable white-glove experience. We are here to help you in the path to finding your ideal residence, and we do this by providing you with trusted specialized advice, first-hand information on home listings, and integral, groundbreaking tools.
We will continue working to offer you the best real estate services. For now, do not miss this week’s listings here!
Price Just Dropped Newsletter
In addition to the Price Dropped Tool, an amazingly functional feature of the new design for Ivan and Mike’s website, there is another helpful tool, exclusive for Ivan and Mike’s clients and investors: The Price Just Dropped Newsletter.
Using the Price Just Dropped Newsletter is very easy too. You only need to visit the Price Just Dropped Tool and sign up in the form with your name, phone number, and email. And just like that, you will never miss a chance ever again to buy a great property with extraordinary features and a privileged location, because now you will receive an email notification when the price of the best homes drops.
Miami has many words to be summed up, but the ones that describe the best the essence of The Magic City are vibrant and growth, because of the city’s change from one year to another in terms of real estate infrastructure, shops, restaurants, businesses, and other remarkable places. The perfect depiction of this situation is the current wave of new residents in the past few months who have arrived in Miami to settle in once and for all in this lively town and live a brand-new experience full of benefits and advantages.
Miami has established not only as a popular vacation destination but also as an appealing destination to live permanently, finding the ideal location to work, make business, and have fun. Moving permanently to Miami is the right choice for several reasons.
For starters, about 470,000 people call the city of Miami home, besides the nearly 2.8 million people who live in Miami-Dade County, of which almost 60% of the population was born internationally, making Miami one of the most multi-cultural towns in the world.
It is no secret that many people move to Miami to escape from the hectic lifestyle of the big cities like New York and Chicago, since Miami has a more laid-back spirit, perhaps because the cultural diversity is part of the DNA of the town.
We have explored some of the best features of living in Miami to help readers decide why moving here is the right choice for them and their families.
Walkability: How to get around in the city
Downtown Miami is so walkable that locals and even visitors forget that there are other transportation means available. With a walkability score of 78, Miami is considered the fifth most walkable city in the United States, making it a great town in terms of walkability.
This high score may be due to the well-built sidewalks and marinas, making it very attractive to walk all over town, in addition to the fact that the top places and landmarks are relatively close one from another. Downtown Miami, Brickell, and Coconut Grove are locations aesthetically pleasing to watch, and many of these neighborhoods are worth walking by just to get the best views in detail.
On the other hand, walking as the favorite transportation method makes Miami a green city, besides high levels of safety in town, which encourages doing this activity and stopping by the beach to relax and have fun while doing some exercise.
Phenomenal weather all year long
One of the best benefits of living in Miami is the spectacular weather, which has all the qualities of a long summer, interrupted by a period that passes as a late spring in northern regions. Imagine visiting Florida any time of the year and having a summer season every day.
Many features change throughout the year, some months are windier, and others are rainier, while other months are a bit more humid and wet, but no matter what the season is, living in Miami means having pleasant weather with long sunshine, and the best part is the chance of enjoying the warm sea all year long, the weather is just for enjoying the fresh breeze or swimming to cool up when the sun is too hot.
An active city with an infinity of sports and outdoor activities
With an average year-round temperature of 77 degrees and 248 sunny days each year, Miami is the top city for outdoor enthusiasts in the state of Florida and has been established as an all-time favorite to go on vacation. And in efforts of getting the best of the wonderful weather, outdoor and watersports activities are a must for locals and visitors, such as kayaking or stand-up paddleboarding on the hypnotizing Biscayne Bay, or South Beach‘s Sunset Islands.
Miami has a wide variety of sites and spots for residents and visitors to practice safely other outdoor activities including biking, mountain biking, hiking, jogging, or running in pet-friendly trails and parks such as Snake Trail and Rickenbacker Trail.
However, if visitors are more into nature, Miami is also the perfect place to engage in observing the stunning species of birds that come to town and other wildlife species, since the city is surrounded by the astounding Everglades National Park and the Biscayne National Park, without mentioning the over 800 parks the city has.
But no matter what the chosen activity is, it is clear that Miami is a city where staying active is a very important priority for locals and travelers, using efficiently the privileged green space the city has at its disposal.
In some situations, housing costs are elevated making the cost of living in Miami extremely high. However, the low taxes in Florida balance out this condition, making residents feel confident about their choice of living in Miami.
First, there is no state income tax in Florida, which could save permanent residents thousands of dollars in this matter, helping them invest this money on housing costs, having fun in the town, or even better, investing it in a profitable business. However, residents are still required to pay Federal income taxes.
Likewise, sales tax in Miami is only 7%, making it a slightly less percentage than other what other parts of the country tax. As to property taxes, they may vary depending on the municipality, but in overall terms, locals can receive a discount on property taxes just by paying their bills early.
Instead of a state income tax, the state of Florida earns revenues from the millions of tourists that visit and travel to the state every year through a 7% sales tax (state level) and a 5% tourist tax (county-level) from revenues on rental properties and hotel visits for six months or less.
This benefit is not exclusive for residents, since companies can also use this advantage in their favor to save a large amount of money and use it to invest in better infrastructure, hire more people or simply save it when the right time comes. This has been one of the main reasons why there has been an exodus from many companies that not too long ago were located in New York and relocated a part of their team in Miami, like Goldman Sachs and JP Morgan Chase.
Great conditions for development and growth
Miami is considered one of the most popular retirement destinations of the state and perhaps of the country. In the past few years, the doors have opened for Miami in terms of a growing real estate market, employment market and investment, due to the rising interest of big national and foreign investors and brands in the city’s potential.
The real estate market has been rising steadily in recent years due to many people relocating to the area, including last year when many celebrities like The Kushners and Tom Brady, to name a few, were moving to Florida permanently leaving big cosmopolitan towns like New York.
On the other hand, in 2019 Miami ranked in third place as a “Best Large City to Start a Business in” in the nation considering multiple factors such as the current business environment and growth rate, access to funding and resources as well as an actual business operating costs such as rent and labor. This conclusion is not far from the large number of big companies that are moving their operation teams to South Florida, seeing a golden opportunity to invest in the city while also taking advantage of the great benefit that represents a low tax rate for these companies, a place to invest in resources, technology, and the best talent.
This last factor has resulted in positioning Miami as a location with a strong employment market, thanks to the strong economy of the city in the past few years, brought by top sectors in the Miami economy including tourism, financial services, agriculture, education, and healthcare. Likewise, some of the largest employers in the Miami area include Miami-Dade Public Schools, Miami-Dade County Government, Baptist Health South Florida, and the University of Miami.
The Miami-Dade public school district is the fourth largest in the nation with about 400 schools which are education centers for over 340,000 students. However, there are both public and private school options located throughout the entire county, offering parents of children and teenagers a wide invitation so they get the best education in the state and one of the best in the country.
One of the best assets of the Miami schools is there are many options in each neighborhood, so parents can have the certainty their children will not have to cross the city to get top-quality education. Besides, children will be very close to their homes, guaranteeing a safe atmosphere for them and their families, since they will not be far from home.
Regarding continuing education opportunities, Miami also offers great options such as Florida International University, University of Miami, Miami Dade College, and several other colleges and universities with a great standard and status among other universities in the country, making it an interesting option for people pursuing a college degree.
The current events worldwide have been hitting hard the different sectors all over the world, especially the real estate market in the big cities of the United States like New York, where the situation for investors and realtors became critical in the last year due to the pandemic. However, Miami and South Florida went through a different situation, despite having fewer tourists and high numbers of unemployment, just like the rest of the states across the country.
Surprisingly, Miami and South Florida got a brighter outlook in the real estate market in 2020 “because of and not despite the pandemic”, as said by Fortune Builders, since “demand remained strong for industrial properties due to the surge in e-commerce, and wealthy out-of-state buyers scooped up multimillion-dollar waterfront homes for some very pricey privacy”. This was the case of Ivanka Trump and Jared Kushner, as well as Tom Brady and Giselle Bundchen, to name a few of the big names that packed their bags and moved to Florida on a more permanent scale to live in their luxurious private waterfront homes, far away from the ultra-expensive North cities.
Likewise, local and foreign investors and well-recognized leading companies, like JP Morgan Chase and Goldman Sachs, decided to transfer their operations to Florida, taking advantage of the great tax benefits the state of Florida provides to investors. Besides, due to the COVID-19 pandemic situation, working in big companies can be done remotely more than ever before, without having to spend so much money on a costly office.
For these and other reasons, Miami Real Estate Market stayed afloat and even grew in 2020, despite all the odds.
2020 Investment Overview
The 2020 overview puts the Miami real estate market as one of the most wanted locations for people and investors on different fronts, but especially in the luxury house sales. According to Mansion Global, Miami Luxury House sales doubled in October 2020 thanks to the million-dollar-plus deals across South Florida.
South Florida’s luxury real estate market was hot during 2020. In Miami, luxury single-family home sales rocketed 76.7% in September compared to the previous year, and luxury condo sales jumped 34.9% in comparison to 2019. Also, homes were sold 44% quicker than last year, as stated by the Mansion Global report,
Additionally, the luxury real estate market in South Florida grew considerably faster than the rest of the market in this zone, which results very contradictory to the situation of the state’s economy during the last year, where unemployment numbers rocketed due to the pandemic situation.
Taking statistics from the Miami Association of Realtors, million-dollar-plus house sales in Miami-Dade County more than doubled year-over-year, while overall single-family sales rose by a much more moderate 15.7% during that same timespan. Moreover, existing-home sales increased in both condo and house market, but the biggest growth in the market was brought by high-end properties that allow people to maintain a large social distancing and more space to spend more time at home due to the pandemic.
Other reasons for the great demand of buyers and investors despite the COVID-19 were the fact that mortgage rates are much lower than last year (down to record lows in the 2.8% area), as well as the interest of the millennials to buy a home, having the necessary resources to seal the deal.
It is no secret that the real estate market across the country was affected by the arrival of the COVID-19 in the world, and restrictions like quarantine orders issued on every state contributed to the negative impact on this sector, including the Miami real estate and housing market.
Luckily, this standstill proved to be temporary, and the Miami real estate market gained its momentum back as the Federal Reserve System has kept interest rates low, favoring millions of Americans to buy their own house. However, this benefit will not last for too long because prices in Miami are expected to increase by 6.6% over 2021.
On the other hand, COVID-19 has had an impact on workers and independent business owners who are looking to leave the big towns where a business rental place can have an over-the-top price. Also, the number of work-at-home workers increased significantly due to the social distancing restrictions, and their priority now is to find a cheaper place, with more room and even nice weather to work in, since they spend more time at home now.
That is why so many people are leaving the North cities like Manhattan, Boston, and Chicago to find a new space in the warm and lovely Florida, where people can get more spacious accommodations for way less money than they had to pay for in their previous homes. In brief, buyers and renters are receiving more value for their purchase.
Finally, the latest unemployment rate in Miami is 10.1%, which is expected to moderate buying activity across the city. This means that now may be the perfect time to buy a house in Miami or South Florida because it is only a matter of time until Miami catches up to national averages.
The extraordinary results of the Miami real estate market in a very hard year for the economy is linked to the high interest of real estate investors who see in Miami and South Florida a golden opportunity to grow and build their rental properties, as well as benefit from the low borrowing costs, increasing demand, growing demographic buyer changes, an improving state economy, and low Florida taxes.
As for the buyers, Miami offers them a greater square footage living, low mortgage rates, and great year-round weather to work from a spacious home.
We are thrilled to announce that Ivan Chorney and Michael Martirena closed the 19 Palm Avenue residence at $20.5 million, hitting one of the highest sales notes in Miami Beach. They represented the buyers, a California-based family who purchased the property through a trust. Dina Goldentayer of Douglas Elliman had listed the upscale home at $23.5 million in October 2019. This mansion is a class act in its entirety, starting with the architecture penned by the prized Choeff Levy Fischman. With 9600 square feet of covered area, the property expands as one of the most lavish and exquisite on the Palm Island waterfront.
The ground floor is a Choeff Levy Fischman ‘Tropical Modern’ signature layout, which is an open plan with floor-to-ceiling glass doors. These spill out onto the back-garden deck and seamlessly blend the interior and exterior living spaces. This makes up an open-air atrium of a handsome 460 square feet, with floating steps descending into a shallow pool. This area adjoins a larger, bespoke swimming pool, as well as high-end summer kitchen and wet bar.
The centerpiece of this garden is this opulent arrangement of the infinity-edge pool and Lautner deck. The composition is such that the water appears like an oasis. It then boarders a sunken living room, which openly frames a cosy fire pit. The outdoor deck also includes a cabana with attached commodities. A spiral staircase springs up from this part of the house, to a rooftop lounge where sunbathing seems prescribed.
In the crisp interior, the living room is announced from the clean-cut, entrance foyer with magnificent wood louvers and sparkling ponds. This part of the house features a bespoke wall panel, crafted in Italy, which reveal a hidden television nook. The dining space lines the living room, with a floor-to-ceiling brass-covered gas fireplace, with LED lighting. This ultra-modern and meticulously-planned home even boasts a dedicated entertainment lounge, bedecked in gentle overtones. This space also has a classic black and gold bar for perfect hosting occasions.
However, the heart of this dwelling is potentially its $500 000 Fendi gourmet kitchen. It basks in chocolate lacquer, floor-to-ceiling cabinetry and champagne leather paneling. It also has a breakfast area, which supplements the formal dining room. A kitchen island, pantry but also high-end modern appliances are among the installations. These are: a built-in oven, dishwasher, ice maker, microwave, refrigerator, dryer and washer.
An Ipe wood staircase leads to the upper level of the house, from the Italian-tiled foyer. On this floor of the mansion, there are has 6 spacious bedrooms of gray overtones matching the exterior slabs. They also feature soft, organic coverings which complement the cloudy flooring and Cavalli walls. The master bedroom is a grand 1490 square feet, with Cantilevered wood ceilings up to the balcony. It has a romantic sitting area, which opens up on an angular, glass-framed terrace and stunning scenery of the Biscayne Bay. It also has a midnight kitchen and fireplace, ideal for lyrical evenings. All rooms are fitted with the most avant-garde and roomy walk-in closets.
Attached bathrooms are succinctly paved in beautifully-veined marble, with glass-encased showers and superior-grade fittings. The master bedroom’s private bathroom comes with a custom-made vanity, where the floating Boffi tub is an absolute treat. Two of the other larger bathrooms on this floor are fitted with a zero-edge spa shower, steam and scent ventilation.
On this level, there is also a pajama lounge, which an intimate space to enjoy lazy mornings or breakfast ‘almost’ in bed. It faces an external glass atrium, providing pleasant backdrops to this indoor stretch. The house also boasts a larger theater for the full-fledged recreation of family and friends. Additional provisions include a separate area for the live-in house help.
The entire estate gorges on 18,000 square feet, with the exterior dotted with contemporary gray limestone. There are relaxing reflecting ponds and other aquatic installations which enhance the property’s proximity to the water. In addition to the aesthetics, the home is also fully automated, with an integrated Savant technology system. There is also a residential-grade elevator, which services all three levels of the property.
The mansion previously belonged to London investor Dean Carr and his wife Melissa. Their original buying price of the house was of $6.5 million in 2014. It was their undertaking to appoint Choeff Levy Fischman for the refurbishing and redesigning – a project which was only completed in 2019. It is the 3rd property to be selling on Palm Island in recent weeks, an indication that the COVID-19 pandemic has not quite hampered luxury property deals in the area. These sales demonstrate buyer and investor confidence, as well as the buoyancy of the industry through testing times.
If you are trying to buy or sell a home, you must have asked yourself about getting the best realtor in Miami to conclude your deal. A search on the internet will showcase rave reviews of realtors. But is that enough? You may therefore decide to try peer recommendations. A family or friend might have worked with someone they found as their best fit. But, does that in any way sound like that restaurant or movie they also suggested and which didn’t work out for you? Hence, when it comes to your luxury property, is that the way you want to go?
High-end properties are an even more delicate area of this market, since there are big bucks involved. It’s therefore crucial that you do that extra bit of research when choosing your realtor. We’re here to help and have compiled our top tips for you to find the best one for you.
What are The Top 10 Tips for Picking The Best Realtor in Miami?
Neighborhoods and Communities
Miami Beach is composed of a wide variety of different neighborhoods, each with its unique characteristics and qualities. These harbor a number of gated communities, each within a location and price category. Among some of the most known are South Beach, Bal Harbour, Surfside, Coral Gables and Sunny Isles Beach. If you are yet to decide which one of these localities befit your desires and budget, only the best Miami real estate agent can help. They will guide you towards the best options, based on your lifestyle and property requirements.
Types of Property
South Florida offers a gamut of options in real estate. You can choose from sublime oceanfront condos, cozzy townhouses, oceanview penthouses or lavish waterfront villas. Whether your choice is a high-tech home, or one with cutting-edge sports installations, it will be your realtor’s task to provide the finest available selection. Thes Best Realtor in Miami will demonstrate experience and have an ample inventory for each category of properties.
There are property types, but also property segments. For example, in Miami Beach, you can find properties in hotel buildings, as well as residential buildings, or single-family homes. The best Miami real estate agent will be one that understands the distinctions in these segments and can guide you to choose from them. It’s worth noting that some realtors specialize in specific segments.
You need to ensure that you are choosing a realtor that operates within your price range. For instance, if you have a budget of 10 to 12 million dollars, you would be wise to pick an agent who has a track record of sales in that scale and more. Only agents with that type of experience can provide the best property listings to suit your luxurious budget.
The best Miami real estate agent will naturally have a flawless reputation. Choose someone with top standards in ethics, particularly if your property transaction is a lucrative one. When considering investing your hard-earned money, you cannot do without someone of absolute trust. Therefore a realtor great and true recommendations and reviews is your safest bet. They will come with solid references and presentation cards, which you can verify with either the National Association of Realtors or the real estate company which they work for.
After Sales Service
Buying a home doesn’t end with the payment process. You may decide to make adjustments and alterations or find providers for different needs before moving into your new residence. The best realtor in Miami will support you through this transition and provide recommendations for a variety of services. Whether tax experts, interior designers, general contractors, handymen or the like. A good realtor will propose trusted collaborators who can offer value-for-money solutions.
Selling a Home
People need a realtor not only to buy a home but also to sell one. It may come as a surprise that it is of equal importance to choose the best real estate agent when selling your luxury property. The benefits of this are multifold. Primarily, it means that the agent will evaluate your estate as per the actual market trends. An over-estimation or under-estimation of your property is a mistake you want to avoid. You thus need the most accurate estimation possible so that your listing can easily be marketed.
Realtors are people and come in all shapes and sizes. Some you will like, others you won’t. You can trust energy in a real estate transaction and make sure to pick the best realtor in Miami whose personality matches yours. Buying or selling a property can take a lot longer than you expect. You therefore need to be sure the realtor you choose is the one you want for the long-haul. You need this person as a close confidante, in whom you can trust to discuss your investment and counsel you towards making the best possible decision. A good way of sizing up a potential realtor is by visiting their website and checking out presentation videos. You will get a good feel of what this person can do for you and decide whether this is the right personality fit.
Websites are gold mines when it comes to finding out more about your new realtor. They should be able to tell you a lot about their character and how knowledgeable they are about their listings. Look out for well-documented websites with great property galleries, descriptions, useful posts and articles. A well-built blog and a solid social media presence, whether on YouTube, Instagram or Facebook. If you like the digital identity of the realtor, you are likely to like them in person as well.
The old adage of ‘trust your gut’ works wonders here. It may sound cliché, but it’s as good as any advice you can get. Ask yourself whether you would trust this potential realtor with your millions? If you have made it so far on the path of success, it must be because of your sound judgment along the way. So, trust yourself to know what is good for you and that most definitely applies to a realtor too.
If you’ve read us so far, it’s because you are looking to either buy or sell a property and need help to do so. We hope our tips above will lead you to find the best Miami real estate agent. In the meantime, contact Ivan and Mike. They could indeed be your best match.
Mike and Ivan are star sales team in luxury properties at Compass, with over 15 years of experience selling multimillion homes in South Florida. They have worked with a cadre of exclusive clients of very refined real estate requirements who have certainly found in them, the best realtors in Miami.
“A top team at One Sotheby’s International Realty joined Compass. The Ivan and Mike Team, which was One Sotheby’s No. 2 team in 2019, joined Compass earlier this month. The four-person team, led by Ivan Chorney and Michael Martirena, closed more than $100 million in sales last year.
David Bateman left NAI Partners in Houston to become managing director of CBRE for Broward and Palm Beach counties. Bateman will oversee CBRE’s three offices and more than 70 employees. He previously led agency leasing operations for the Houston brokerage. Arden Karson, who joined CBRE as senior managing director for South Florida in 2017, will be stepping down, according to a spokesperson.
CBRE promoted William “Tripp” Gulliford to executive managing director of Florida. He will report to Chris Connelly, CBRE’s Group President, Americas Advisory Services. Gulliford will oversee CBRE’s eight Florida offices and the growth strategy for its advisory services. He was previously senior managing director of CBRE’s north Florida region, and before that was managing director of EverBank Commercial Advisors.
Land use and zoning attorney Anthony Recio returned to Weiss Serota Helfman Cole & Bierman as a partner. Recio took a three-and-a-half-year sabbatical at a Buddhist retreat. He primarily represents developers, investors and lenders in South Florida, and has experience with tax credit financing guidelines and has worked with local governments.
Melsie Ordoñez joined Stantec as buildings engineering principal in its Miami office. Ordoñez will oversee and support engineering for hospitality, institutional, and aviation projects while developing the local healthcare, lab-research facility and ports-marine markets for Stantec.
Fortune Development Sales and Shoma Group named Maria Elena Plasencia director of sales for Ten30 South Beach, a 43-unit project in Miami Beach. Plasencia has worked on projects that include Residences by Armani/Casa and Porsche Design Tower. She’ll be based out of Ten30’s sales center at 1116 15th Street, which is set to open at the end of June.
William Domsky joined Lee & Associates as principal, focusing on industrial and office sales and leasing in South Florida. Domsky was previously with CBRE, where he handled corporate real estate advisory service and tenant representation in New York and Long Island. At CBRE, he completed leases and sales valued at up to $47 million.
Berger Commercial Realty/CORFAC International hired two senior property managers, Ian Miranda and Erica Portes, to work on the company’s Seagis portfolio in Miami-Dade County. Most of the portfolio is industrial real estate. Miranda previously managed the Miami Tower in downtown Miami. Portes was a senior property manager for Prologis.”
Partner Ivan and Mike Team
ONE Sotheby’s International Realty
So, Real Estate in Miami I would say it’s a 95% stand step, things that were already in the pipeline, things that were already in motion, those businesses are closing. So if you get an email from your realtor like “Just Sold”, those deals were in the pipeline before. I don’t think we are fooling anybody that things are steaming along over here in Miami with Real Estate, and I don’t think they pretty much are anywhere in the world right now.
And that makes sense. As an investor myself I’m putting that (investment) on hold for the moment. To put a 20% investment on a piece of property when I don’t quite know what is going on doesn’t seem like the right thing to do right now.
I think there will be a moment of opportunity just like the stock market, but nobody has a crystal ball. We don’t know if we are at the bottom of the “stock market”, we do know that there was a huge dip, and for people who bought on that dip they might be seeing some danger right now.
So I think it’s going to be very similar here in the Miami Real Estate Market. I also think there will be a window of opportunity, and you are going to see discounts that go anywhere from 15% to 20%. Perhaps if this goes longer, if we continue in this roller-coaster of Covid-19 where we get quarantined, and then released and then quarantined again, I think that is going to elongate things. You might see discounts in certain buildings in some areas that have a little bit more supply. You might see discounts up to 30%.
Everything is hyper-local and whenever I am talking to clients and friends I tell them that is the most hyper-local market out there. Miami you have South Beach, Bal Harbour, Surfside, Sunny Isles; even in South Beach you have these micro-markets like Sunset Harbour, South Of Fifth, Venetian Islands, Coconut Grove. So what happens will depend a lot on how things go with Covid-19, if things go roller-coaster and the behavior of specific markets. The Miami Riviera from South Beach to Bal Harbour always seem to stand tall during the tough times.
Miami-based brokerage, which expanded to Vero Beach and Melbourne last year, closed $3.2B in sales, up 30% y-o-y
One Sotheby’s International Realty handed out its top awards for 2019 – with Dennis Carvajal as the company’s No. 1 producer, and Mirce Curkoski and Albert Justo taking the top team win.
The Miami-based brokerage, which expanded north to the Vero Beach and Melbourne markets last year, closed $3.2 billion in sales volume in 2019, a 30 percent increase compared to the previous year, according to a spokesperson.
Carvajal had more than $100 million in sales last year, which included the $14 million sale of 9501 Journeys End Lane in Coral Gables.
Michael Martinez, Ralph Arias, Anna Sherrill, and Saddy Delgado followed Carvajal as top producers in 2019. Arias was involved in the nearly $50 million sale of 3 Indian Creek Island Road in Indian Creek.
The top teams were Curkoski and Justo’s The Waterfront Team; Ivan Chorney and Michael Martirena’s The Ivan & Mike Team; Denise Long and Lynda Smith, Daniela Bonetti and Darryl Fox’s The Bonetti Fox Team; and Nestler Poletto’s team.
Susan Gale was the No. 1 commercial broker for the company, followed by Manny Chamizo. Gale’s deals included the $34.75 million sale of 344-350 Ocean Drive to Henley.
You are a died-in-the-wool northerner. Lived in Brooklyn a good part of your life, then moved to New York City (NYC) to take up an investment banking career. Since turning fifty-five, you’ve been spending the winter months in a now dated, but comfortable, North Miami Beach condo. And every year you find yourself staying longer, playing more golf and tennis, and sitting on the white beaches thinking. Lately, your biggest thought has been, “Why not make this permanent?” Pack up everything – lock, stock, and barrel – and make the Sunshine State home.
The Pros and Cons of a permanent Florida move
It’s not a fantasy. You’ve experienced the champaign weather Florida offers on a silver platter from November through to April. Besides, who says that changing your state residency stops you from switching things around? You can still spend the sweltering periods in the Big Apple, but escape paying taxes there. Travel costs back and forth even out either way.
Lots of your buddies have made the Florida transition already. Healthcare’s not an issue, you have connected with excellent providers, and Medicare offers a broad choice. Hospital facilities like Jacksonville Memorial and Miami University’s Baskin Palmer are world-class. Even the Cleveland Clinic has a footprint in Florida.
Pro #1 – Taxation benefit
So let’s get to the crux of the matter. The huge attraction – the icing on the cake – is paying less tax.
Florida is a zero tax state, and NYC isn’t. It can represent a substantial 12% of your annual income cut from your tax bill out-of-the-gate (i.e., taking city and state taxes into account). At your high-end income, the benefit is nothing to be sneezed at.
Also, the recent Trump cap on state and local income tax deduction (SALT) from your federal tax calculation, at only $10,000, fuels your desire to come south even more.
Is there more to it than income tax? Oh, for sure there is!
Pro #2 – Investing out of one residence into another
Selling your primary residence in NYC may put three or four million dollars in your pocket at current values – even in a cooling market (according to Zillow).
Perhaps you’re leaning toward a signature residence in a premier seafront condo building. You can keep your existing one for the kids when they visit and move up to a super-luxury development like Eighty Seven Park with an easy connection to South Beach. At worst, a dollar for dollar exchange investment-wise. If you opt for just the one, you’ll likely put a lot of free cash in your pocket.
There’s no gain on the property taxes. Surprisingly, NYC is a little lower than the average in Miami – especially after the extra additions for non-ad Valorem services and “miles” multiplications for schools and community services. Note that the city is an exception when looking at state property taxes. New York state is substantially higher than Florida – more than double.
Here are the cons
High tax states don’t let you off the hook that easily. They’re onto the wealthy retiree exodus trend, and the indications are authorities will make things more complicated, not easier. Expect domicile scrutiny, so make sure the transition is for real. There’s no limit to how far the high-tax-state gatekeepers will drill down to prove your move is a farce, so don’t underestimate them.
There are some decisive steps and sacrifices one has to make. Some may be easy, but others could implode your plan if not taken seriously:
Continuing property or work income in NYC will attract nonresident state taxes (i.e., no city taxes) – around 8% of income on the top end. It’s unlikely, but there may be other state credit forfeitures and surcharges that play into your situation, payable as you leave residency. Check it all out carefully with your accountant.
It’s logical to believe that the wealthier you are, the higher the probability of a domicile audit. It’s especially the case if sizable percentage your nonresident income is still NYC based.
Aside from the caveats above, the definition of the law is pretty murky. The burden of truth is on you to prove you no longer live in NYC. Of course, the first step is to notify the right entities of the change the second you make it.
Get a Florida driving license, register to vote there, keep a record of transactions with local retail outlets. Also, have Miami registered motor vehicles, and advisably none in NYC.
Make sure you have enough utility bills with the Miami address, your name, and that of your spouse’s on them.
In a nutshell, don’t spare anything when it comes to accumulating documentation to show that Miami is where you live now. Finally, make sure you spend at least 183 full days in Florida. Some pedantic forensic tax sleuths may take things as far as seeing if that’s true.
For some, the city-to-city emigration is a no-brainer. For others, it’s a head-scratcher. The more time you’ve spent living in the Sunshine State and liked it, the better. There are significant cash and tax benefits there for the taking with a minimal downside if most of the lifestyle and monetary boxes tick off. If they don’t, think again and step lightly before leaping.
The Real Deal: “Tech entrepreneur sells Continuum unit to Neuberger Berman exec: A tech entrepreneur sold his South Beach condo for $8.75 million to an executive at Neuberger Berman in Chicago.
John D. Marshall, founder of the mobile security company AirWatch, sold unit 1402/03 at 50 South Pointe Drive in Miami Beach to Thomas O’Reilly, co-head of non-investment grade fixed income at the Chicago firm, according to a source.”