South Florida's seven largest coastal markets east of Interstate 95 have less than three months of rental inventory available for lease, according to a new report from CondoVultures.com.
Tenants leased an average of more than 1,050 properties per month in South Florida's seven largest coastal markets in the first nine months of 2011, according to an analysis by the licensed Florida real estate brokerage CVR Realty™.
South Florida's leasing activity between January and September of 2011 represents a three percent increase compared to 2010 when 1,020 leases were completed monthly, according to the analysis based on Florida Realtors association data.
A year earlier in 2009, tenants leased an average of 930 residential properties near the coast per month between January and September.
Since the week of Oct. 20, 2011, CondoVultures.com has examined South Florida's third quarter residential trends in the seven largest coastal condo markets in the tricounty region of Miami-Dade, Broward, and Palm Beach.
On a weekly basis, the Condo Vultures® Market Intelligence Report™ has analyzed transactions and pricing in Greater Downtown Miami, South Beach, Sunny Isles Beach, Hollywood / Hallandale Beach, Downtown Fort Lauderdale and the Beach, Boca Raton / Deerfield Beach, and Downtown West Palm Beach and Palm Beach Island.
At the current 2011 leasing pace, South Florida's 2,850 residential properties available for rent on Dec. 8 would be absorbed in less than 90 days, according to the report.
An additional 1,160 rental properties are currently under contract, waiting to be finalized.
As the leasing activity intensifies, the median rental price for coastal product is also on the rise.
The median rate for rental properties in South Florida's seven coastal markets is up seven percent to $1.39 per square foot per month in 2011 compared to the same period in 2010 when the median rate was $1.30 per square foot per month.
A year earlier in 2009, the median rental rate was $1.17 per square foot per month, according to the report.
South Florida's rental market near the coast is benefiting from a number of factors, including the region's high number of foreclosures and the lack of financing available for would-be buyers.
It is important to note there are various stages to a residential real estate transaction in South Florida.
A transaction begins when a property is made available for rent and ends when a lease is executed by the tenant and landlord.
As part of the process, a rental property typically goes under contract - and is taken off of the market - until the lease is executed.
Condo Vultures® LLC is a real estate consultancy and marketing company based at 1005 Kane Concourse, Suite 205, Bal Harbour, Florida, 33154. You can reach Condo Vultures® LLC at 800-750-0517.
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