There are 8 Million stories...here's just one...Miami state of Mind

There are 8 Million stories...here's just one...Miami state of Mind

I learned so much about the luxury real estate market while working in Miami. I had my license with one the more famous Developers that actually began the trend of extreme Luxe condos in the financial district, Brickell, in Miami. It was exciting and believe me you learn fast that Luxury is all about Image/Perception/Price, Price/Perception/Image. It's like "what came first the chicken or the egg?" Image is EVERYTHING in Miami. And yes the perceived value in all of it. If it looked prestigious, had a high price tag and was sought after because it was perceived by the elite as being the best, it was HOT and had to be Luxe.

In the height of the real estate "Bubble" when so many things were floating sky high, structures, prices, sales, and egos, you could buy a condo for $300,000. And buy, which typically means purchased,is used loosely. Here's why? Buyer puts 20% down for soon to be constructed condo in exciting new project. Same buyer sells the unit for $450,000 to someone looking for a great deal in a 'Fabulous' new construction project. That person/new and buyer #2, has grandiose $$$$$$$ bill signs blinding their focus would sell that same unit for $690,000. If you wanted to be considered one of Miami's elite you had to be in that hi rise. Buyer #3 is elated about this awesome new project and the great price he purchased his unit at. What better way to flash your Luxe Style than to purchase another "great deal" in the same building since you were getting the best "pre-construction price" for a new building now under construction. By the time you sell your two (2) condos you will be 'Ballin!'

This is how a lot of that hot air filled that huge real estate market balloon that Burst with a loud reverberating BAAANNGGgggggg! both heard and felt all over Miami Dade, Broward, Palm Beach counties, and so on and so on...It was about Image, Perception and Price. Each buyer perceived value in the project, condo, location and the price was right for that moment. They all believed it would afford them a wealth of opportunities. Whether it was to live in luxury or afford more luxurious Image driven lifestlyle in a short time. How else could you buy and sell property that has not been conveyed, in a building you've only seen renderings for? You could do it since it was under construction right? I know that makes more sense? Or it was near completion. You did provide your 20% down. And they all did.

What is the end of the story here? Real estate deals were made 2-5 times on any one unit before a project was completed back in the day. Not so long ago I know, I'm talking '00-'05. There was a POP and we all woke up out of the daze. There were no more bright puffy clouds filled to that max, sprinkling crisp green $100 dollar bills over the cities for a select chosen few. Suddenly the sky was dark and the views were obscure. All that anyone could hear was a huge storm brewing and strong winds that just knocked many off their feet.

Some begin to prepare for the worst early. Certain things were no longer acceptable. You know the saying, "There are 8 million stories in the city." If Miami could talk would anyone listen? I clearly remember many people saying, "there are too many projects, the bubble is going to burst." I remember working for a Developer that made the decision to put an end to re-assigning contracts. Preparedness! Some say it was simply because the Developer was left out of all the extra dollars being made on those re-sold contracts. I'd like to believe the Developer was setting a precedence on getting back to what was truly important. Image/Perception/MEGA dollars, they are Ethical/Concerned/Billionaires. We followed the trend. Take note, make a list and Get prepared a Hurricane is on the way. Although we were not all wealthy a lot of us were ethically rich and for that managed to have much success in this business, even though it isn't as trendy or glamorous as often. We are still in the Re-build - Re-construction mode. You remember Hurricane Andrew right? It take a while.

Image/Perception...there is a Price!

In my next REALTORGurl, Blog, "It's the Spot!"

What is Luxury Real Estate Miami Style? What is Luxury Real Estate Tampa Style? You tell me the difference. Thank you in advance.

Felicia Romano - So. FL Realty Girl