WASHINGTON (AP) — A real estate group says sales of previously occupied homes rose modestly from April to May, the third monthly increase this year, but signs of any housing recovery are fragile at best.

The National Association of Realtors said Tuesday that home sales rose 2.4 percent to a seasonally adjusted annual rate of 4.77 million last month, from a downwardly revised pace of 4.66 million in April. Prices, meanwhile, dropped by 16.8 percent from a year ago.

The results missed economists’ expectations. Sales had been expected to rise to an annual pace of 4.81 million units, according to Thomson Reuters.

The median sales price plunged to $173,000, down from $207,900 in the same month last year, but up from $166,600 in April.

By Dawn Wotapka  Of DOW JONES NEWSWIRES
NEW YORK (Dow Jones)–South Florida’s bloated condominium supply is finally being whittled down, a positive sign for the region that saw one of the nation’s most spectacular booms and busts.

But inventory under construction and, of course, foreclosures, could erase the recent baby steps toward recovery.

Falling prices combined with pent-up demand pushed the number of resale condos available just below the 50,000 mark, a decline of more than 18% from November, according to real estate consultancy Condo Vultures LLC.

“It is significant psychologically for the region to see the condo resale inventory slip below 50,000 units,” said Peter Zalewski, a principal with the Bal Harbour, Fla.-based firm. “Before the South Florida condo market can stabilize the overall inventory must first be reduced.”

As of this week, there is a combined 49,746 condos and town houses on the resale market in the tri-county South Florida region, stretching from West Palm Beach to downtown Miami. That’s down from 51,581 about a month ago, according to Condo Vultures, which uses data from the Florida Association of Realtors.

In November, there were 60,928 condos for resale.

The largest concentration remains in Miami-Dade County, where developers raced to build luxury waterfront condos during the region’s heyday. After the bubble popped, the area was saddled with a multi-year inventory glut that depressed prices and fueled foreclosures. Cash had been king recently, but an increase in deals has soothed some jittery lenders and financing is trickling in.

That has helped the Miami area’s condo inventory fall by 18% since Nov. 24, according to Zalewski.

But this could only be a temporary improvement. Developers could unload another 10,000 or so new, unclosed units into what, despite modest improvement, remains a battered housing markets.

Foreclosures, Zalewski added, continue “at a rapid pace.”

-By Dawn Wotapka, Dow Jones Newswires; 201-938-5248; dawn.wotapka@dowjones.com

BY MONICA HATCHER - Miami Herald
mhatcher@MiamiHerald.com

With dark windows dulling Miami’s twinkling skyline, newly built condo towers may look ghostly. But that’s changing as the downtown area quickly fills up with flesh-and-blood residents.Although condo sales remain sluggish, renters are marching in to help lighten things up. Sales are picking up, too.

An occupancy report released Wednesday, commissioned by the Miami Downtown Development Authority, found that 62 percent of the new condos built since 2003 are, in fact, inhabited by humans.

What’s selling: good deals.

In the past two weeks at Brickell on the River South, 40 new sales contracts have been signed, thanks to aggressively reduced pricing by the developer.

”Come into the sales offices and see the movement on a daily basis of people trying to find out what is available to buy or to rent,” said Andres Asion, principal broker for the Miami Real Estate Group. “People are tired of commuting into the heart of the city.”

Renters are driving the change.

Although the rental-to-sales ratio is now 50-50, an average of 280 new leases were drawn up per month on new units, compared with an average 50 monthly sales in the last year, according to the report.

Thanks to downwardly spiraling prices, sales numbers have improved recently to an average of 70 per month, though financing hurdles are still tamping down otherwise robust demand, the report noted.

While some may point to the rental trend as evidence developers overshot their estimates of demand and put up far too many buildings, Alyce Robertson, executive director of the development authority, said it makes little difference from an economic development standpoint.

Whether people rent or own, they need and demand more shops, banks, bars and restaurants in the area.

Robertson said the Downtown Development Authority, a quasi-governmental agency that promotes the area, will soon sell the area to prospective retailers based on the results of the occupancy report.

“The people who haven’t been to downtown recently, you really have to come and see because it’s really a different place.”

In the midst of one of the worst housing blowouts in state history, the occupancy report sheds some positive light on what otherwise is still a fairly grim situation in the condo market.

Prices continue to drop and rising foreclosures are financially disabling many condo associations. Also, the sector is dealing with a vast oversupply of inventory — units for sale from developers, owners and banks.

As of May, developers still held 38 percent of completed units — or about 8,300 of 21,616 completed. They are being forced to rent or sell at steep discounts to fend off lenders seeking construction loan payoffs. An additional 1,333 units will be delivered to market later this year.

Competition from other parts of town also looms large. In Miami-Dade County, 56 percent of all properties for sale are either condos or townhomes, according to the Multiple Listing Service.

The bulk of those units are in Aventura, North Miami Beach and Sunny Isles Beach, with downtown Miami ranking second by a fraction. Developers typically do not list unsold units in the MLS.

What’s more, condos and townhomes represent 71 percent of all rental listings.

Craig Werley, president of Focus Real Estate Advisors in Coral Gables, who authored the study with Miami-based Goodkin Consulting, said that even though people are moving in, that doesn’t mean the market is healthy. But it does point to a recovery that may come sooner than what many people think.

Based on the current absorption rate and the likelihood of further price declines, Werley said healthy occupancy rates of 95 to 98 percent could be seen in as little as three years.

”There is an inflow, and while there will be some further discounting of prices that will undoubtedly take place with the existing inventory,” Werley said, “there is a demand for this affordable product.”

By MARY BILLARD - New York Times

IT was a sunny Monday afternoon, and the scene around the yellow-and-orange cabanas at La Piaggia Beach Club was laid-back and effortlessly chic. Waiters brought trays of chilled rosé, goose pâté and “les mini cheeseburgers.” Women, wearing cunning coverups that manage to cover up nothing, dipped their manicured feet into the sand.

A few attractive young bodies were leisurely sunning near the saltwater pool, but nobody was in the pool itself. It was just for show, as was the plaque on the weathered wooden front door falsely stating that the club was “members only.” With the blue waters and swaying palms, the scene at La Piaggia could almost be mistaken for St. Barts or Mustique. Except, of course, for the surrounding sea wall of beachfront condos that screamed Miami.

In recent years, the triangular district at the tip of South Beach has emerged as a chic yet relaxed alternative to the typical Ocean Drive frenzy farther north. It even has a hip moniker, SoFi, which stands for South of Fifth Street — the four-lane thoroughfare that cleaves the neighborhood from the rest of the area.

North of Fifth Street, club kids work off their hangovers at Ocean Drive madhouses like News Cafe, bachelorettes prowl for gallon-size frozen margaritas (with four straws) and busloads of tourists search for the Versace mansion. All the while, menu-wielding hostesses canvass passersby with two-for-one drink specials.

In contrast, the area south of Fifth almost feels like a gated resort — though, in reality, anyone can waltz in. More European than Daytona Beach-at-spring-break, the SoFi scene skews a little older, a little more arrived than arriviste, cushioned by the base of wealthy second-home owners from the area’s gleaming condos.

And just as downtown Manhattanites joke that they get nosebleeds north of 14th Street, SoFi residents have taken to saying that there is no reason to go above Fifth to socialize anymore.

For brunch-time gossip, locals pull up to Big Pink, a nouveau diner that functions like a general store. At sunset, Smith & Wollensky or Monty’s South Beach are the big draws, particularly on Fridays, to watch the looming cruise ships slowly move out to sea. If the wind is blowing in the right direction, strains of “Y.M.C.A.” or Bob Marley can be heard.

And for a crazier party atmosphere, there is the splashy Nikki Beach Club, where bronze bodies lounge on daybeds under private canopies, bottles of Piper-Heidsieck chill in ice buckets, and young women in turquoise Pocahontas-fringed bikinis dance to entertain guests.

While the beauty of South Beach is often obscured by the partying, SoFi denizens also make the most of this picturesque barrier island. Every day at 7 a.m. and 6 p.m., yogis meet for mixed-level classes at the pink lifeguard stand at the Third Street Beach, mastering their downward dogs in the ocean breezes while following the trajectory of the sun.

More yogis can be found at South Pointe Park, a 17.5-acre esplanade that reopened on the island’s southern tip in March after a $22 million renovation. During the day, the park is filled with young families, bikers and dog walkers — all enjoying the dune grass blowing in the breeze, wildflowers sprouting and waves lapping on the shore. At night, 18 light towers glow in different colors, illuminating an area that was once a scary needle park.

SoFi rose from the ashes of urban decay. For decades, it was a dangerous no man’s land — the only destination worth visiting probably was the venerable Joe’s Stone Crab, where diners ate secure in the knowledge that valets guarded their shiny Cadillacs.

Then, starting in the mid-1990s, as the revival of South Beach attracted developers to the natural beauty of the point, towering condos with multimillion-dollar apartments began to appear. Restaurants and other businesses trickled back in.

Among the pioneers was Myles Chefetz, who opened Nemo, a trendy spot with an outdoor courtyard, in 1995. “There were no signs of life,” said Mr. Chefetz, who now runs numerous restaurants and other hotspots in SoFi, and is known as the Sultan of South Fifth. “Nemo is in a former bum-laden crack hotel where they used to film ‘Miami Vice.’ ”

Hotels soon followed. Today, top-notch accommodations include a beachfront Marriott and the all-suite Hilton Bentley Miami/South Beach. They are joined this month by the Sense South Beach, a luxury boutique hotel with 18 rooms and a rooftop pool.

More hotels are on their way. In August, Mr. Chefetz is opening the Prime Hotel, a modern 14-unit resort next to Brown’s Hotel. Opening rates are set at $300 a night.

Not that SoFi is sleepy the rest of year; the demand for a happening scene is a Miami imperative. On a warm Thursday evening in late April, a crush of leggy patrons in miniskirts and high heels and their older boyfriends converged at the outdoor tables at Prime Italian, an offshoot of Prime One Twelve, the stylish steakhouse in Brown’s Hotel. (Both are owned by Mr. Chefetz.)

Prime Italian, with its clubby macho décor, is a restaurant conceived to separate pro athletes from their money via a culinary invention called Kobe meatballs. A crowd of overdressed and underdressed clamored for tables near the bar, where, recently, the N.B.A. star Antoine Walker sat watching a Celtics-Bulls playoff game. The scene prompted one visitor to tag it as Bentleyville in honor of the gridlock of $300,000 cars.

Yes, it may be SoFi. But it’s still South Beach.

IF YOU GO

WHERE TO DRINK

Ted’s Hideaway Tavern (124 Second Street, 305-532-9869), a dive bar for connoisseurs and after-work waiters, is open from noon to 5 a.m.

Monty’s South Beach (300 Alton Road, 305-672-1148; www.montyssouthbeach.com) is an overgrown tiki hut overlooking the marina, which draws everyone from speedboaters and weathered fisherman to surfers and young women in hip maxi dresses.

WHERE TO EAT

Smith & Wollensky (1 Washington Avenue; 305-673-2800, www.smithandwollenskysteakhouses.com) is called “Smith & Wo” by the chic and coiffed crowd, who all sport designer sunglasses (waiters included).

Joe’s Stone Crab (11 Washington Avenue, 305-673-0365; www.joesstonecrab.com) is a 96-year-old institution, so expect hours of waiting (no reservations taken), although greasing the maître d’ is a local art form. An order of large stone crab claws is $39.95 in the summer.

Prime One Twelve (112 Ocean Drive, 305-532-8112; www.prime112.com) is the original SoFi steakhouse. A 48-ounce Porterhouse for two is $88. Across the street is the new Prime Italian (101 Ocean Drive, 305-695-8484), where the spaghetti with Kobe meatballs is $35. On weekends, the street between the two is a block party.

Big Pink (157 Collins Avenue, 305-531-0888; www.bigpinkrestaurant.com) is SoFi’s commissary. Pizza from $9.95; a classic burger is $10.25.

La Piaggia Beach Club (1000 South Pointe Drive; 305-674-0647; www.lapiaggiabeach.com) offers a European vibe, including the menu. Tuna tartar with mango and soy sauce dressing is $21.50.

WHERE TO STAY

Hotel St. Augustine (347 Washington Avenue; 305-532-0570; www.hotelstaugustine.com) is an Art Deco-sleek boutique hotel, two blocks from the beach, but has no restaurant or pool. Summer rates start at $139.

South Beach Marriott (161 Ocean Drive; 305-536-7700: www.miamibeachmarriott.com) is directly on the beach with an Art Deco-style lobby and a Starbucks that’s filled with dog walkers. Summer rates average about $230.

Sense South Beach Hotel (400 Ocean Drive; 305-538-5529; www.sensesobe.com) is a gorgeous new hotel with a rooftop pool and ocean views. Rates start at $119 in the summer.

SURF AND TURF

F1rst (100 Collins Avenue; 305-397-8103; www.f1rstshop.com) is the shop for all things surf-related. Stand-up paddle board rentals, $30 for 90 minutes; surfboards, $20.

Miami Beach Bicycle Center (601 Fifth Street; 305-674-0150; www.bikemiamibeach.com) has bike rentals from $8 an hour to $80 a week.

By Carl Cronan - GlobeSt.com

MIAMI-The 52-story Infinity at Brickell condominium tower has received approval by the Federal National Mortgage Association, according to its developer, the DYL Group. The approval allows condo buyers to seek financing with the institution of their choice at higher loan-to-value ratios and better interest rates.Few projects in South Florida have been able to obtain Fannie Mae approval because of strict requirements including sponsorship by a lender and a rigorous application process, DYL stated. The review includes a top-down analysis of both the project and developer to ensure that the project’s financial backing is strong enough to make it successful.

“Buyers at developments that have not been Fannie Mae approved will face challenges since major financial institutions will be reluctant to lend money to these buyers, leaving them few options aside from hard money loans where interest rates are unfavorable,” says John Yanopoulos, DYL Group president and CEO. “That said, we are extremely pleased as this approval will open up many more financing possibilities for our buyers.”

Located in Miami’s Brickell financial district at 60 SW 13th St., Infinity features 459 contemporary condo units with floor plans ranging between 488 and 2,700 square feet with prices from $485,000 to $1.5 million. The project also incorporates office suites and ground-floor retail space.

May 1, 2009

Miami Beach Dodges a Cold Front

By SUSAN STELLIN

MIAMI BEACH on a recent Sunday hardly felt like a city experiencing the aftermath of a real estate collapse. There were cars backed up all along Ocean Drive, pedestrians jostling for shady sidewalk space in the heat and buff bodies dancing to a thumping beat along the beach.

Brokers are quick to point out that all the gloomy headlines about Miami’s condominium glut and Florida’s foreclosure crisis describe the situation on the other side of the causeway, not in the city of Miami Beach, especially the fashionable enclave of South Beach.

While South Beach has certainly cooled — inventory is up, prices are down, and agents say they’re working harder than ever to put together deals — anyone expecting to snap up a vacation getaway with views of the Atlantic for a song better search in a much less desirable part of the state.

“I get numerous phone calls from people who want to buy in Miami Beach, but they’re looking for that $58,000 condo,” said Allison Cotter, an agent with Esslinger Wooten Maxwell. “You have to say to them, ‘That’s not here; that’s over in Miami.’ ”

According to the Florida Association of Realtors, the median sales price for existing condominiums in the entire Miami area was $151,000 in March.

But the properties most second-home owners seek in Miami Beach — condos in luxury high-rises with views, beach access and pools — are still typically priced from $500,000 to $1 million on the low end (smaller apartments on lower floors that may need updating) and at $1 million to $5 million for the condos celebrities, athletes and moguls favor.

For instance, the former New York Mets catcher Mike Piazza has listed his three-bedroom condominium for $4.3 million, a reduction from the previous asking price of $4.9 million. Situated on the 31st floor of the Murano at Portofino near the tip of South Beach, it has panoramic views of Biscayne Bay, downtown Miami, the beach and the ocean, visible through floor-to-ceiling windows or from the wraparound terrace.

“There is no better view in the city,” said Jill Hertzberg, half of the Jills, a high-end Coldwell Banker brokerage in Miami Beach. Even so, the apartment has been on the market for more than half a year — typical these days, whereas condos in prime buildings used to sell in a few weeks.

“We’re starting to see deals now,” Ms. Hertzberg said, citing a three-bedroom condo in the Sunset Harbour complex, with views of Miami and Biscayne Bay, that just went into contract for $810,000, after the asking price was reduced to $949,000 from $1.2 million.

“He decided he really wanted to sell, and the price changed, and we sold it,” she said. “It was below the market, and that’s what this is all about.”

While prices have declined, they haven’t dropped off a cliff in South Beach because many of the newer developments were completed, and sold, before the market shifted in 2006.

But South Beach has not entirely escaped the wave of foreclosures and short sales — deals in which the price does not cover the entire mortgage but is high enough for the lender to forgive the remaining balance — that have swept the rest of the state. An oceanfront town house is listed as a short sale at $1.7 million; it sold for $3.2 million in 2006. A bank-owned condo in a luxury high-rise, stripped of its fixtures, was purchased for $1.35 million in 2006 and is now in foreclosure at $599,900.

Some of these deals even inspire words that have not been heard much lately. “Bidding wars are developing,” said Tom Bellantoni, an antiques dealer who owns a store in Stamford, Conn., but spends most of his time in Florida and has been looking at properties in Miami Beach for a year.

“I was counting on finding a foreclosure or short sale,” Mr. Bellantoni said. “But what has been happening is that as prices come down everybody is trying to take advantage of the opportunities so people jump on them.”

Since he hasn’t found the right property in Miami Beach in his price range — up to $600,000 — he and his brother recently made an offer on a five-bedroom house in Miami, a short sale listed at $499,000.

“It’s not a done deal yet because the bank has not approved it,” Mr. Bellantoni said. “But I am the high bid so far.”

In Miami Beach, a lot of the newer luxury high-rises are clustered in the South of Fifth neighborhood at the island’s southern tip. The influx of high-rises has affected sales of single-family homes in Miami Beach, which these days appeal more to full-time residents or people who spend at least half the year in the area.

“Before we had such nice condos, a lot of people would buy houses as second and third homes,” said Kevin Tomlinson, an agent with Esslinger Wooten Maxwell. “But as condos became larger and more chic, you don’t see that as much. That’s why there’s such a huge back-up of large homes for sale.”

Among those homes is a renovated eight-bedroom villa on the Indian Creek Waterway with luxury amenities like his-and-her bathrooms in the master suite, a built-in coffee/espresso maker in the upstairs morning kitchen, a boat dock and Tahitian pavilions for dining and lounging around the pool. There’s also an outdoor kitchen. The villa went on the market for $11 million; now it’s listed at $7.9 million.

Sheri Falco, a lawyer who bought a two-bedroom bungalow with a yard near Flamingo Park in 2005, has dropped her price from $675,000 to $499,000.

“I show my house constantly, but I haven’t gotten an offer yet because it’s still a little bit high,” she said, explaining that she doesn’t want to go lower based on what she owes on her mortgage.

“I bought it at the height of the market, and I’m trying to sell it at the current low market — that’s how I roll,” she joked, citing efforts to chase millionaire status during the dot-com boom. “Maybe I’ve learned my lesson.”

According to the Realtor Association of Greater Miami and the Beaches, the number of sales for the region has increased almost every month since last summer, though most of that activity is in the lower price ranges, partly because of the difficulty obtaining financing at the higher end.

These days, real estate agents talk about great deals, and for some properties that may not be far from the truth.

“You can make a case that with the foreclosures, auctions and short sales on the market there are now some buying opportunities. And I haven’t said that for five years,” said Jack McCabe, a real estate consultant in Deerfield Beach, Fla.

But Mr. McCabe cautioned that buyers should plan to own a property for five to seven years and that condo shoppers should rigorously vet the finances of the building to ensure that the other owners are current on their association payments. At some developments that are still under construction or were only completed in the last year, buyers have been walking away from down payments and abandoning deals as they’ve seen the value of the units tumble.

“The Lincoln Road area is kind of the dividing line,” Mr. McCabe said, referring to the pedestrian mall that crosses Miami Beach near 17th Street. “The projects that are south of there are doing O.K.; the projects that are north of there are struggling.”

He also suggested that the bargains aren’t likely to disappear anytime soon.

“We really expect that the deals will get better over the next 12 months and there will be even more inventory to select from,” he said. “It’s my belief that we’ll see prices drop another 10 to 15 percent, and then it’s going to stay at that bottom for another couple of years.”

CONTINUUM NORTH TOWER CONTINUES TO BEAT THE ODDS
As we previously-reported, Continuum North Tower continues to lure buyers.  Prices have dropped, somewhat, and buyers are finding deals in this new oceanfront tower on South Beach.  I have sold 100% of my inventory in Continuum North, and this comes at a time where many were doubting the viability of the oceanfront market in South Beach.  We are seeing sales average around $700-$800/sf for partial ocean view units, with higher sales for the direct oceanfront units (which are selling in the $1200/sf range).
 
SETAI 10-DAY CONDO SALE
We have one of the prime 06-line units at The Setai, recently reduced to $2,195,000, which includes a complete furnishings and electronics package.  HOWEVER, on May 1st we are launching a 10-day sale of this unit, which will be offered to the first all-cash buyer at $1,995,000.  This 25th floor unit overlooks the ocean and Shore Club resort, and offers some of the best views in South Beach.  When not in use, the unit can be rented short-term or long-term.  Setai turn-key rentals of this type can rent for $10,000-$12,000 per month in many cases.  If this unit interests you, please let me know before we launch the sale on May 1st, and I will give you first choice of purchasing the unit.   http://www.zilbert.com/miami_south_beach_condo_details.asp?R=M1258246
 
We have other Setai units, not listed on the market, for the low $2Ms.  Some have the hotel furnishings package that allows you to enroll your apartment in the Setai Hotel Program
 
SELLER FINANCING AT THE NEW FONTAINEBLEAU
If you are looking to purchase a condo, but are finding that bank loans are more difficult to get these days, it may interest you to know that some sellers will offer you financing.  We have three such units at the Fontainebleau resort.  Prices start at $495,000 and include complete, turnkey condo hotel units (they even come with plates, towels, sheets, etc).  We have units in both towers at Fontainebleau.  Visit our Fontainebleau and other condo specials to learn more:  http://www.zilbert.com/showcase.asp

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LIVE HELP AND CHAT NOW ONLINE AT ZILBERT.COM
We have implemented a live help and chat feature on our main website.  Just look for the LIVE HELP buttons as you browse properties on our site.  With the click of a button, you will be instantly connected to a chat session with myself or one of our sales agents.  You can ask us questions, get extra information on properties, or simply learn more about the market.   We are always available, and we continue to invest in technology and tools that benefit our clients.
 
ATTENTION REALTORS!
We want you to join us!  Our business is growing, and we continue to look for experienced and talented realtors.  My management style allows you to work as independently as you like, but with the power of our technology and sales teams behind you.  As you know, the web generates a tremendous amount of business, and our company is on the forefront of technology.  Our realtors are enjoying continued success, despite the slower market.  Let me show you how we do it!  We are also looking for realtors who speak any of the G20 languages, including Italian, French and German.
 
WANT TO SEE WHAT’S SELLING?
Did you know that we post the 100 most-recent South Beach sales on our site?  This list changes continuously, so it’s a good way to keep up on the market.  Visit our online sales list anytime at:  http://www.zilbert.com/100_most_recent_sales.asp
 
You can also learn the selling price of most condos by visiting any of our condo pages.  At the bottom of the page is a quick form that you need to fill out (your name and email address).  Then, we instantly send you a sales history for that condo.
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MIAMI SPICE SPRING EDITION
Every autumn, many of Miami Beach’s restaurants introduce the MIAMI SPICE menu.  This is a fixed price menu that allows you to enjoy some of Miami’s greatest restaurants at bargain prices.  This year, we get to have the SPRING MIAMI SPICE.  Lunch menus are fixed at $23 and dinner menus are fixed at $36 per person.  You won’t be disappointed.  Read more about it here:  http://www.ilovemiamispice.com/

BY MARTHA BRANNIGAN - Miami Herald
mbrannigan@MiamiHerald.com

They say you can’t fight County Hall, but thousands of South Florida property owners are trying.With the steep slide in property values, the Miami-Dade Value Adjustment Board has been swamped with a record 70,000 appeals from property owners for 2008, compared with 51,571 a year earlier. In Broward County, the number of appeals to the VAB rose to 29,729 from 26,802 the prior year.

The boards can overrule the property appraiser, doling out big tax savings to property owners.

Special magistrates are currently working through a heavy calendar of hearings on 2008 property assessments, which are based on 2007 property values. Those tax bills were due March 31, but with so many appeals, the sessions will drag on well into the fall.

”Property owners are not happy with their property assessments,” says Robert Alfaro, manager of the Value Adjustment Board in Miami-Dade County. “Market values have come down, and they feel their properties shouldn’t be assessed at the levels they’re seeing.”

But a key point to remember is that property assessments aren’t based on today’s values; they look backward.

CHANGES IN VALUES

That means tax bills for 2008 reflected property values in 2007, before the market really went south. But 2009 assessments will be based on property values between Jan. 2, 2008, and Jan. 1, 2009 — a period when home prices really tanked.

”When 2009 assessments come out, it’s really going to be interesting,” says Gary Appel, who specializes in appeals for property owners.

During 2008, the median price for a single-family home fell 23 percent in Broward and 27 percent in Miami-Dade, according to the Florida Association of Realtors. Median condo prices plunged 29 percent in Broward and 12 percent in Miami-Dade last year.

Will county property assessments match those radical drops? Property owners will find out this summer. TRIM, or ”truth in millage,” notices of proposed taxes are mailed the last week of August.

Many property owners are counting on big cuts.

”They taxed everyone on artificially high numbers, inflated by liar loans and fake appraisals. Now they need to come back down to the real world and real values,” says Philip Logue, a Coral Gables real-estate investor who has appealed assessments on various properties.

Property owners sometimes save thousands of dollars by appealing to the VAB. For the 2007 tax year, for example, taxpayers got back $97.2 million through VAB appeals and shaved $4.81 billion from the taxable value of property in Miami-Dade County.

ADJUSTMENTS SOUGHT

”There are quite a few cases that warrant adjustments,” says Patrick J. Mikus, an appraiser who works as a magistrate in Miami-Dade.

Logue says appealing is worth the effort. This year, he has already won several reductions on Miami-Dade property.

A special master at the Value Adjustment Board, for instance, recently trimmed nearly $54,000 from the assessed value of his Coral Gables duplex at 5411-5431 Granada Blvd., reducing it to $676,000 and saving him $1,058 in taxes.

Logue hopes that his 2009 TRIM notice will more accurately reflect South Florida’s declining property values. ”I’m looking for the county on its own to lower assessments this year without me having to hire somebody [to appeal] to bring the values down,” he says.

One caveat about winning a VAB appeal: Property appraisers, relying on computer-assisted mass assessments, often jack up an assessed value again the next year after someone wins an appeal.

Fanny Behar Ostrow, who owns a rental property at 950 Viera Ave. in Coral Gables, won a reduction last year, shaving thousands of dollars from her tax bill. But the next tax bill raised the assessment again, ignoring the VAB’s action.

”I got like a $3,500 refund last year. Now the [assessed] value is right back up again, and I have to appeal again,” she says.

That helps keep the cottage industry of tax-appeal specialists in business. But now they have new clients: With home prices still falling, even many homeowners with homestead exemptions, which qualify them for a Save Our Homes cap on property-tax increases, are challenging their assessments.

Under Florida’s Save Our Homes amendment, assessed values on homestead properties can increase by only a maximum of 3 percent a year regardless of how much market values increase.

COUNTING ON THE CAP

That cap saved many long-time residents from hefty tax increases as prices spiraled higher during the boom. But now some property owners think their property values have slid beneath the cap mandated by Save Our Homes and have filed appeals.

For 2009 assessments, Broward County property appraiser Lori Parrish says she is finding many cases in which “the just value is dropping below the Save Our Homes value.”