The vibrant, cosmopolitan city of Miami is a standout, bucking trends not only in music and fashion but also in real estate. While the rest of the nation has seen home prices decrease, Miami-Dade County has gone rogue, seeing median home prices increase from $575K (2022) to over $618K (2023). According to the Miami Association of Realtors, condo prices followed suit with an over 16K increase in 2023.
What’s driving Miami real estate prices?
The increase in median home prices in Southeast Florida is due to the classic economics lesson of supply and demand. The availability of fewer homes on the market is leading to a steady projected increase in prices of 5% and a cumulative appreciation of 50% since 2019. Due to the limited supply of single-family homes, prices for those units will increase by 6%, while condominiums show a moderate price increase of 4%. Predictions from the Miami Association of Realtors indicate that “inventory is likely to tighten in 2024 through mid-2025 with fewer new single-homes in the pipeline.”
Is it a good time to invest in Miami real estate?
While deciding whether or not to invest in a home is a personal choice, buyers should be armed with the latest statistics and expert insights when making this most important life decision. In its 2024 Housing Market Projections, NASDAQ lists neighborhoods in Miami as one of the two most promising markets in the United States. The National Association of Realtors (NAR) projects an appreciation of .9% in 2024 and predicts that southeastern states like Florida will continue to outperform the national average overall. Further decreasing supply and increasing home price appreciation is unprecedented population growth, driven primarily by out-of-town movers at a level Florida hasn’t experienced in two decades.
“Over the past year, we’ve seen continued population growth, especially from deep-pocket buyers from the Northeast, California, and the upper Midwest,” says Miami Signature Homes President Mauricio J. Barba, “Additionally, we’ve started to witness the return of South and Central American buyers. Looking ahead to the coming year, the predicted lowering of interest rates should lead to the resurgence of our local move-up buyers. As a result, these same buyers are likely to put their current homes on the market, potentially alleviating the shortage in inventory.
It’s an exciting time with promising shifts in the market, and we can start preparing for an increase in local move-up buyers and the potential surge in inventory. This could involve developing tailored marketing strategies and positioning current listings to stand out in the evolving market. If you need further assistance or have other real estate-related topics to discuss, feel free to let me know!”
How to invest in Miami’s red-hot housing market?
Investing in Miami real estate is not for the faint of heart or the inexperienced. With relatively low housing inventory and transplants moving to the area at record numbers, it’s important to have a verifiable expert in your corner. Miami Signature Homes President and luxury real estate advisor, Mauricio J. Barba, is respected throughout his native Miami by clients and colleagues alike; he has logged top honors for elite performance in his field.
Mauricio is connected worldwide but specializes in Coral Gables, Coconut Grove, Key Biscayne, Brickell, Village of Pinecrest, South Miami, Palmetto Bay/Falls area, and the Beaches. This intimate knowledge of the local luxury real estate market is essential to helping buyers find their perfect home or investment property.
The Miami Signature Homes team is relatively small compared to its sales volume. That has been important in keeping relationships with clients at a very direct level. Mauricio, Tania, Vicky, and Jorge, each maintain strong personal connections and professional relationships with all of their clients, many of which have been with the team for decades.
This personal level of service allows each team member to devote individual attention and care to every home sale or search. Assistants are great, but Miami Signature Homes makes sure their principals are the people solely responsible for returning essential calls or emails 24/7, 365 days a year.
If you insist on expertise and dedication throughout one of the most important decisions of your life, call us at 305.439.8311.
Mauricio J. Barba is one of the exclusive agents representing the Coral Gables, FL, real estate market as a member of the Haute Residence Real Estate Network. View all of his listings here.
Sources:
https://news.yahoo.com/home-prices-south-florida-defy-230956731.html
https://www.nasdaq.com/articles/2024-housing-market-projections:-where-prices-could-grow-most
https://wsvn.com/news/us-world/is-2024-a-good-year-to-buy-a-home/
