Miami Area Home Sales Surge
The median sales of single-family homes in Miami reached an all-time high in November when they hit a mark of $450,000.
This was the third consecutive month of setting a new record and the 9th consecutive month of increase.
The Miami Association of Realtors stated that the median prices grew by 23 % since November 2019. The original value was $385,000. The prices for condos also rose 10% from November 2019. It was valued at $245,000 at the time. Now, it is valued at $270,000. Even in Broward, the demand soared. The median sales price of single-family homes also jumped up by 13.3% from November 2020, increasing from $375,000 to $425,000. It hit an all-time high in September 2020.
The number of homes sold in Miami was 2459. This was also an increase of 20% from November 2019. The number of condo sales also exhibited a similar pattern. The existing condo sales rose 23% from 1061 to 1305. All-sales cash also seemed to show a decline. In November 2019, they were valued at 35%. In November 2020, the figure had gone down to 29%. This shows that fewer foreigners were inclined to buy the property and compete with the locals. However, when it comes to cash transactions in the US, Miami-Dade still takes the lead at 20%?
“The pandemic has prioritized the importance and value of our homes,” Miami Association of Realtors Chairman of the Board Jorge L. Guerra Jr. said in a press release. “More than ever, home has become the focal point of our lives, and consumers want more space and convenience. Remote work, home schooling, record-low mortgage rates, low inventory and purchases from tax-burdened Northeastern home buyers are some of the factors boosting Miami real estate.”
Price growth
Single-family homes in Miami, ranging between $400,000 and $600,000, increased from 50.4% from November 2019 to November 2020. Condos priced between $400,000 and $600,000 also showed a rise. However, this increase was of 68.3%, a far greater increase than the one seen in single-family homes.
In the luxury market, the increase was more rapid. Single-family homes were priced at $ 1 million and grew by 120.3 % over the last year. For condos, the sales were priced at $1 million. This was an increase of 88.2% from November 2019.
However, there is one drawback, which the Miami real estate market is currently facing. There is a lack of access to mortgage loans. It prevents the condominium market from reaching its full potential. In recent years, the government has put in a new condo approval process, which will increase sales.
In Palm Beach, the total home sales increased by 15.2% to 9271. Single-family home sales increased by 17.1% to 5498. Condo sales also showed a rise of almost 13%. The new figure is 3773.
Miami's real estate market has fared well despite the setbacks caused by the virus and unemployment levels. Experts believe it will continue to be that way.
