Cash consumers, quick provide and international attraction are serving to Miami’s actual property market defy the slowdown being witnessed throughout the remainder of the U.S., in response to a report Tuesday from the Miami Association of Realtors.
Last month, pending dwelling gross sales skyrocketed from December in Miami-Dade County. Deals had been up 35.5% month over month, from 1,688 in December to 2,288 in January, marking the first month-over-month rise of complete pending gross sales since August 2022, the report mentioned.
“Miami is a unique market because of our high percentage of cash buyers, surging migration and soaring number of international and domestic buyers,” Ines Hegedus-Garcia, chairman of the affiliation, mentioned in the report. “Miami is shielded in a sense from interest rate hikes because of those fundamentals. While other major U.S. markets are seeing decreasing prices, the Miami market is still very strong and still appreciating.”
As of Feb. 16, the most up-to-date knowledge obtainable from finance big Freddie Mac, the charge for a 30-year fixed-rate mortgage averaged 6.32%. This time final yr, the charge stood at 3.92%, and in October, reached a excessive of seven.16%.
The median value for a single-family dwelling, in the meantime, elevated 4.8% year-over-year to $545,000 in January, the 134th consecutive month—equating to greater than 11 years—that costs have risen in Miami-Dade County, the report mentioned.
Existing rental median costs elevated 11.1% year-over-year, from $360,000 to $400,000 in January.
At the identical time, the variety of energetic listings on the market had been down 48.7% in comparison with pre-pandemic ranges.
“South Florida is still in a seller’s market,” Gay Cororaton, the affiliation’s chief economist, mentioned in the report.
“Homes are in short supply as the area continues to see stronger job growth than nationally and sustained migration, especially from retirees and relocating workers and companies,” Ms. Cororaton mentioned. “Home buyers should take into consideration that home prices are more likely to keep rising than to decline given the shortage of homes on the market and the decline in new home construction.”