Home Sales Continue To Rise In Miami
Home Sales in Miami Continue to Rise
The Miami real estate market is experiencing record highs. The Miami metro market broke the annual total sales record by October 2021 and continued its momentum with the best November and December in the market's history. By the end of 2021, Miami had seen 23,689 home sales, an 18.5% increase over 2020.
March 2019
The Miami Association of Realtors recently released its latest report on March home sales in Miami. The data shows that Miami home sales grew 1.6% in March compared to the same month last year. This is driven by a rise in sales of single-family homes, while condo sales were down 0.6%. This is a sign that the Miami real estate market is rebounding. The Miami real estate market is fueled by pent-up demand and low mortgage rates.
While March 2019 home sales were up 2.7% compared to the previous month, there is still a lack of inventory. There were fewer new listings of single-family homes in March, down 0.2 percent from January, and 7.1 percent less than a year ago. Miami's total housing inventory is still nearly 1.50 million units, up 2.7% from February and down 10.2% from one year ago. At the current sales pace, there is about 3.5 months of unsold inventory.
The Miami real estate market is fueled by a low mortgage rate and the influx of tax-burdened homebuyers. In March, Miami-Dade County total home sales increased 15.6%, with a significant increase in single-family homes and $1 million-plus sales. Additionally, pending sales, a good indicator of future closed sales, increased 14.6% compared to the same month last year. Mid-market home and condo sales accounted for a large portion of these increases.
The median single-family home price in Miami-Dade County rose by 9.7 percent compared to the same month last year. Despite the slowing market, prices remained relatively high. A single-family home in Miami-Dade County cost $360,000 in February, up from $220,000 in January 2019. Compared to a year ago, the median existing condominium price in the city rose by 6.6 percent.
New listings
If you're looking to purchase a new home, consider the different options available in the Miami market. The city offers a wide range of unit sizes, from lofts to four-bedroom homes. There are also many rental options, and 30% of the homes in Miami were built before the 1960s.
While the number of home sales in Miami continues to grow, the city's housing affordability remains an issue. As a result, the city is seeing a sharp increase in housing prices. Miami-Dade's median price was over $100K in April, which is a 2% increase over April 2018. That is an indicator of a strong market.
Home prices in Miami are expected to increase 16.2% in the next year, fueled by a lack of inventory. Despite this, rents are increasing quickly, and the median price of Miami homes is at an all-time high. The higher median prices are attributed to a higher percentage of luxury sales, as well as a growing number of luxury sales in the city. Moreover, rising mortgage rates are driving this trend.
According to the Miami Housing Market Report, there were four hundred and eighty-six luxury homes listed on JamesEdition. The website allows you to narrow down the search by price, number of bedrooms, bathrooms, and amenities. Each listing also includes a photo of the home, and can also tell you more about the property and amenities.
Home sales in Miami grew by nearly fifty percent from 2016 to 2021, according to the Miami Association of Realtors. The decline in the previous year was attributed to lack of inventory and rising mortgage rates.
Month-over-month comparison
According to the latest data from the Miami Association of Realtors, home sales in September dropped 25 percent. The slowdown is likely being caused by rising mortgage rates, though median prices continued to climb in the tri-county area. Closed dollar volume was $4.2 billion, down 20 percent from September last year. The data is based on sales recorded through the Multiple Listing Service.
Single-family home sales in Miami-Dade County fell by 9.7% year-over-year in July, while existing condominium sales increased by 28.8% from 563 to 2,176. The increase in Miami's existing condo market is attributed to a higher share of luxury homes on the market.
Despite the slowdown in home sales, the market is still experiencing an excellent year for real estate in Miami. The Miami market has recorded three consecutive months of record home sales. In September 2019, closings rose 19.4%, compared to August 2009. However, inventory fell by 30.9% from September to October. Overall, there were 3,681 closed residential sales in Miami during September, a slight decrease from last month and an increase of 1.9% from October 2017.
June 2021 was the best month for home sales in Miami. However, October 2021 ranked ninth in all-time monthly sales. Despite the gloomy weather and rising mortgage rates, June 2022 was the third best month for home sales in Miami history. While the months of supply remain low, Miami is experiencing a strong real estate market despite the lack of inventory.
The average income in the Miami area is now higher than twelve years ago. Consequently, many more families can afford homes, even with one adult unemployed. The greater Miami metro area is also in a better position than it was during the last financial crisis. Moreover, there are no subprime mortgage crisis worries, as there were before the coronavirus pandemic hit the city.
Price increase
The price increase in Miami home sales has slowed down in recent months. The lack of inventory in Miami is a factor in the rise of prices. This lack of inventory is also making it harder for investors to complete rehab projects. On the upside, rental properties have seen an increase in rents at twice the rate of home values in Miami. Rents should continue to increase for as long as Miami home prices stay high.
Another factor affecting the median price of Miami home sales is the high number of luxury sales in the city. The median price of homes in Miami increased by about four percent. In addition, mortgage rates have risen because of the Federal Reserve's aggressive rate increases this year and their plans for even more. The cost of a $300,000 mortgage increased from $1,265 in December to $1,800 today.
The recent increase in Miami home prices reflects the demand for houses in the city. The increase in median price is due to increased demand and limited inventory, which increased competition. While there is still a small supply of homes for sale in Miami, it has become more difficult to find the right home at a reasonable price. Furthermore, Miami has an average supply of just 18.1 weeks of homes. That means buyers have to pay significantly higher prices in order to find a house.
Although there has been an increase in Miami home sales, prices are still below the highs of the last few years. The median price for a Miami home in September was $372,500, while year-to-date sales fell by -2.9%. With the low number of homes for sale, the market is considered a buyer's market. This means that homes are staying on the market longer than they would normally. This increases the risk of a slowdown in the real estate market.
