Even with International travel bans, South Florida home sales to international buyers remain strong. This little pocket of paradise known as South Florida has outperformed the rest of Florida and the Nation in international home sales for 2021.
Foreign buyers purchased $5.1 Billion of residential real estate in south Florida during 2021, only down 9% from 2020 ($5.6 Billion). Statewide Florida saw a 22% volume decline, $12.3 Billion in international sales in 2021, compared to $15.1 Billion in 2020. Nationwide saw an even larger decline in volume of 27% ($54.4 Billion in 2021, and $74 Billion in 2020).
“For South Florida international home buying to remain essentially on par with the previous year despite the lockdowns and bans on international travel speaks to the incredible resilience and the allure of our market.” MIAMI Chairman of the Board, Jennifer Wollmann said. “We expect a significant increase in foreign visitors once the U.S. opens its borders to international travelers on November 8. Global buyers purchase in Miami because it is a world-class global city with better real estate prices than other similar global cities. Foreign buyers feel at home with our diversity and acceptance of all cultures.”
Florida has been the No. 1 state for foreign home buyers for the last 13 years.
According to the Florida Realtors 2021 Profile of International Residential Real Estate Activity in Florida, over half (52%) of all international home sales in Florida are in the South Florida Tricounty area (Miami-Dade, Broward, and Palm Beach Counties). Orlando Finished in second with 10%, and Tampa third at 8%. One in five homes sales happen in Florida, and one in two in Florida are in the Miami Metro Market area.
Top Countries in South Florida
The top countries for buyers purchasing residential properties in South Florida are:
1. Argentina (13% of South Florida foreign purchases)
2. Colombia (12%)
3. Venezuela (10%)
4. Mexico (7%)
5. Chile and Brazil (6% each)
6. Peru and Canada (5% each)
7. Ecuador (4%)
8. Spain and France (3%)
Top Countries in Miami-Dade
The top countries for buyers purchasing residential properties in Miami-Dade County are:
1. Colombia (15%)
2. Argentina (14%)
3. Venezuela (10%)
4. Mexico (8%)
5. Brazil and Peru (7% each)
6. Chile and Canada (4% each)
Other countries purchasing in Miami include: Ecuador, Spain, France, Bahamas, Dominican Republic, Honduras, Costa Rica, Barbados, Bolivia, Paraguay, Egypt, Israel, Iraq, Iran, Turkey, Greece, Italy, Switzerland, Spain, Portugal, United Kingdom, Sweden, Russia, China, India, South Korea, Malaysia, Vietnam, Indonesia, Japan, Cuba, Haiti, South Africa, Singapore, Jamaica, Czech Republic, and more.
Top Countries in Broward
The top countries for buyers purchasing residential properties in Broward County are:
1. Argentina (17%)
2. Colombia (15%)
3. Peru (8%)
4. Canada, Venezuela and Chile (7% each)
5. Brazil, Dominican Republic, Haiti, Mexico and Spain (3% each)
Other countries that purchased properties in Broward included: Bolivia, Ecuador, Bahamas, China, Czech Republic, India, Iran, Italy, Jamaica, Singapore, South Africa, United Kingdom and Uruguay.
Top Countries in Palm Beach
The top countries for buyers purchasing residential properties in Palm Beach County are:
1. Argentina, Brazil, Canada and Colombia (18% each)
2. Chile, Peru and Ukraine (9% each)
https://titlepartnersfl.com/wp-content/uploads/2021/12/international-buyers.jpg334500Title Partnershttps://titlepartnersfl.com/wp-content/uploads/2016/02/Title-Partners-Final-logo-small-e1454711286626.pngTitle Partners2021-12-30 15:13:512021-12-30 15:13:51Real Estate in South Florida remained strong in 2021, even amongst International Buyers despite COVID travel bans
After more than a year and a half, on November 8th, the international travel restrictions to enter the US have finally been lifted for over 30 countries. The US is now allowing fully vaccinated travelers from these countries to enter the US upon showing proof of vaccination and a negative COVID test.
What does this mean for an already hot real estate market?
With the ban lifted, lines began forming at the US and Mexico borders even before daybreak. International flights are surging their way to the US with even dueling flights from cities like London, we are definitely seeing an influx of international travelers. On Monday November 8th, we saw 5,000 more arrivals than the Monday prior at Miami International Airport alone.
Though we believe many of the international travelers are here to see families after not being able to after over 19 months, we still think many are here with the purpose of investing in real estate both in this holiday wave of visitors and future waves in the new year.
International buyers in the past have made up to 5% of total sales volume in Florida. According to a report from the Florida Realtors, most foreign buyers that purchase properties in Florida come from Canada, Argentina, Brazil, Colombia and Venezuela.The report also noted that the South Florida tri-county area gets the majority of foreign buyers (approximately 52%). It is likely many international travelers will also be interested in investing in Real Estate as well. In fact, we’ve started to hear that real estate brokers and agents have already started getting calls from foreign buyers in Canada, Latin America, Europe and other countries.
However, South Florida inventory is at an all time low currently. Palm Beach County has a little over one month of inventory, a 51% decrease from last year. Broward county has a one and a half month supply, a 40% decrease from last year. Miami-Dade County also has low inventory, only a 2.2 month supply of single family homes, a 42% decrease.
Bonnie Heatzig, executive director of luxury sales with Douglas Elliman in Boca Raton said, “An enlarged buyer pool looking to purchase when the inventory is at all-time lows will likely ignite the competitive bidding processes.”
“I’ve been trying to gear up as many off-market deals in the pipeline for when the flood comes in,” said Tony Rodriguez-Tellaheche, owner and managing broker at Prestige Realty Group.
With supply limited, options will be less. So the key question is, will foreign buyers be interested in the available real estate?
International buyers are not a “one-size fits all” type of group, instead their tastes differ. As Ignacio Diaz, co-owner of Group P6, a firm of luxury residential developers explains, some prefer luxury homes and condos, others look for properties with a “resort-like” feel, and some go for new construction.
“It’s hard to generalize, but mainly the foreign buyer tends to go towards condos because of the convenience,” said Edgardo Defortuna, President & CEO of Fortune International Group.
With record lows of homes, condos and townhomes in South Florida, the big issue facing all buyers (foreign, out of state and local) is lack of inventory. This makes the holiday season a great time for realtors to network with their friends and family to find out who in their network is looking to sell their home, as listings are “worth their weight in gold”.
https://titlepartnersfl.com/wp-content/uploads/2021/11/travel-ban-lifted.jpg334500Title Partnershttps://titlepartnersfl.com/wp-content/uploads/2016/02/Title-Partners-Final-logo-small-e1454711286626.pngTitle Partners2021-11-24 12:35:232021-11-24 12:35:23With International Travel Ban Lifted, How Will it Affect South Florida Real Estate?
Miami-Dade County home sales continue to break records. September 2021 has been our best September sales month ever! In addition to that, the close of September has registered 2021 as the best annual total Miami condo transactions, with three months of 2021 remaining to include.
This leaves many realtors, buyers, and sellers asking us questions like: “How come the South Florida Market keeps getting stronger?” and, “How long will this buying frenzy last?” To answer these questions, we need to look at what is going on in the market right now.
Miami and South Florida have always been a desirable location to move. We have great weather year round, and the price per square foot is significantly lower compared to our Global Competitors such as: New York, London, Geneva, Hong Kong and Monaco.
Though there are a slew of reasons for the South Florida and Miami-Dade real estate market boom, almost all of them can be attributed to a post-COVID world. Increased acceptance of Remote Based Employees allows people to get top paying jobs in states Like New York and California, while working from anywhere they like. Unlike many other states Florida opened as quickly as possible after lockdowns.
For those who are not at high risk and want the freedom to move around, it makes the sunny beaches and year round warm weather even more appealing for a remote work location to live. Especially when they do not have to sacrifice their income to live here.
As long as prime rates stay down and rent prices keep going up, buying a new home for South Florida locals is a smart investment.
Every week more companies are either moving their headquarters or opening a regional office here in South Florida. This is likely due to Miami’s proximity with Latin America as well as filling the demands of the increasing population here in South Florida. With more companies moving here, it creates more jobs which brings even more people moving here for work opportunities.
Foreign Buyers have been known to fuel buying frenzies in years past, especially in the Condo sector. However due to travel restrictions foreign buyers have been minimal since COVID lockdowns began. With travel restrictions loosening for International Travelers in November of this year, we are likely to see an increased participation of foreign buyers in our booming real estate market
One of the only things keeping this current market from exploding even more is lack of inventory. Although the lack of inventory does help to drive the prices higher as current buyers have to compete over the available inventory, many times leading to bidding wars and sellers receiving much over asking than expected.
End of the year leading into the holiday season it is typical to see reduced inventory, with more inventory becoming available again at the beginning of next year. Experts predict that 2022 will follow the same trend as potential home sellers become more comfortable listing and showing their homes. Plus the number of homeowners in mortgage forbearance will drop and likely bring more inventory to the market as well.
With all these factors in play, South Florida remains as one of the most desirable places to move globally, and we are likely to see this trend continuing for some time at least well into 2022 if not longer.
We, at Title Partners of Florida, write and support the real estate transaction closing, including the issuance of title insurance policies through Attorneys’ Title Insurance Fund. We also coordinate searches, title products, and a variety of other services for our clients. Contact us with any questions about our real estate closing services by phone (844) 321-6168 or by email at titleinfo@titlepartnersfl.com.
https://titlepartnersfl.com/wp-content/uploads/2021/11/wallet-on-fire-scaled.jpeg17072560Title Partnershttps://titlepartnersfl.com/wp-content/uploads/2016/02/Title-Partners-Final-logo-small-e1454711286626.pngTitle Partners2021-11-09 12:33:252021-11-09 12:33:25Miami Real Estate Market is On Fire, But Will it Burn Out?!?
According to Craig Studnicky, principal of Miami-based brokerage ISG World, the condo market has been pretty stable for the past two to three years. Even with many people relocating to south Florida, condo prices per square foot have remained the same.
Though the average sales price rose, according to Studnicky, that was mostly due to the fact buyers were buying larger units than seasons before.
However, Studnicky says the trends are looking to a stronger market for sellers by the end of 2021.
Dwindling Inventory
Of the 19,465 Condos that were either recently built or under construction in eastern Miami-Dade and Broward county, only 881 units (4.5%) remain unsold in the market, according to ISG World. Compared to December 2020 (1,324 units unsold), the first half of the year has already depleted the available inventory by one third.
According to Studnicky, based on market trends, local condo inventory will continue to dwindle.
Still Under Construction Almost Sold Out
New condos are mostly getting bought up before construction is even complete.
The Elysee in Edgewater, the Estates at Acqualina, the Monaco Yacht Club & Residences in Miami Beach and many other condo buildings under construction are over 90% pre-sold.
Interestingly enough, the recent uptick in condo sales was not international buyers, but rather mostly led by domestic buyers. This was likely caused by Covid-19 travel restrictions and the strength of the US Dollar, which reduced the amount of Latin American buyers compared to past years.
Champlain South Tower in Surfside in June.
The collapse of the Champlain South Tower in Surfside was a tragic event for all the families and friends of the victims as well as our community as a whole. This has led buyers to steer away from purchasing condos in older buildings. Though inventory was already low, of the 12,382 units available in the tri-county area during the second quarter, almost half of them were built on or before 1990. Currently local governments are forcing building owners to do the maintenance and restoration work. Nonetheless, buyers are leaning towards newer units. Which means only half the available inventory is being considered by a majority of buyers.
We, at Title Partners of Florida, write and support the real estate transaction closing, including the issuance of title insurance policies through Attorneys’ Title Insurance Fund. We also coordinate searches, title products, and a variety of other services for our clients. Contact us with any questions about our real estate closing services by phone at (844) 321-6168 or by email at titleinfo@titlepartnersfl.com.
https://titlepartnersfl.com/wp-content/uploads/2022/02/open-house-sign-house-for-sale-BBR4XQ8-scaled.jpeg19202560Title Partnershttps://titlepartnersfl.com/wp-content/uploads/2016/02/Title-Partners-Final-logo-small-e1454711286626.pngTitle Partners2021-08-10 13:40:392022-02-14 13:46:14South Florida Condo Market Post Surfside Collapse: What should you expect?
Buying a single Family home in South Florida just got more expensive. Latin American Buyers and big Tech Firms could be the reason why.
According to the latest Sales Report provided by the Miami Realtors Association, the Miami-Dade County experienced a 5% increase in the median home sales price in the month of April – $515K from $491,250 in March.
The same report reveals an 18% increase for single-family homes in Broward County, reporting a median sales price of $464K, compared to $383K in March.
Ever since mid-2020 the continued migration of Northeast and West Coast buyers has translated into a steady rise of home prices in Miami-Dade. In May 2020, the median home sales price was $375,714 for a single-family home, almost $140K lower than it’s current rate.
This phenomenon has been fueled (in great part) by the relocation of big Finance and Tech Firms to Miami and its surrounding areas. The expansion of firms such as Blackstone and Thoma Bravo has brought with them a great number of their employees to the Sunshine state.
Florida has also seen a surge of Latin American buyers in recent months. As a means to protect their capital, affluent Central American investors have set their eyes on Florida’s real estate. They view investing in South Florida properties as a way to park their money at a time where their countries are struggling to recover from the impact caused by the Coronavirus.
Year-over-year, the total number sales in Miami-Dade rose by over 150%, from 1,576 in April 2020 to 3,960 in April 2021. The median home sales price rose 35% YoY, from $382K in April 2020 to $515L in April 2021. And the median sales prices for condos increase 23% YoY – $325K in April 2021 from $265,500 in April 2020.
The market in Broward county also experienced exponential growth. Total sales climbed 103.9%, from 1,965 in April 2020 to 4,006 in April 2021. Sales for single-family homes and condos surged by 80.9% and 126.9% respectively.
We, at Title Partners of Florida, write and support the real estate transaction closing, including the issuance of title insurance policies through Attorneys’ Title Insurance Fund. We also coordinate searches, title products, and a variety of other services for our clients. Contact us with any questions about our real estate closing services by phone at (844) 321-6168 or by email at titleinfo@titlepartnersfl.com.
https://titlepartnersfl.com/wp-content/uploads/2022/02/home-price-increase.jpeg333500Title Partnershttps://titlepartnersfl.com/wp-content/uploads/2016/02/Title-Partners-Final-logo-small-e1454711286626.pngTitle Partners2021-05-14 13:49:562022-02-14 13:51:08Big Tech Firms and Latin American Buyers Fueling Miami’s Real Estate Price Increase?
Despite the COVID-19 breakout, Real Estate sales have seen a noticeable increase throughout 2020, compared to 2019. A continuously growing number of people are in the hunt for properties, especially among the younger generations. This is remarkably true in the state of Florida, which has seen record-breaking numbers in the final quarter of the year. However, while Florida sales are staying strong, real estate sales nationwide appear to be slipping.
The National Association of Realtors stated that pending home sales fell in October 2020, in their recent Pending Home Sales Index. This index forecasts home sales using the number of contract signings as a basis. The report showcased that contract signings fell 1.1% (to 128.9) in October, which would be the second continuous month that reported a decline in the index.
Sharing his insight, Lawrence Yun, chief economist for The National Association of Realtors said, “Pending home transactions saw a small drop off from the prior month but still easily outperformed last year’s numbers for October. The housing market is still hot, but we may be starting to see rising home prices hurting affordability.”
Yun also mentioned that the inventory of homes for sale, along with mortgage rates are at all-time lows.
“The combination of these factors – scarce housing and low rates – plus very strong demand has pushed home prices to levels that are making it difficult to save for a down payment, particularly among first-time buyers, who don’t have the luxury of using housing equity from a sale to use as a down payment,” said Yun. “Work-from-home flexibility has also increased the demand for both primary and secondary homes.”
However, while nationwide real estate sales are beginning to slip, Florida reports a non-stopping growth in residential real estate sales. Ever since August, Florida-based realtors have observed an outstanding increase of signed contracts, especially in South Florida.
The increase in sales is most remarkable in Broward County, where the number of newly signed contracts for condos rose 85.9% in October 2020 compared to October 2019. This report was based on the number of contracts on condos and houses listed on the Multiple Listing Service.
People from different states within the US represent a great number of recent Florida homebuyers, mainly coming from Boston, California, and New York. International buyers are also in search of properties, most coming from Canada and Mexico.
A few factors contributing to this recent surge in home sales in Florida are:
Work From Home Capabilities: With more companies and jobs enabling their workers to work from home due to the Coronavirus, people are able to move to Florida while keeping their salaries from their respective states. And since California and New York salaries, for example, are usually greater than Florida salaries, moving to the Sunshine State becomes an interesting option to consider for many people.
Desirable Location: Warm weather and beaches make Florida attractive for potential homebuyers
No State Income Taxes: Florida is one of the 7 states in the US that does not impose an income tax, making it a major advantage for many – especially to those in high-income households.
Real Estate sales seem to be reaching a peak nationwide. In great part due to the increase in housing prices, as a consequence of low housing inventory. However, Florida sales continue to skyrocket and show no sign of slowing down.
We, at Title Partners of Florida, write and support the real estate transaction closing, including the issuance of title insurance policies through Attorneys’ Title Insurance Fund. We also coordinate searches, title products, and a variety of other services for our clients. Contact us with any questions about our real estate closing services by phone at (844) 321-6168 or by email at titleinfo@titlepartnersfl.com.
https://titlepartnersfl.com/wp-content/uploads/2022/02/640px-Miamimetroarea-495x377-1.jpeg377495Title Partnershttps://titlepartnersfl.com/wp-content/uploads/2016/02/Title-Partners-Final-logo-small-e1454711286626.pngTitle Partners2021-01-14 13:52:362022-02-14 13:53:50While Real Estate Sales are slipping nationwide, South Florida stays strong
Real Estate in South Florida remained strong in 2021, even amongst International Buyers despite COVID travel bans
UncategorizedEven with International travel bans, South Florida home sales to international buyers remain strong. This little pocket of paradise known as South Florida has outperformed the rest of Florida and the Nation in international home sales for 2021.
Foreign buyers purchased $5.1 Billion of residential real estate in south Florida during 2021, only down 9% from 2020 ($5.6 Billion). Statewide Florida saw a 22% volume decline, $12.3 Billion in international sales in 2021, compared to $15.1 Billion in 2020. Nationwide saw an even larger decline in volume of 27% ($54.4 Billion in 2021, and $74 Billion in 2020).
“For South Florida international home buying to remain essentially on par with the previous year despite the lockdowns and bans on international travel speaks to the incredible resilience and the allure of our market.” MIAMI Chairman of the Board, Jennifer Wollmann said. “We expect a significant increase in foreign visitors once the U.S. opens its borders to international travelers on November 8. Global buyers purchase in Miami because it is a world-class global city with better real estate prices than other similar global cities. Foreign buyers feel at home with our diversity and acceptance of all cultures.”
Florida has been the No. 1 state for foreign home buyers for the last 13 years.
According to the Florida Realtors 2021 Profile of International Residential Real Estate Activity in Florida, over half (52%) of all international home sales in Florida are in the South Florida Tricounty area (Miami-Dade, Broward, and Palm Beach Counties). Orlando Finished in second with 10%, and Tampa third at 8%. One in five homes sales happen in Florida, and one in two in Florida are in the Miami Metro Market area.
Top Countries in South Florida
The top countries for buyers purchasing residential properties in South Florida are:
1. Argentina (13% of South Florida foreign purchases)
2. Colombia (12%)
3. Venezuela (10%)
4. Mexico (7%)
5. Chile and Brazil (6% each)
6. Peru and Canada (5% each)
7. Ecuador (4%)
8. Spain and France (3%)
Top Countries in Miami-Dade
The top countries for buyers purchasing residential properties in Miami-Dade County are:
1. Colombia (15%)
2. Argentina (14%)
3. Venezuela (10%)
4. Mexico (8%)
5. Brazil and Peru (7% each)
6. Chile and Canada (4% each)
Other countries purchasing in Miami include: Ecuador, Spain, France, Bahamas, Dominican Republic, Honduras, Costa Rica, Barbados, Bolivia, Paraguay, Egypt, Israel, Iraq, Iran, Turkey, Greece, Italy, Switzerland, Spain, Portugal, United Kingdom, Sweden, Russia, China, India, South Korea, Malaysia, Vietnam, Indonesia, Japan, Cuba, Haiti, South Africa, Singapore, Jamaica, Czech Republic, and more.
Top Countries in Broward
The top countries for buyers purchasing residential properties in Broward County are:
1. Argentina (17%)
2. Colombia (15%)
3. Peru (8%)
4. Canada, Venezuela and Chile (7% each)
5. Brazil, Dominican Republic, Haiti, Mexico and Spain (3% each)
Other countries that purchased properties in Broward included: Bolivia, Ecuador, Bahamas, China, Czech Republic, India, Iran, Italy, Jamaica, Singapore, South Africa, United Kingdom and Uruguay.
Top Countries in Palm Beach
The top countries for buyers purchasing residential properties in Palm Beach County are:
1. Argentina, Brazil, Canada and Colombia (18% each)
2. Chile, Peru and Ukraine (9% each)
With International Travel Ban Lifted, How Will it Affect South Florida Real Estate?
UncategorizedAfter more than a year and a half, on November 8th, the international travel restrictions to enter the US have finally been lifted for over 30 countries. The US is now allowing fully vaccinated travelers from these countries to enter the US upon showing proof of vaccination and a negative COVID test.
What does this mean for an already hot real estate market?
With the ban lifted, lines began forming at the US and Mexico borders even before daybreak. International flights are surging their way to the US with even dueling flights from cities like London, we are definitely seeing an influx of international travelers. On Monday November 8th, we saw 5,000 more arrivals than the Monday prior at Miami International Airport alone.
Though we believe many of the international travelers are here to see families after not being able to after over 19 months, we still think many are here with the purpose of investing in real estate both in this holiday wave of visitors and future waves in the new year.
International buyers in the past have made up to 5% of total sales volume in Florida. According to a report from the Florida Realtors, most foreign buyers that purchase properties in Florida come from Canada, Argentina, Brazil, Colombia and Venezuela.The report also noted that the South Florida tri-county area gets the majority of foreign buyers (approximately 52%). It is likely many international travelers will also be interested in investing in Real Estate as well. In fact, we’ve started to hear that real estate brokers and agents have already started getting calls from foreign buyers in Canada, Latin America, Europe and other countries.
However, South Florida inventory is at an all time low currently. Palm Beach County has a little over one month of inventory, a 51% decrease from last year. Broward county has a one and a half month supply, a 40% decrease from last year. Miami-Dade County also has low inventory, only a 2.2 month supply of single family homes, a 42% decrease.
Bonnie Heatzig, executive director of luxury sales with Douglas Elliman in Boca Raton said, “An enlarged buyer pool looking to purchase when the inventory is at all-time lows will likely ignite the competitive bidding processes.”
“I’ve been trying to gear up as many off-market deals in the pipeline for when the flood comes in,” said Tony Rodriguez-Tellaheche, owner and managing broker at Prestige Realty Group.
With supply limited, options will be less. So the key question is, will foreign buyers be interested in the available real estate?
International buyers are not a “one-size fits all” type of group, instead their tastes differ. As Ignacio Diaz, co-owner of Group P6, a firm of luxury residential developers explains, some prefer luxury homes and condos, others look for properties with a “resort-like” feel, and some go for new construction.
“It’s hard to generalize, but mainly the foreign buyer tends to go towards condos because of the convenience,” said Edgardo Defortuna, President & CEO of Fortune International Group.
With record lows of homes, condos and townhomes in South Florida, the big issue facing all buyers (foreign, out of state and local) is lack of inventory. This makes the holiday season a great time for realtors to network with their friends and family to find out who in their network is looking to sell their home, as listings are “worth their weight in gold”.
Miami Real Estate Market is On Fire, But Will it Burn Out?!?
UncategorizedMiami-Dade County home sales continue to break records. September 2021 has been our best September sales month ever! In addition to that, the close of September has registered 2021 as the best annual total Miami condo transactions, with three months of 2021 remaining to include.
This leaves many realtors, buyers, and sellers asking us questions like: “How come the South Florida Market keeps getting stronger?” and, “How long will this buying frenzy last?” To answer these questions, we need to look at what is going on in the market right now.
Miami and South Florida have always been a desirable location to move. We have great weather year round, and the price per square foot is significantly lower compared to our Global Competitors such as: New York, London, Geneva, Hong Kong and Monaco.
Though there are a slew of reasons for the South Florida and Miami-Dade real estate market boom, almost all of them can be attributed to a post-COVID world. Increased acceptance of Remote Based Employees allows people to get top paying jobs in states Like New York and California, while working from anywhere they like. Unlike many other states Florida opened as quickly as possible after lockdowns.
For those who are not at high risk and want the freedom to move around, it makes the sunny beaches and year round warm weather even more appealing for a remote work location to live. Especially when they do not have to sacrifice their income to live here.
As long as prime rates stay down and rent prices keep going up, buying a new home for South Florida locals is a smart investment.
Every week more companies are either moving their headquarters or opening a regional office here in South Florida. This is likely due to Miami’s proximity with Latin America as well as filling the demands of the increasing population here in South Florida. With more companies moving here, it creates more jobs which brings even more people moving here for work opportunities.
Foreign Buyers have been known to fuel buying frenzies in years past, especially in the Condo sector. However due to travel restrictions foreign buyers have been minimal since COVID lockdowns began. With travel restrictions loosening for International Travelers in November of this year, we are likely to see an increased participation of foreign buyers in our booming real estate market
One of the only things keeping this current market from exploding even more is lack of inventory. Although the lack of inventory does help to drive the prices higher as current buyers have to compete over the available inventory, many times leading to bidding wars and sellers receiving much over asking than expected.
End of the year leading into the holiday season it is typical to see reduced inventory, with more inventory becoming available again at the beginning of next year. Experts predict that 2022 will follow the same trend as potential home sellers become more comfortable listing and showing their homes. Plus the number of homeowners in mortgage forbearance will drop and likely bring more inventory to the market as well.
With all these factors in play, South Florida remains as one of the most desirable places to move globally, and we are likely to see this trend continuing for some time at least well into 2022 if not longer.
We, at Title Partners of Florida, write and support the real estate transaction closing, including the issuance of title insurance policies through Attorneys’ Title Insurance Fund. We also coordinate searches, title products, and a variety of other services for our clients. Contact us with any questions about our real estate closing services by phone (844) 321-6168 or by email at titleinfo@titlepartnersfl.com.
South Florida Condo Market Post Surfside Collapse: What should you expect?
UncategorizedAccording to Craig Studnicky, principal of Miami-based brokerage ISG World, the condo market has been pretty stable for the past two to three years. Even with many people relocating to south Florida, condo prices per square foot have remained the same.
Though the average sales price rose, according to Studnicky, that was mostly due to the fact buyers were buying larger units than seasons before.
However, Studnicky says the trends are looking to a stronger market for sellers by the end of 2021.
Dwindling Inventory
Of the 19,465 Condos that were either recently built or under construction in eastern Miami-Dade and Broward county, only 881 units (4.5%) remain unsold in the market, according to ISG World. Compared to December 2020 (1,324 units unsold), the first half of the year has already depleted the available inventory by one third.
According to Studnicky, based on market trends, local condo inventory will continue to dwindle.
Still Under Construction Almost Sold Out
New condos are mostly getting bought up before construction is even complete.
The Elysee in Edgewater, the Estates at Acqualina, the Monaco Yacht Club & Residences in Miami Beach and many other condo buildings under construction are over 90% pre-sold.
Interestingly enough, the recent uptick in condo sales was not international buyers, but rather mostly led by domestic buyers. This was likely caused by Covid-19 travel restrictions and the strength of the US Dollar, which reduced the amount of Latin American buyers compared to past years.
Champlain South Tower in Surfside in June.
The collapse of the Champlain South Tower in Surfside was a tragic event for all the families and friends of the victims as well as our community as a whole. This has led buyers to steer away from purchasing condos in older buildings. Though inventory was already low, of the 12,382 units available in the tri-county area during the second quarter, almost half of them were built on or before 1990. Currently local governments are forcing building owners to do the maintenance and restoration work. Nonetheless, buyers are leaning towards newer units. Which means only half the available inventory is being considered by a majority of buyers.
We, at Title Partners of Florida, write and support the real estate transaction closing, including the issuance of title insurance policies through Attorneys’ Title Insurance Fund. We also coordinate searches, title products, and a variety of other services for our clients. Contact us with any questions about our real estate closing services by phone at (844) 321-6168 or by email at titleinfo@titlepartnersfl.com.
Big Tech Firms and Latin American Buyers Fueling Miami’s Real Estate Price Increase?
UncategorizedBuying a single Family home in South Florida just got more expensive. Latin American Buyers and big Tech Firms could be the reason why.
According to the latest Sales Report provided by the Miami Realtors Association, the Miami-Dade County experienced a 5% increase in the median home sales price in the month of April – $515K from $491,250 in March.
The same report reveals an 18% increase for single-family homes in Broward County, reporting a median sales price of $464K, compared to $383K in March.
Ever since mid-2020 the continued migration of Northeast and West Coast buyers has translated into a steady rise of home prices in Miami-Dade. In May 2020, the median home sales price was $375,714 for a single-family home, almost $140K lower than it’s current rate.
This phenomenon has been fueled (in great part) by the relocation of big Finance and Tech Firms to Miami and its surrounding areas. The expansion of firms such as Blackstone and Thoma Bravo has brought with them a great number of their employees to the Sunshine state.
Florida has also seen a surge of Latin American buyers in recent months. As a means to protect their capital, affluent Central American investors have set their eyes on Florida’s real estate. They view investing in South Florida properties as a way to park their money at a time where their countries are struggling to recover from the impact caused by the Coronavirus.
Year-over-year, the total number sales in Miami-Dade rose by over 150%, from 1,576 in April 2020 to 3,960 in April 2021. The median home sales price rose 35% YoY, from $382K in April 2020 to $515L in April 2021. And the median sales prices for condos increase 23% YoY – $325K in April 2021 from $265,500 in April 2020.
The market in Broward county also experienced exponential growth. Total sales climbed 103.9%, from 1,965 in April 2020 to 4,006 in April 2021. Sales for single-family homes and condos surged by 80.9% and 126.9% respectively.
We, at Title Partners of Florida, write and support the real estate transaction closing, including the issuance of title insurance policies through Attorneys’ Title Insurance Fund. We also coordinate searches, title products, and a variety of other services for our clients. Contact us with any questions about our real estate closing services by phone at (844) 321-6168 or by email at titleinfo@titlepartnersfl.com.
While Real Estate Sales are slipping nationwide, South Florida stays strong
UncategorizedDespite the COVID-19 breakout, Real Estate sales have seen a noticeable increase throughout 2020, compared to 2019. A continuously growing number of people are in the hunt for properties, especially among the younger generations. This is remarkably true in the state of Florida, which has seen record-breaking numbers in the final quarter of the year. However, while Florida sales are staying strong, real estate sales nationwide appear to be slipping.
The National Association of Realtors stated that pending home sales fell in October 2020, in their recent Pending Home Sales Index. This index forecasts home sales using the number of contract signings as a basis. The report showcased that contract signings fell 1.1% (to 128.9) in October, which would be the second continuous month that reported a decline in the index.
Sharing his insight, Lawrence Yun, chief economist for The National Association of Realtors said, “Pending home transactions saw a small drop off from the prior month but still easily outperformed last year’s numbers for October. The housing market is still hot, but we may be starting to see rising home prices hurting affordability.”
Yun also mentioned that the inventory of homes for sale, along with mortgage rates are at all-time lows.
“The combination of these factors – scarce housing and low rates – plus very strong demand has pushed home prices to levels that are making it difficult to save for a down payment, particularly among first-time buyers, who don’t have the luxury of using housing equity from a sale to use as a down payment,” said Yun. “Work-from-home flexibility has also increased the demand for both primary and secondary homes.”
However, while nationwide real estate sales are beginning to slip, Florida reports a non-stopping growth in residential real estate sales. Ever since August, Florida-based realtors have observed an outstanding increase of signed contracts, especially in South Florida.
The increase in sales is most remarkable in Broward County, where the number of newly signed contracts for condos rose 85.9% in October 2020 compared to October 2019. This report was based on the number of contracts on condos and houses listed on the Multiple Listing Service.
People from different states within the US represent a great number of recent Florida homebuyers, mainly coming from Boston, California, and New York. International buyers are also in search of properties, most coming from Canada and Mexico.
A few factors contributing to this recent surge in home sales in Florida are:
Real Estate sales seem to be reaching a peak nationwide. In great part due to the increase in housing prices, as a consequence of low housing inventory. However, Florida sales continue to skyrocket and show no sign of slowing down.
We, at Title Partners of Florida, write and support the real estate transaction closing, including the issuance of title insurance policies through Attorneys’ Title Insurance Fund. We also coordinate searches, title products, and a variety of other services for our clients. Contact us with any questions about our real estate closing services by phone at (844) 321-6168 or by email at titleinfo@titlepartnersfl.com.