According to the Miami Association of Realtors and the Multiple Listing Service, the total of single-family home sales and transactions in April 2019 increased in comparison with the previous year. […]
Money makers in U.S. are fleeing their home states and looking to the Florida luxury real estate market options for a better quality of life, after the Tax Cut and […]
According to the Miami Association of Realtors and the Multiple Listing Service, the total of single-family home sales and transactions in April 2019 increased in comparison with the previous year.
Chairman of the Board Jose Maria Serrano said that the low mortgage rates and new tax laws continued powering the Miami real estate in April; “the new Tax Cuts and Jobs Act reduced certain deductions that homeowners in high-tax states could claim, which is encouraging more residents of states like New York to move to states with no state income tax like Florida.”
Increase in Average Home Sales
The total home sales in Miami increased 1.1 percent from the previous year, from 2,601 sales to 2,629 sales. The sales for single-family home rose 3.9 percent, from 1,217 sales to 1,265 sales, while the total sales for condos in Miami decreased 1.4 percent, from 1,384 sales to 1,364 sales.
Total volume in sales increased from $1.19 billion in April 2018, to $1.23 billion in April 2019; the single-family home dollar volume increased 6 percent from $633.3 million to $671 million while the condo dollar volume fell 1.3 percent from $565.4 million to $557.8 million. So far, the single-family home and condo prices have increased for seven consecutive years.
Decrease in Average Mortgage Rate
Freddie Mac reported an average 4.14 percent commitment rate for a 30-year, conventional, fixed-rate mortgage in April 2019, a decreased from 4.27 percent in March, and certainly decreased from the previous year, which averaged at 4.54 percent.
Distressed Sales
The sales of distressed properties had slightly decreased; only 6.1 percent of all residential sales in Miami on April 2019 were distressed, this accounted for 1.3 percent short sales, and 4.8 percent REO (bank-owned properties). Short sales decreased 20.9 percent while REOs increased 7.7 percent.
Inaccessibility to mortgage loans is still inhibiting the growth of the condominium market; according to the Florida Department of Business and Professional Regulation and FHA, only 12 of 9,307 condominium buildings in Miami-Dade and Broward counties are approved for Federal Housing Administration loans.
Average Days From Listing to Contract and Listing Original Price
For Miami single-family home sales, the median since it was listed until it entered into contract were 58 days, a 28.9 percent increased compared with the 45 days on the previous year. The median since the property was listed until the closing date for a single-family was 101 days, a 12.2 percent increase from 90 days.
For condos, the median since it was listed until contract was 74 days , a 63 percent decrease from 79 days last year; the median between listing date and closing date decreased 4.2 percent to 115 days.
Sales State and Nationwide Median Price
Nationwide, sales fell 0.4 percent from Mach to an annual rate of 5.19 million in April. Total of sales went down 4.4 percent in comparison with the previous year. The national average home price in April was $267,300, a 3.6 percent increase from the previous year.
According to Florida Realtors, the state of Florida’s total closed sales in April 2019 was 26,992, a 6.2 percent increase from April 2018. The state median sales price for both single-family and condo-townhouse properties increased to $259,479 (2.6 percent), from 2018, according to data from the Florida Realtors in partnership with the local Realtor boards and associations.
Miami cash buyers represent 34.8 percent of the total sales closed in April 2019, compared to 38.9 percent from last year; representing almost 20 percent of the national figure. This reflects the Miami market’s ability to attract international home buyers, who are inclined to purchase real estate properties in cash.
Single-Family and Condo Inventory
Single-family homes for properties above $600,000 increased 9.9 percent, to 6,935 active listings, in comparison with 6,309 active listing last year. New listings increased 2.4 percent to 1,909 from 1,865.
Condominium inventory for properties above $300,000 increased 1.9 percent to 16,049 active listings, in comparison with 14,744 active listings last year. New listings decreased 2.8 percent from 2,363 to 2,297.
As far as what the next months will bring, it is not our place to predict it, one point to consider is that Florida ranks as the top state for foreign buyers, with a higher concentration is South Florida. In addition, Florida real estate organizations are always working hard to facilitate the process between sellers and buyers. Contact us with any questions about our real estate closing services by phone (844) 321-6168 or by email titleinfo@titlepartnersfl.com.
Money makers in U.S. are fleeing their home states and looking to the Florida luxury real estate market options for a better quality of life, after the Tax Cut and Jobs Act passed by Congress and signed by the president on 2017, set the state and local taxes cap set to $10,000.
South Florida is sure to offer multiple benefits for the real estate industry, It is not a myth that South Florida has the most perfect weather all year round, but it also offer lifestyle options, all sort of real estate and projects offering amenities that fits every lifestyle need, and tax benefits.
The multimillion-dollar real estate market in Florida is rising; the many beautiful and well located mansions options, the no state income tax obligation, and the lower property fees, are now part of the long list of benefits that wealthy real estate buyers around U.S are adding to their list of benefits, and motivating them to move to the Sunshine State. The new South Florida real estate buyers are buying properties valued up to $30 million, for them it is some sore a bargain, if they compare with all they have to pay on state taxes and city taxes on their home states.
As well as millionaire business people from other states in U.S., Hollywood stars, and wealthy foreigners are being attracted by the fabulous lifestyle and tax benefits the State of Florida offers. On December 2018, Kanye West brought to Kim Kardashian as Christmas present, a $14M condo in the 18-story luxury beachfront tower Faena House. Also, a $50M mansion was just sold in Miami Beach on February 1, 2019.
The good news for Miami, as developer Edgardo Defortuna said is: “Miami doesn’t really depend on anyone given economy.” According to data released by Brokers, “luxury purchases are on a steady climb in South Florida. The Overall housing market in Miami is seeing the first annual rise in market-wide sales in more than five years, both on the coastal mainland and the beach.” The number of home sales increased about 11 percent to 3,518 in the fourth quarter of 2018 for Miami coastal mainland compared to 2017, according to the sales data. There is more consistency in regards the number of people moving to South Florida, looking for opportunities,
Despite the fact that traffic may be a rival, the influx of American buyers doesn’t seem to be a temporary trend, it is projected to last. We may need to figure traffic solutions, better transportation, because there is a lot of people moving into South Florida now.
Even though New York is on the top as the real estate market in the country, it is still losing ground, together with other markets around the country. This is an opportunity for the South Florida luxury real estate market to expand, as it is for the brokerages firms and realtors to look into the luxury market opportunities.
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 titleinfo@titlepartnersfl.com.
Increase in Florida Home Sales in April 2019
UncategorizedAccording to the Miami Association of Realtors and the Multiple Listing Service, the total of single-family home sales and transactions in April 2019 increased in comparison with the previous year. […]
Mansion Sales Increase in Florida Due to Weather and Taxes
UncategorizedMoney makers in U.S. are fleeing their home states and looking to the Florida luxury real estate market options for a better quality of life, after the Tax Cut and […]