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 […]
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 […]
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.
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:
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.
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 […]
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 […]