From the latest sales report of the local MLS and Miami Association of Realtors, the year-end results of 2014 broke record in median and single family home sales prices, both in median sales and single-family home sales prices. Hence, if it is said that national market was very hot in year 2014, then Miami can be said was on fire.
The whole of 2014 was exceptionally partial to single-family homes, as their sales levels got to 13,521, which was a 4.8% margin over 2013’s 12,899 sales. Condo sales were decidedly less encouraging; however, condo sales still remains the second highest in the history of Magic City, dropping by 4.3% in 2013 and settled on 16,409 sales.
In December 2014, there was an increase in single-family sales year-over-year with 9.6% rise, while condo sales dropped by 2.1%. In total, sales increased by 3% from December 2013.
Properties Selling Faster, and For More Money
In addition, the market of Miami revealed considerable rises in sales prices, and a persistently high demand.
- The single-family homes’ median sales prices rose year-over-year by 3.6% to $255,000, and that of condos rose by 9.6% to $195,000.
- Both condos and single-family homes improved in their median number of days on market in December by 9.6%, and 9.8% increase respectively.
- For the whole of 2014, the median number of day on market for condos and single-family homes were 57 days (23.9% increase), and 45 days (9.6% increase) respectively.
Foreign Buyers Helping to Keep Market On Track
Miami’s market is actually a complicated one, as the difference between lower-end and higher-end is substantial, However, if the whole 2014 revealed anything, then it is that, buyer demand has yet to be affected by the consistently increasing prices.
Christopher Zoller, residential president of MAR said, “In 2014, Miami real estate market showed high demand. The single-family homes have more sales in Miami-Dade County than in the past years, while condos sales marked the second strongest year ever in Miami-Dade, despite the challenge coming from new construction supply”.
Zoller did the right thing by mentioning the demand of this area, but some people speculated that the consistently high prices and relatively low inventory in Miami, indicate a market suitable to overvalued assets. As year 2015 approaches, the next step of Miami will be revealed by the direction home prices. However, Zoller is very certain in the ability of the market to remain healthy and growing, and he gave the reason for his certainty to be, continued interest from foreign buyers.
Zoller also said, “Miami real estate market, in addition to active domestic buyers, are continously bolster by foreign buyers. This was proved by the high cash sales percentage locally compared to other part of the country. He further said, “As Miami put more efforts to build its image as a top world city, it is expected that foreign investment in our real estate continues to propel market expansion.”