Miami area housing prices are beating the state and national trend | Real Estate

How are your property values faring these days?

Homeowners across the country have lost $2.3 trillion in their property investments since June, according to a recent report from Redfin, signifying the largest June-to-December percentage decline since 2008.

But, the real estate brokerage firm had good news for the Florida housing market, which showed the largest increase in real estate value compared to other parts of the country.

The total value of homes in Miami rose 19.7% year over year ($77 billion) to $468.5 billion in December, the report indicated.

Ron Shuffield, president and CEO of Berkshire Hathaway HomeServices EWM Realty in Coral Gables, also expressed confidence in the Miami-area real estate market.

He was recently sent a copy of a story in Fortune magazine titled, “Miami to escape the home price correction in 2023,” noting that researchers in the Goldman Sachs investment firm have Miami’s metro area trending in the right direction, unlike an expected average 6.1% drop in value across the country.

“They expect our values to (increase) the highest in the country,” Shuffield said. “It’s .8%, which is small growth, but Miami is getting more recognition. … it’s so positive, a very positive piece that we should all be using when marketing (homes).

“It’s a very good sign. Some of the top economists are out there looking at us.”

Shuffield said that long-term prospects look “so strong,” and that is evidenced by the number of people (more than 1,100 a day) moving to Florida.

According to a report from Zillow, which produces the Zillow Home Value Index using data from across a wide variety of geographies and housing types, the average Florida home value is now $377,816, up 14.2% over the past year.

And,when it came to property sales last year, the Miami-Dade County market was flourishing.

According to a report from Norada Real Estate Investments titled, “Miami Real Estate Market: Prices, Trends, Forecast for 2023,” statistics released by the MIAMI Association of Realtors (MIAMI) and the Multiple Listing Service (MLS) system showed that Miami-Dade County real estate recorded its second-best total home sales year ever in 2022, while annual condo sales ranked second-best in Miami’s history.

Single-family home median prices in Miami-Dade County increased 1.1% year-over-year in December 2022, increasing from $525,000 to $530,900. Miami single-family median prices have risen for 133 consecutive months (11+ years), the longest-running streak on record.

Existing condo median prices increased 5.5% year-over-year, from $355,000 to $374,500. Condo median prices have increased in 134 of the past 139 months, the report noted.

Yet, in another report from Redfin, it noted that in January 2023, home prices in Florida were up 6.0% compared to last year, selling for a median price of $386,500.

The sales trend from December to January in the Miami-area usually is between a 5% and 20% increase in sales, Shuffield said. But, this year, sales were at a 42% increase during that period.

“It shows that somebody’s working,” he said, laughing.