Miami area likely to keep attracting new home buyers in 2024 | Real Estate

Miami is among four Florida cities that could be poised to attract more home buyers in 2024, according to a recently released report.

Jeff Polashuk, Regional Vice President of Compass Florida, is quoted in a story by GoBankingRates that because mortgage rates “will likely” remain around 8%, it should translate to more inventory and housing options.

“Despite external pressures from the stock market and interest rates, South Florida will still be well positioned as a desirable place to live due to its favorable tax situation, job opportunities, entertainment options, global accessibility, and year-round sunny weather,” Polashuk said.

In September, there were 143,865 homes for sale in all of Florida, according to Redfin, a Seattle-based technology-powered real estate company. That was up 3.4% from the previous year. The number of newly listed homes was 41,113, a gain of 12%.

Among the four markets to keep an eye on in 2024, Polashuk said, is the Miami metro area.

Although the median home value is $557,679, according to Zillow, he said prices there should “remain steady” instead of spiking higher.

To coincide with that thought, Miami is ranked No. 9 among the top U.S. cities where most people are moving to, according to Redfin. Others on that list (topped by Sacramento, CA, and Las Vegas) are Orlando (3), Sarasota (5), Tampa (7) and Cape Coral (8).

According to The Mortgage Reports, Florida has been the most popular state to move to for the past two years.

Polashuk indicated that cities likely to experience a decline in home prices are those that were popular among remote workers during the COVID-19 pandemic.

“While many people moved out of larger metro areas to live in more suburban areas during the pandemic, the full return to the office is expected to prompt many individuals to leave and look for homes closer to their workplaces that are more conducive to their lifestyle,” he said in the report.

Last month, according to WalletHub, Miami was ranked No. 3 in the U.S. among the “most fun cities,” trailing only Las Vegas and Orlando.

The three other Florida cities Polashuk said to keep an eye on in 2024 are:

Jupiter: He expects it to see “significant growth” in the years ahead, citing the “family-friendly atmosphere, excellent schools, beautiful beaches, and various entertainment opportunities.”

Jacksonville: This large metro area came in at No. 6 on Zillow’s 2023 ranking of hottest real estate markets, two spots ahead of Miami. The median home value is an affordable $295,729, and the city has seen steady population growth in recent years, according to Polashuk.

West Palm Beach: Similarly, this area is expected to see steady home prices due to an increasing amount of infrastructure and new development that has contributed to more inventory in recent years.

For the complete report, click here.