Miami’s Real Estate Market Has Grown Over 60% Over The Past Five Years
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below.
Over the past decade, Miami’s real estate market has experienced remarkable growth, positioning it as one of the fastest-growing regions in the US. From the first quarter of 2013 to the first quarter of 2023, median single-family home prices in Miami-Dade, Broward, and Palm Beach counties have nearly tripled, resulting in an average home price gain of $340,000. This surge has outpaced traditional investment returns, even beating the stock market.
A Decade of Exceptional Growth
Between 2013 Q1 and 2023 Q1, home prices across Miami-Dade, Broward and Palm Beach saw a staggering increase. In the last five years alone (2018 Q1 to 2023 Q1), median single-family home prices rose by an average of 64%, translating to an average price gain of $220,000.
Certain municipalities within the tri-county area have witnessed particularly high home price gains over the last decade. Palm Beach tops the list with an average home price increase of $6 million, followed by Miami Beach ($2.5 million), Lighthouse Point ($1.4 million), Pinecrest Village ($1.3 million) and Coral Gables ($1 million). Home prices appreciated by $400,000 in the city of Miami, slightly higher than Fort Lauderdale ($387,000) and West Palm Beach ($337,500).
Recent Market Performance
The Miami real estate market continues to display robust growth despite challenging market conditions. According to recent data, home prices in Miami have seen an impressive 8.7% increase in April 2024 compared to the same period last year, with median home prices now at $625,000. Homes are selling slightly slower, averaging 69 days on the market compared to 68 days last year, indicating a relatively stable market despite the price surge.
Sales activity, however, has slightly declined. In April 2024, 583 homes were sold, down from 634 in April 2023. This trend reflects a broader pattern of fluctuating demand, as evidenced by the 27% of Miami homebuyers searching to move out of the city between February and April 2024. Despite this, a significant 73% of buyers expressed interest in staying within the Miami metropolitan area, underscoring the city’s enduring appeal.
Robust Migration Trends
Miami remains a top destination for homebuyers from other major cities, particularly from New York, Washington, D.C. and Boston. Nationally, 3% of homebuyers considered moving to Miami from outside metropolitan areas, highlighting the city’s attractiveness on a broader scale.
As of February, new listings in Miami had increased for six consecutive months, nearing pre-pandemic levels. In fact, February 2024 saw a 25.87% year-over-year increase in new listings, providing more options for homebuyers and contributing to a more balanced market.
Miami’s real estate market is further bolstered by a significant migration of wealth into Southeast Florida. The share of million-dollar homes in total single-family sales has steadily climbed, reflecting the region’s growing attraction for affluent buyers. In 2023, Miami-Dade, Broward, Palm Beach, and Martin counties saw 153,347 driver licenses exchanged for Florida licenses, marking an 8.3% increase from 2022. This influx is primarily from states like New York, New Jersey, and California.
Future Outlook
Looking ahead, Miami’s real estate market appears poised for continued growth. Elevated levels of out-of-state migration and a strong local economy are expected to sustain demand. As Miami maintains its status as a desirable destination for both domestic and international buyers, the outlook remains optimistic for this dynamic market.
How To Profit From Miami’s Growing Real Estate Market
While Miami’s real estate market continues to show impressive growth, investing directly in properties can be challenging for many investors due to high prices, market competition, and the responsibilities of property management. However, there is a compelling alternative that allows you to capitalize on Miami’s real estate growth without the hassle of direct property ownership: the Miami Cityfund from Nada.
The Miami Cityfund is a unique investment opportunity that enables you to own fractional shares of the most sought-after homes in Miami through an innovative home equity investment product called Homeshares. By investing in the Miami Cityfund, you gain exposure to a diversified portfolio of prime real estate assets in one of the nation’s most prosperous cities.
Since July 2023, the Miami Cityfund’s assets have already appreciated by an impressive 15.1%, delivering strong returns for investors. With 16 carefully selected assets in the fund, you can tap into Miami’s vibrant culture, stunning beaches and thriving economy, all while enjoying the potential for financial gains.
One of the key advantages of the Miami Cityfund is its innovative approach to real estate investing through home equity investment agreements (HEIs). HEIs allow homeowners to access cash from their equity without the burden of added debt or monthly payments while delivering highly accelerated and downside-protected assets to investors. This groundbreaking approach makes it possible for anyone to own fractional shares of the best homes in Miami, regardless of where they live.
With a current share price of $11.51 and a minimum investment of only $500, the Miami Cityfund offers an attractive opportunity for investors seeking to diversify their portfolios and gain exposure to one of the most dynamic real estate markets in the United States.
Click here to learn more about the Miami Cityfund and start investing in the future of this iconic city today.
This article Miami’s Real Estate Market Has Grown Over 60% Over The Past Five Years – Will It Continue? originally appeared on Benzinga.com
