“The wealth migration to South Florida continues to impact all real estate price buckets north of $1 million,” MIAMI Chairman of the Board Gus Fonte said. “Single-family home and condo properties priced above $1 million are outperforming pre-pandemic with price appreciation that is perennially ranked No. 1 in the U.S.”
Miami-Dade Condominium Sale Prices Have Appreciated 115% in the Last 10 Years
Existing condo median prices increased 1.2% year-over-year in September 2024, from $415,000 to $420,000. Condo median prices have stayed even or increased in 153 of the last 160 months, a span that covers 13.3 years.
Miami condo prices have risen 115% from September 2014 to September 2024, from $195,000 to $420,000.
Miami-Dade County single-family home median sale prices increased 8.9% year-over-year in September 2024, increasing from $600,000 to $653,400. Miami single-family median prices have risen for 154 consecutive months (12.8 years), the longest running-streak on record.
Miami single-family prices have risen 161% from September 2014 to September 2024, from $250,000 to $653,400.
Miami Again Ranks No. 1 in the Nation in Home Price Appreciation in October 2024
Miami continues to rank No. 1 in the U.S. in home price appreciation, according to the October 2024 Core Logic Home Price Insights.
Miami’s home equity gains are nearly two times the national figure. Home equity gains on a single-family home purchased in Q1 2009 and sold in Q1 2024 are: Miami-Dade County at $533,955 versus the U.S. average at $287,111, according to MIAMI REALTORS® analysis assuming 10% downpayment
Florida’s Live Local Act, which was passed in 2023 and amended in May 2024, is encouraging developers to build more affordable housing. The Live Local Act gives developers the highest density allowed in a local area if they allocate 40% of its units for affordable housing. The state law defines an affordable unit as being at or below 120% of an area’s median income.
Despite the increase in prices, Miami remains a value in comparison to other global cities. In Miami, $1M nets you at least 60 square meters of prime property, according to the 2024 Knight Frank The Wealth Report. This is much higher than other global cities: Sydney, Australia ($1M only purchases 43 square meters), Shanghai (42), Paris (40), Los Angeles (38), New York (34), Geneva (34), London (33), Singapore (32), Hong Kong (22) and Monaco (16).
Miami Single-Family Home Transactions Rise in 3Q 2024
Miami-Dade County single-family home sales increased year-over-year in 3Q 2024, up 1.1% from 2,752 in Q3 2023 vs. 2,781 in Q3 2024.
Miami single-family home sales decreased 9.5% year-over-year, from 894 to 809. Miami-Dade single-family sales have posted gains in eight of the last 11 months.
Miami-Dade total sales decreased 14.7% year-over-year, from 1,984 to 1,692. The decline is due to lack of inventory at key price points, elevated mortgage rates; and the uncertainty of the upcoming presidential election. Miami real estate has many factors that bode future home sales. Miami has more inventory versus last year; mortgage rates are forecasted to decline after Fed cut; Miami migration leading the U.S. and Miami’s job market is outperforming the nation.
Miami $1M & Up Condo Sales Surge Above Pre-Pandemic Numbers
Miami-Dade $1M & up condo transactions increased 87% in September 2024 versus pre-pandemic September 2019, from 63 to 118 transactions.
Miami total existing condo sales decreased 19% year-over-year in September 2024, from 1,090 to 883. Condo sales, which increased 4.5% in April 2024, continues to see high demand and is heavy cash in properties $1M+.
The statistics would be much stronger if they included South Florida’s robust developer new construction market and volume. The decline is due to lack of condo financing and inventory at key price points.
The lack of Federal Housing Administration loans for a large number of existing Miami condominium buildings is preventing further market strengthening. Of the 2,374 condominium buildings in Miami-Dade, Broward and Palm Beach counties, only 23 are approved for FHA loans, according to statistics from the U.S. Department of Housing and Urban Development.
Just 0.9% of South Florida condo buildings are approved for FHA loans.
Mortgage Rates Stay Elevated Despite Fed Cut
Mortgage rates have increased since the Fed’s first rate cut in four years in September. Rates were near 6.8% this week.
“Southeast Florida’s housing market has held up amazingly well despite the most challenging macroeconomic and industry conditions the real estate sector has faced in years,” MIAMI REALTORS® Chief Economist Gay Cororaton said. “Properties typically sold faster compared to the pre-pandemic pace in the tri-county area. I expect the single-family market to pick up even more and prices to continue rising to new highs as mortgage rates generally head downward despite some short-term volatility.”
According to Freddie Mac, the 30-year fixed-rate mortgage averaged 6.44% as of October 17. That’s up from 6.32% one week ago but down from 7.63% one year ago.
Miami Condo Active Listings Are Significantly Below Historical Average & Pre-Pandemic Levels
Total inventory is still down 25.9% from the historical average for Miami. The monthly historical average for Miami-Dade existing inventory is 20,302 and current inventory is at 15,035.
Total active listings at the end of September increased 50.3% year-over-year, from 10,003 to 15,035.
Inventory of single-family homes increased 35.7% year-over-year in September 2024 from 3,318 active listings last year to 4,503 last month.
Condominium inventory increased 57.5% year-over-year from 6,685 to 10,532 listings during the same period in 2023, but the total is still below the historical and pre-pandemic average.
Months’ supply of inventory for single-family homes is 5.1 months, which indicates a seller’s market. Inventory for existing condominiums is 10.1 months, which also indicates a seller’s market. A balanced market between buyers and sellers offers between six- and nine-months supply.
Nationally, total housing inventory registered at the end of September was 1.39 million units, up 1.5% from August and 23.0% from one year ago (1.13 million). Unsold inventory sits at a 4.3-month supply at the current sales pace, up from 4.2 months in August and 3.4 months in September 2023.
Migration Bolstered South Florida’s Household Income by $10 Billion
Migration bolstered Southeast Florida’s aggregate household income by at least $10 billion in 2022, according to the latest most available Internal Revenue Service migration data after a new Miami Association of REALTORS® (MIAMI) analysis.
In Miami-Dade County, the average adjusted gross income of households who moved to the county (total adjusted gross income of movers divided by number of tax returns) was $175,600, which is 78% higher than the average income of households who left the county ($98,800) and 79% higher than the income of households who lived in the same county ($98,100).
Miami ranks No. 1 in the U.S. in luxury residential market price growth, via Knight Frank’s 2024 Wealth Report. The same publication also ranked Miami among the Emerging Wealth Hubs. Miami is also ranked the No. 4 U.S. City for Millionaire Growth Rate over the Past Decade (75% increase), according to Henley & Partners and New World Wealth 2024 report.
Miami Real Estate Posts $208 Million Local Economic Impact in September 2024
Every time a home is sold it impacts the economy: income generated from real estate industries (commissions, fees and moving expenses), expenditures related to home purchase (furniture and remodeling expenses), multiplier of housing related expenditures (income earned as a result of a home sale is re-circulated into the economy) and new construction (additional home sales induce added home production).
The total economic impact of a typical Florida home sale is $123,000, according to NAR. Miami-Dade sold 1,692 homes in September 2024 for a local economic impact of $208 million.
Miami total dollar volume totaled $1.5 billion in September 2024. Single-family home dollar volume decreased 9.45% year-over-year to $890 million. Condo dollar volume decreased 16.33% year-over-year to $672 million.
Miami Distressed Sales Remain Low, Reflecting Healthy Market
Only 1.1% of all closed residential sales in Miami were distressed last month, including REO (bank-owned properties) and short sales, lower than 1.2% in September 2023. In 2009, distressed sales comprised 70% of Miami sales.
Short sales and REOs accounted for 0.3% and 0.8% year-over-year, respectively, of total Miami sales in September 2024.
Miami’s percentage of distressed sales less than the national figure. Nationally, distressed sales represented 2% of sales in September 2024, virtually unchanged from last month and the prior year.
Miami Sales, Price Appreciation Outperforming Nation, State
In Florida, closed sales of single-family homes statewide totaled 18,721 in September 2024, down 12.3% year-over-year, while existing condo-townhouse sales totaled 6,655, down 20.7%. Closed sales may occur from 30- to 90-plus days after sales contracts are written.
Nationally, total existing-home sales completed transactions that include single-family homes, townhomes, condominiums and co-ops – receded 1.0% from August to a seasonally adjusted annual rate of 3.84 million in September. Year-over-year, sales waned 3.5% (down from 3.98 million in September 2023).
The statewide median sales price for single-family existing homes was $410,000, up 0.2% from the previous year, according to data from Florida Realtors Research Department in partnership with local Realtor boards/associations. Last month’s statewide median price for condo-townhouse units was $314,000, down 3.4% vs. last year. The median is the midpoint; half the homes sold for more, half for less.
Nationally, the median existing-home price for all housing types in in September was $404,500, up 3.0% from one year ago ($392,700). All four U.S. regions registered price increases.
Miami Real Estate Attracting Near List Price
The median percent of original list price received for single-family homes was 96% in September 2024. The median percent of original list price received for existing condominiums was 94.9%.
The median number of days between listing and contract dates for Miami single-family home sales was 32 days, up from 21 days last year. The median time to sale for single-family homes was 71 days, down from 64 days last year.
The median number of days between the listing date and contract date for condos was 51 days, up from 30 days. The median number of days to sale for condos was 93 days, up from 72 days.
Miami Cash Sales More than National Figure
Cash sales represented 32.6% of Miami closed sales in September 2024, compared to 41.2% in September 2023. About 30% of U.S. home sales are made in cash, according to the latest NAR statistics.
Cash buyers are not deterred by rising rates. The high percentage of cash buyers reflects Miami’s top position as the preeminent American real estate market for foreign buyers, who tend to purchase with all cash as well as some moving from more expensive U.S. markets who can buy more with their profits from real estate sales.
Cash sales accounted for 43% of all Miami existing condo sales and 21% of single-family transactions.
To access September 2024 Miami-Dade Statistical Reports, visit http://www.SFMarketIntel.com
Note: Statistics in this news release may vary depending on reporting dates. MIAMI reports exact statistics directly from its MLS system.
About the MIAMI Association of Realtors®
The MIAMI Association of Realtors (MIAMI) was chartered by the National Association of Realtors in 1920 and is celebrating 104 years of service to Realtors, the buying and selling public, and the communities in South Florida. Comprised of six organizations: MIAMI RESIDENTIAL, MIAMI COMMERCIAL; BROWARD–MIAMI, a division of MIAMI Realtors; JTHS-MIAMI, a division of MIAMI Realtors in the Jupiter–Tequesta–Hobe Sound area; MIAMI YPN, our Young Professionals Network Council; and the award-winning MIAMI Global Council. MIAMI REALTORS represents 60,000 total real estate professionals in all aspects of real estate sales, marketing, and brokerage. It is the largest local Realtor association in the U.S. and has official partnerships with 260 international organizations worldwide. MIAMI’s official website is http://www.MiamiRealtors.com
Media Contact
Chris Umpierre, MIAMI Association of REALTORS, 305-468-7047, [email protected], www.MiamiRealtors.com
SOURCE MIAMI Association of REALTORS
