Miami-Dade County single-family
home sales rose 6% year-over-year in May
2024 as South Florida real
estate continues to buck national trends because of its robust
migration, jobs market and cash buyers, according to statistics
released by the MIAMI Association
of Realtors (MIAMI) and the
MIAMI Southeast Florida Multiple
Listing Service (SEFMLS).
MIAMI, June 21,
2024 /PRNewswire-PRWeb/ -- Miami-Dade County single-family home sales
rose 6% year-over-year in May 2024 as
South Florida real estate
continues to buck national trends because of its robust migration,
jobs market and cash buyers, according to statistics released by
the MIAMI Association of Realtors
(MIAMI) and the MIAMI Southeast Florida Multiple Listing
Service (SEFMLS).
"Miami
real estate is always the exception to the rule"
"Miami real estate is always
the exception to the rule," MIAMI
Chairman of the Board Gus Fonte said. "While other U.S. markets are
seeing prices and sales decline, Miami home equity has surged two times the
national figure over the last 15 years. Massive in-migration of
households with higher incomes from the Northeast plus a high
percentage of cash buyers is shielding the market from most of the
impact of elevated mortgage rates."
Miami-Dade County homeowners
have earned nearly two times the national figure in home equity
gains in the last 15 years with $533,955 in equity compared to the U.S. average
of $287,111, according to new
MIAMI REALTORS® analysis. The home
equity gains are based on single-family homes purchased in Q1 2009
and sold in Q1 2024.
Miami Single-Family Home Sales Gains in Six of the last 7
Months
Miami single-family home sales
increased 6% year-over-year, from 1,040 to 1,102. Miami single-family home sales have posted
year-over-year gains in six of the last seven months.
Miami total home sales declined
negligibly 0.6% year-over-year in May
2024, from 2,412 to 2,397. The statistics would be much
stronger if they included South
Florida's robust developer new construction market and
volume.
Miami existing condos, which
rose in April 2024, decreased 5.6%
year-over-year in May 2024, from
1,372 to 1,295. The condo market declined due to a lack of
inventory at key price points. About 53% of new condo inventory is
at $600,000 or above.
Miami $1M & Up Total Home Sales, Mid-Market Condo
Sales Rise
Total $1M & up Miami home sales surged 9.5% year-over-year in
May 2024, from 409 to 448. The upper
end market is posting sizable sales gains because that's where most
of the new inventory is.
Miami mid-market condos, priced
between $400,000 to $600,000, increased 7.5% year-over-year in
May 2024, from 334 to 359.
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 Chief Economist: South
Florida Price Appreciation to Continue
"High mortgage rates continue to derail sales, but home prices are
still rising in over half of markets across all counties,"
MIAMI REALTORS® Chief Economist
Gay Cororaton said. "The price
appreciation reflects the rising share of million-dollar home sales
and the competition for lower priced homes. I don't foresee this
appreciation abating with mortgage rates heading towards a quarter
percent below 7% by the end of 2024 and a quarter percent below 6%
by the end 2025, boosted by the entry of frustrated buyers from the
past three years."
According to Freddie Mac, the 30-year fixed-rate mortgage 6.87%
as of June 20. That's down from 6.95%
the prior week but up from 6.67% one year ago.
Miami New Listings Nearing Pre-Pandemic Level, Giving Buyers
More Options
Miami new listings have increased
for the ninth consecutive month and are nearing pre-pandemic
levels. This has added to total inventory and is giving home buyers
more variety.
Miami total new listings
increased 14.12% year-over-year in May
2024, from 3,280 to 3,743.
Miami-Dade Inventory is Still Down 33.9% From Historical
Average
Total inventory is down 33.9% from the historical average for
Miami. The monthly historical
average for Miami-Dade existing
inventory is 20,302 and current inventory is at 13,405.
Total active listings at the end of May increased 43.7%
year-over-year, from 9,331 to 13,405.
Inventory of single-family homes increased 30.8% year-over-year
in May 2024 from 3,018 active
listings last year to 3,949 last month. Condominium inventory
increased 49.8% year-over-year from 6,313 to 9,456 listings during
the same period in 2023.
Months' supply of inventory for single-family homes is 4.4
months, which indicates a seller's market. Inventory for existing
condominiums is 8.6 months, which indicates a balanced market. A
balanced market between buyers and sellers offers between six- and
nine-months supply.
Nationally, total housing inventory registered at the end of May
was 1.28 million units, up 6.7% from April and 18.5% from one year
ago (1.08 million). Unsold inventory sits at a 3.7-month supply at
the current sales pace, up from 3.5 months in April and 3.1 months
in May 2023.
Miami Real Estate: 12+ Years of Consecutive Home Price
Appreciation
Miami-Dade County single-family
home median prices increased 6% year-over-year in May 2024, increasing from $620,000 to $650,000. Miami
single-family median prices have risen for 150 consecutive months
(12.5 years), the longest running-streak on record. Miami single-family prices have risen 242.1%
from May 2012 to May 2024, from $190,000 to $650,000.
Existing condo median prices increased 2.4% year-over-year in
May 2024, from $415,000 to $425,000. Condo median prices have stayed even or
increased in 150 of the last 156 months. Miani condo prices have
risen 183.3% from May 2012 to
May 2024, from $150,000 to $425,000.
Miami ended 2023 as the highest
appreciating U.S. housing market via CoreLogic.
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).
South Florida's Massive Wealth
Migration
With elevated levels of out-of-state migration into Southeast Florida and its strong economy that
has attracted business expansions and relocations, the share of
million-dollar homes to total sales has steadily climbed since
2019. In 2023, the share of million-dollar homes to total
single-family sales listed on the MIAMI SEFMLS rose to 17% in 2023 (6% in 2019);
for condos/townhomes, the share rose to 9% (5% in 2019).
Migration into Southeast
Florida remains strong. In 2023, 153,347 driver licenses
were exchanged for a Florida
license in the counties of Miami-Dade, Broward, Palm
Beach, and Martin, up 8.3%
from the level in 2022 (141,621). New
York, New Jersey, and
California continue to be the
market's top feeder states.
Miami Real Estate Posts $294
Million Local Economic Impact in May
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 2,397 homes in May 2024 for a local economic impact of
$294 million.
Miami total dollar volume
totaled $2.2 billion in May 2024. Single-family home dollar volume
increased 21.6% year-over-year to $1.3
billion. Condo dollar volume decreased 4.1% year-over-year
to $943 million.
Miami Distressed Sales Remain Low, Reflecting Healthy Market
Only 0.9% of all closed residential sales in Miami were distressed last month, including
REO (bank-owned properties) and short sales, lower than 1.1% in
May 2023. In 2009, distressed sales
comprised 70% of Miami sales.
Short sales and REOs accounted for 0.2% and 0.8% year-over-year,
respectively, of total Miami sales
in May 2024.
Miami's percentage of
distressed sales are lower than the national figure. Nationally,
distressed sales represented 2% of sales in May 2024, virtually unchanged from last month and
the prior year.
Miami Sales, Appreciation Outperforming Nation, State
In Florida, closed sales of
single-family homes statewide totaled 26,252 in May 2024, down 0.5% year-over-year, while
existing condo-townhouse sales totaled 10,415, down 8.6%. 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 – retreated 0.7% from April to a seasonally adjusted annual
rate of 4.11 million in May. Year-over-year, sales waned 2.8% (down
from 4.23 million in May 2023).
The statewide median sales price for single-family existing
homes was $426,581, up 1.6% 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
$330,000, up 1.5% over the year-ago
figure. 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 May was $419,300, the highest
price ever recorded and an increase of 5.8% from one year ago
($396,500). All four U.S. regions
registered price gains.
Miami Real Estate Attracting Near List Price
The median percent of original list price received for
single-family homes was 96.2% in May
2024. The median percent of original list price received for
existing condominiums was 95.2%.
The median number of days between listing and contract dates for
Miami single-family home sales was
33 days, down from 27 days last year. The median time to sale for
single-family homes was 76 days, down from 71 days last year.
The median number of days between the listing date and contract
date for condos was 46 days, up from 36 days. The median number of
days to sale for condos was 87 days, up from 77 days.
Miami Cash Sales 37.5% More than National Figure
Cash sales represented 38.5% of Miami closed sales in May 2024, compared to 40.9% in May 2023. About 28% 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 48.9% of all Miami existing condo sales and 26.2% of
single-family transactions.
To access May 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, 3054687047,
chris@miamire.com, www.MiamiRealtors.com
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SOURCE MIAMI Association of
Realtors