2014, is it another real estate peak ?

Miami ranks in Top 10 list of worldwide luxury residential markets, thus drawing particular attention to the city from all around the world. Such frenzy comes from the appealing cosmopolitan lifestyle, the range of activities whether it is real estate, art, music, fashion or sports. As a true tropical paradise and one of the most sought after places in the world, Miami brand image keeps getting better. What better time to purchase a Miami property?

 Besides, real estate prices appear quite inexpensive as compared to the rest of the world: for the price of 1 flat in London, you can own 6 condos in Miami. Doesn’t it look easy to own your piece of paradise?

 Residential sales that are over $1M have skyrocketed at nearly 190 sales each month in 2014! There are many real estate sub-markets though. Indeed, most of single-family houses (61%) and of the condos (69%) sell under $300,000. However, the median price to purchase a single-family was $251,000 in 2014, compared to $162,000 in 2011. So it represents a 55% increase in 3 years! Considering the same period, the median price to buy a condominium in Miami-Dade was $98,000 in 2011 and reached $189,000 in 2014, showing an impressive 93% increase!

 Despite the fact that median prices today are higher than in the past 6 years, it was higher in 2007. Indeed, today’s median price of a condo in Miami-Dade is valued 29% less than the peak median price in July 2007. So for those buyers who were hesitant to invest at this time, you can revise your decision since prices still have room to increase.

The inventory has been within the industry optimum 6-9-month range for the past 3 years with 4.3 months for single-family homes and 7.1 months for condominiums.

The high-end residential market is continuously strengthening in 2014 thanks to job creation and increasing salaries. At the Continuum in South beach a unit just closed a few months back at the record price of $2,844/sqft

Although the market will keep on fluctuating, such figures set a bright future for Miami real estate and prove that investment in Miami is still very interesting.