Miami luxury real estate is in very high demand, at least according to the Miami Association of Realtors's most recent quarterly update. In the first quarter of 2018, luxury homes in Miami sold ($1M and up) rose 12.3 percent from 375 homes sold in Q1 2017 to 421 homes sold in Q1 2018. Additionally, median prices for single-family homes jumped 5.9 percent from the same time period last year. Many attribute the exhuberance in prices to the federal tax reform that was signed into law on December 22nd of last year. Florida, which has no state income tax, would be an obvious benefactor. Many people from New York- well-known for its ultra-high state and local taxes - have looked to the Sunshine State as an escape.
Prices for Miami luxury homes should continue to increase as more and more people from high-income\ taxed states make the move to South Florida. In fact, we predict that Miami luxury home sales, once those people actually realize the pinch in their wallets, will increase even more significantly next year.