If you would have to choose, where would you prefer to be during the quarantine, at a luxury condo in New York, or at a beautiful high-end single-family home with pool in the cloud-less Miami? It almost sounds like sarcasm, as the luxury house sounds like a better deal, right?
This is what most New Yorkers and Californians are thinking by moving to Miami, as the demand for luxury houses in the sunshine state has more than doubled since the Coronavirus started gaining awareness in the US at the beginning of March. Renting a house in Miami seems like the perfect deal for these challenging times. Northeastern's are coming down and spending from $5,000 up to $10,000 thousand per month in luxury home rentals, with no negotiation as it has become a landlord's market.
Last year renting a house was a non-common contract, but this year it's another story. Miami has more luxury condos than single-family homes, so when people were coming to experience the luxury Miami living last year, they would most likely rent an opulent penthouse and never thought of the option of renting a house in Coral Gables, Coconut Grove or Miami Shores. These are just a few examples of single-family home neighborhoods in Miami with larger than usual houses with 3 up to 7 bedrooms.
It seems obvious why people would prefer to rent a private house than a condo nowadays. Sharing spaces like amenities or common spaces such as the ones in luxury condos like the Portofino Tower Condo in South Beach, or the Muse Residences in Sunny Isles, is out of the question with the COVID-19 situation. Most of the pools, gyms, and common areas in condominiums have restricted access to avoid the disease spread. Don't take me wrong... the number of cases has significantly decreased in condos since all these measurements have been followed, but it has also increased the desire for private houses with individual pools and other facilities.
The high demand will overpass the supply at some point, and those interested tenants will transform into interested buyers and the single-family home market will pop. Renters, mostly families, are signing 12-month leases in residential neighborhoods close to renowned schools for their children.
However, the real boost has only been demonstrated in the high-end single-family home market. For the larger industry, stats demonstrate current tenants are not able to move out, which has limited landlords when trying to profit the high demand.