Things have really been starting to change in Miami real estate (see website) over the course of the past few years. Miami is getting to be one of the most popular destinations for homebuyers from around the world, and many of those buyers love the variety and quality of homes available in the area right now. Richard Meier, renowned architect, recently bought an apartment in a building he designed. Though he’s based in New York, the apartment he bought was at the Surf Club Four Seasons in Miami. Many in NYC are following suit. Not only are they buying properties, but it seems as though they are bringing some of those NYC prices along with them.
How High Are the Prices?
Over the course of the past year and a half, there has been an overall increase in prices by about 11.5% for homes that are on the beachfront. The current average price per square foot for these condos is $1,011. Something else that has been helping the prices to go up is that the number of units for sale is down. In fact, it’s down by nearly 64%. A number of penthouses, which go for much steeper prices, are also for sale now, which makes the overall price seem higher for area units.
Some of the high-priced units are going for between $3,000 and $4,000 per square foot. While this might seem high to many who are buying in Florida, it’s actually par for the course when it comes to New York City. Given this fact, the homes in Florida actually seem like quite a value to those who have homes or who have been thinking about buying in NYC. They are buying up vacation properties, investment properties, and permanent residences quickly.
Miami Is the Place to Be
Miami and much of Florida once had the reputation for being the haven of retirees and grandparents. While it’s still a popular location for this, there’s certainly a much younger and hipper element in the area today. It’s a hot place for the art and food scenes, and there’s a thriving nightlife in downtown Miami. Many buyers see Miami as the best place to be and to buy right now, and they may be right.
Can the Market Sustain Higher Prices?
The prices are rising, but that is making many in the real estate business wonder just how good of a thing this is. They wonder if there will be a market correction in the near future. The real estate companies in the area remember well the affect the recession had on the area, and they do not want a repeat of the disaster. With the new towers on the horizon, and new properties entering the market in the coming years they wonder if these increased prices will stay or not. Many others feel there are enough safeguards in place that even if there is a slowdown in the field, it will not result in a repeat of the catastrophe from a few years ago.