Real estate in Miami is traditionally one of the most popular markets for overseas buyers, and prices have steadily increased for 23 consecutive months. According to the article in Propertywire, the median sales price for a Miami home in October was $220,000, compared to a price of $185,000 for the same time last year, a massive increase of 18.9%.
The prices of Miami condos have also shown double digit increases. A year ago the median sales price for a Miami condo was $145,000, but in October it reached $170,000, an increase of 17.2%. The average sales prices have also risen considerably.
In October the average Miami condo price reached $296,568 compared to a year earlier when the average price was $265,225. This is an increase of 11.8%. The average sale price of a single-family home in Miami in October reached $421,546. This is a 29.9% increase compared to a year earlier when the average price was just $324,611.
Overall sales figures did decline slightly in October compared to a year earlier, but still remained strong compared to historical averages. The number of traditional sales increased, but the number of short sales declined, something that’s probably due to the government shut down delaying numerous transactions that required tax return verifications. The shutdown also contributed to the fact that there were fewer closings that month.
In October there were 1,060 homes sold in Miami, a slight decrease compared to October a year earlier when 1,134 homes were sold. October’s figure is close to September’s, when 1,108 homes were sold. The number of condos sold in October was down slightly compared to a year earlier at 1,416, but is up by 4.7% compared to September’s figures which reached 1,352.
As the market continues to recover, the number of traditional sales is growing. Out of the 1,060 homes sold in October, some 60.5% were due to traditional sales. Short sales accounted for 18.8% of October sales, while REO sales accounted for 20.8% of sales.
Real estate experts point out that Miami has seen significant growth in the number of cash sales, and it continues to be popular with international investors. At the moment there is a 5.3 month supply of single-family homes which is an increase of 17.8% compared to a year earlier. There is a 6.6 month supply of condominiums, which is an increase of 24.5% compared to a year earlier. The average time on the market for a single-family home in October was just 40 days, up slightly from 38 days in October last year. The average sales price achieved was 96.3% of the list price, a slight increase on last year, and a clear indication that homes are being priced correctly.