The sky may or may not be falling in Miami due to it’s falling real estate market.
This past year, the total number of homes sold in Miami saw a dip to 2,435 in May which was down a solid 10.4 percent annually.
Single family home sales were down 7.2 percent while condo sales fell a staggering 13.3 percent.
What’s causing the fall in Miami real estate
Depending on who you ask, there could be a number of factors resulting in Miami’s real estate sale decline:
- The U.S. dollar is as strong as ever thus resulting in fewer foreign buyers snapping up prime Miami real estate
- Miami’s foreclosure home sales have seen a decrease due to less inventory of these types of homes - foreclosure home sales fell 18.9 percent in May 2016
While Miami real estate may look to be going through a hump, real estate trends seem to be right on par. There has been a 6 percent increase in median sale prices year-over-year and a 2% rise in median rent per month costs.
Let’s take a closer look:
Median Miami Home Sale Price
Median Miami Price per Sq.Ft.
Median Miami Rent per Month
Miami Home Sale Prices Still on the Rise
Despite home sales on the decline, prices seem to still be going strong.
Prices for single family homes shot up to $295,000, an increase of 4.6 percent year-over-year. Condo prices are currently being listed for around $214,250, an increase of 2.9 percent.
It’s not really average homes that are feeling the impact of the slowing of sales.
Luxury homes and luxury home sellers alike are really feeling the pinch.
In certain areas in Miami, over 30 percent of listings over $1M have had to lower their listing price due to an increase in inventory.