According to new second quarter data from the Miami Association of Realtors, high demand and falling inventory have led to rising prices through Miami-Dade country.

Limited supply and strong demand are creating big upward swings in median sale prices throughout Miami-Dade County, according to the second quarter market report from the Miami Association of Realtors (MAR).

The median sale price for condos in the second quarter was $153,000, a 28 percent increase from 2011’s second quarter and an 18 percent increase from the first quarter. Single-family homes in Miami-Dade posted similarly strong numbers, rising 4 percent from last year and 6 percent from the first quarter.

Low Housing Inventory

As expected, a big part of those price increases was Miami-Dade’s big drop in housing inventory.

• Year-over-year, housing inventory is down 28 percent, and 6.1 percent from the first quarter.
• In addition, the average sales price for single-family homes and condos in Miami-Dade rose respective levels of 10 percent and 22 percent.
• Following 2011’s record-breaking sales, residential sales in Miami-Dade still increased in the second quarter, rising 2 percent year-over-year.
• From the first quarter, single-family sales increased 17 percent, and condo sales increased 18 percent.

In comments accompanying MAR’s data, Martha Pomares, MAR’s 2012 Chairman of the Board, highlighted the international appeal of Miami’s marketplace and, of course, the falling levels of inventory.

International Buyers/Investors in Miami

“Limited supply of single-family homes and condominiums is resulting in robust price appreciation, reflecting the demand that persists for Miami real estate,” Pomares said.  “Miami is a very unique real estate market, attracting both U.S. and international buyers unlike any other market in the U.S.  Such appeal will continue to support local market strengthening long into the future.”

Indeed, the international presence in Miami’s markets is something we’ve covered time and again. Though Miami’s aggressive pricing trends could scare away some international investors – after all, it’s Miami’s relative affordability that attracted many of those investors in the first place – but the international market remains strong, and there are still numerous ways to attract those buyers.