Mid-market and luxury home transactions pushed September home sales in Miami-Dade County to new heights, according to the latest report from MIAMI Association of Realtors.
Miami single-family homes priced between $400,000 to $600,000 surged 40.9% year over year while single-family luxury ($1 million and up) transactions jumped an astonishing 76.7% from a year prior.
Single-family home sales of all price categories jumped 19.3% from a year earlier, according to the report. Existing condo sales in Miami-Dade were also up, increasing 6.3% from September 2019.
According to the MIAMI Association of Realtors, pandemic-induced migration has intensified demand for South Florida real estate.
“The pandemic continues to accelerate trends that were already apparent in the South Florida market, including affluent buyers from high-tax and high-density states purchasing in South Florida,” said MIAMI Chairman of the Board Jorge L. Guerra in a press release. “Home sales are not only increasing by double digits, but properties are going under contract significantly faster than last year, a sign of the robust demand for Miami real estate.”
Given the demand, it’s not surprising that the median number of days between listing and contract dates for Miami single-family home sales in September decreased 43.9% to just 32 days, compared to the same time last year when that number was 57.
Single-family home inventory in Miami-Dade now stands at a 3.8 months’ supply, indicating a strong seller’s market.
September also marked the 106th consecutive month of price appreciation in Miami, as strong demand coupled with limited supply continued to drive home prices up.
Miami-Dade County single-family home prices increased 15.2% year over year while existing condo prices increased 8.2% year over year.
Despite the increase in prices, the majority of Miami properties sold for close to list price in September.
The median percent of original list price received for single-family homes was 96.7%, up 1.5% from 95.3% last year. Condos also drew mostly top dollar — the median percent of original list price for existing condominiums was 94.4%.
Cash sales, which usually come from international buyers, were down from last year, accounting for 26.9% of September total closed sales, compared to 33.9% last year.
But Miami is still ahead of the rest of the country when it comes to cash buyers — the national figure is 18%. And increasingly, Miami is ahead of the rest of the country when it comes to migration.
According to the report, the Miami market was exceptionally strong prior to COVID-19, with record low delinquencies, strong demand/low supply, demand from foreign buyers and a growing demand from tax refugees from tax burdened states. As Miami’s tourist sector struggles to recover, migration from other states is expected to continue to drive its real estate market.