The Miami residential real estate market is doing well according to a real estate organization. For single family, condos, as well as expensive houses of minimum of one million dollars, there was an increase in sales January 2018. There was an increase of 5.1% in Miami Dade. This was 1,731, January 2017 to 1,820, January 2018 - $89 million increase in sales January 2018 compared to 2017.
For investors, this seems like good news. However, it is not for those who do not own a house. Prices have increased each month for 74 months. Home ownership is out of the range of possibility because the single family residence is now an average cost of $330,000 – an increase of $20,000 in the one year period.
There is a silver lining in this – 14 months of apartment inventory. This is a sign that the real estate market for buyers is favorable.
When it comes to condos, the largest hurdle to overcome is being able to finance one. There are 9,307 buildings that house condos in Broward and Miami-Dade. There were just 12 approved for getting a loan from the FHA. This is not good. A lot more needs to be done to help the Miami resident be able to afford the cost of entering the home ownership market.
Now on to Miami commercial property.
There is a possible large project involving renovation of historic downtown Macy’s department store, and it involves the new construction of two side by side 50 to 55 story buildings.
A historic landmark of Miami, Macy’s will close this current year as part of a cut back plan that is national in scope. The plan involves renovation of the historic Macy’s building, as well as new construction of two buildings, a building on each side of Macys.
Retail stores will occupy the first few stories of all three buildings. The rest of the floors will contain a mix of a hotel, offices, and residences.