25th January 2012
*Overseas property destination beats 2005 sales record
If good news in our industry were an animal, it would be small, furry and hibernating. A little bit like a squirrel everyone assumed was dead.
Well the squirrel is alive and well in Miami. Unbelievably home sales in the city in 2011 rose to such an extent they not only beat 2010 levels, they exceeded sales at the height of the boom in 2005.
Data from the Miami Association of Realtors published this week shows that Condo and family home sales in Miami-Dade county were 24929, up 4% from 2005 (24025) and 46 percent (17068) from 2010. Condo sales, the property category sold most to holiday home buyers, led the trend with a 54% jump on 2010.
Across the whole the US, average sales volumes rose 3.6% in the year to December 2011 according to NAR figures. The rise in Florida as a whole was 4%.
Why is Miami bucking all the trends?
The short answer to why Miami is bucking national and global trends lies in its allure to the international market. According to Patricia Delinois , President of the MIAMI Association of REALTORS.
“Miami is the top area in the U.S. for international real estate buyers. These buyers from worldwide markets will continue to strengthen the Miami market long into the future”, she says.
The perfect storm of aspiration, price and convenience
Although New York and California have higher immigrant populations in percentage terms
, Florida and Miami in particular is arguably the place to own a property when it comes to bragging rights in Hispanic communities. Miami is also exceptionally well served by air from Latin America, making it convenient too.
The mortgage market is still hampering demand in the local market but international buyers are paying cash. It is the perfect storm of aspiration, convenience and price.
It’s good to be able to publish positive news for a change. Long live the squirrel.