Fourth in Value, First in Heart: Miami Housing Market on the Rise
Location, location, location. It is a truth universally acknowledged that, in the real estate game, nothing is as important as where you are and when you buy in. Whether you’re looking for a retirement home, a starter home, or an investment property, the difference between a growing market and a stagnant one might as well be the difference between life and death. If your assets aren’t appreciating, you’re losing money every step of the way. All of this is good news for residents, both current and future, of Miami, Florida. Lagging behind only the sprawling metropolises of Los Angeles, New York, and Washington, D.C., Miami is currently the fourth most valuable housing market in the United States.
With a 4.7% year over year increase in value, Miami has a current housing market value of approximately 864.2 billion. This places Miami ahead of Chicago, Seattle, Boston, and Philadelphia in value, beating most of the other cities in the top 10 by 150-200 billion. Not to mention Miami easily boasts the best climate amongst this group, and it becomes a no brainer which area is the best to buy into.
What does this mean for you? You can buy real estate in Miami with confidence. Not only is this housing market firmly entrenched as one of the most desirable locations in the country, it has shown strong consistent growth. People look at these valuations when making their decisions about real-estate investment, creating a self-fulfilling prophecy of sorts. As people flock to get a piece of this growing market, those who get in earlier can only benefit as the value of their investment rises as high as the Miami summer heat.
It is true that Miami’s value grew at a slight slower rate than other areas of the United States (the national average increase in housing prices was 6.5%), but this is a function of the absolute values of these markets. The highest increase in housing costs (among the 35 largest metropolitan areas in the country) was in Columbus, Ohio with a 15% increase year over year. This is a deceptive statistic as, in terms of overall value, a 15% increase in the value of Columbus realty is substantially smaller than a 4.7% in Miami’s market in regard to absolute dollars. It is much easier to see much higher rates of growth in areas with much lower relative values, and this comparison should really be taken with a grain of salt or twelve.
At the end of the day, if you’re looking to live or invest in a booming market with houses that will have buyers from new homeowner, retirees, and vacationers competing to drive up the prices in one of the most beautiful cities in the world, Miami is the place to be. With 2017 on the books as a boom year for Miami’s housing market, it just remains to be seen how much growth 2018 can see. Do you really want to miss a whole year of growth before you jump in? Jump in with both feet and be a part of one of the hottest real estate markets in America.