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| Miami Real Estate Facts - Ten Reasons to Live in Miami |
Miami’s beauty, incredible climate, abundant business opportunities, and proximity to Europe and the Caribbean make it very desirably situated for International business and trade.
5 Facts Foreign Buyers Love About Miami
1.Financial Security
Miami offers foreign buyers peace of mind. The city provides a safe environment and comfortable lifestyle along with the financial stability of living in the United States2.Weather
Miami’s tropical weather attracts foreign buyers to its shores year round.248 Sunny days per year.
Avg. yearly temp: 77F / 25C.
Avg. yearly rainfall: 62 inches / 157cm
3.Luxury Shopping
A cosmopolitan playground for the world’s wealthy, South Florida is increasingly synonymous with luxury in all its many manifestations: multimillion-dollar real estate, exotic cars, yachts, high-end watches, and designer apparel.4.Air Quality
Miami has higher “good air quality” days than most major cities in the U.S.5.Green Space
Miami is one of four cities in America that offers “playgrounds for adults,” and parks with Fitness Zones, encouraging everyone to spend time with their families outside in an active and green environment.Top Ten Reasons to Live in Miami
- Miami lush, tropical landscape makes it feel like we live in paradise.
- It’s only a 3 hour drive to Key West and some of the most beautiful diving in the world!
- You can wear your favorite Lilly sandals in January (we’ll miss you Lilly!).
- We’re learning to be good winners (and losers) – Go Heat! Go Dolphins!
- You can enjoy high school lacrosse games and a light bay breeze at the same time.
- Out of towners always want to visit because we always have beach weather!
- Just a quick drive to Joe’s Stone Crabs for lunch.
- Why drive when you can take the boat?
- We live in one of the most diverse communities where English is often not even the first language!
- Some of the most unique, interesting, noteworthy architecture is found here!
Miami Real Estate Market Summary:
- Median Sales Price: $315,000
- Price Per Sqft: $221
- Homes For Sale on Trulia: 6,314
- Median Rent Per Month: $2,234
- Median Household Income: $43,395
- Home Owners: 60%
- Single Residents: 29%
- Median Age: 40
- College Educated: 32%
10 Highest Appreciating Miami Neighborhoods Since 2000
Based on the last twelve months, short-term real estate investors have found good fortune in Miami. Miami appreciation rates in the latest quarter were at 1.73%, which equates to an annual appreciation rate of 7.12%. Here are the 10 most appreciating neighborhoods in Miami.
- Bayshore
- N Miami Ave / NW 36th St
- Buena Vista
- Biscayne Blvd / NE 25th St
- S Miami Ave / SW 1st St
- NW 2nd Ave / NW 24th St
- E Flagler St / NE 2nd Ave
- City Center
- SE 2nd Ave / SE 1st St
- NW 7th Ave / NW 17th St
Appreciation rates for homes in Miami have been tracking above average for the last ten years, according to NeighborhoodScout’s data. The cumulative appreciation rate over the ten years has been 22.64%, which ranks in the top 30% nationwide. This equates to an annual average Miami house appreciation rate of 2.06%. Based on the last twelve months, short-term real estate investors have found good fortune in Miami. Miami appreciation rates in the latest quarter were at 1.73%, which equates to an annual appreciation rate of 7.12%.
10 Reasons To Invest In The Miami Real Estate Market
1. The Strong International Market
In 2011, nearly a third of residents were foreign born. However, about half of those become citizens, so we can say that Miami is simply considered attractive to immigrants. However, the Miami housing market is unusual in the number of foreigners buying homes here. Russians, Brazilians, Argentines, Turks, Chinese and British buyers are buying up properties here at a far higher rate than would be expected. Some see the property purchases as a safe investment, while others intend to use the beachside condos as vacation properties. A few bought homes in Miami to flee to in case their home countries became untenable, which explains the large Venezuelan expat community in Miami.
2. The Beach
Many tourists come for the beach, and many people want to live there, as well. Miami’s beaches are made all the more attractive by the year-round subtropical weather. This helps explain why Miami-Dade’s population is growing around 2% a year while south Florida’s population overall has been stagnant. It is considered the fifth fastest growing region in the U.S.
3. The Geographic Constraints
Many of the world’s fastest appreciating real estate markets are attracting people coming for work and quality of life, but they cannot expand the housing supply to meet demand. San Francisco is surrounded by water on three sides, and they make things worse by limiting the height of buildings, so they can’t build up the way NYC has. In Colorado and Utah, a mix of federal parklands and vertical mountains limit where developers can build houses.
We’ve already mentioned that Miami is on the water. Miami has experienced a spurt in high rise construction in downtown, giving it the third highest skyline in the U.S, but other areas limit it so that high rises don’t block the view of the water. However, that hasn’t prevented the Miami real estate market from becoming the sixth densest housing market in the U.S overall.
4. The Limited Supply of New Homes
There’s an interesting factor to consider in the Florida housing market, and that’s the massive retiree population. Many older people move to Florida for the mild weather, and they’re rather immune to housing price fluctuations. Older people who already live here stay in their homes. This results in fewer turnovers in the Miami real estate market, limiting supply for would-be buyers. That explains why Tampa and Coral remain over-priced markets though jobs aren’t as plentiful there. Retirees who do leave the state periodically tend to keep their Florida home as a second residence instead of selling it. The Gulf Coast is more of a vacation spot than retirement enclave, so there’s less competition for limited housing stock.
5. Jobs, Jobs, Jobs
Many people move to Miami for work. Miami is the largest urban economy in Florida, and it has the 12th largest GDP in the U.S. The World Cities Study Group classified Miami as an alpha city based on the level of business activity, human capital and cultural activity. The unemployment rate in Miami hovers around 4% today; it is currently in line with the national average but often below it. Only Orlando has a better job market.
6. The Tourist Market
The Miami real estate market does present an opportunity to those who want to cater to tourists. The Port of Miami is known as the Cruise Capital of the World, since it is the top cruise passenger port in the world. Landlords can rent to tourists who want to stay for a week in Miami before flying home or simply want to enjoy Miami’s beaches, cultural activities and sports teams. According to the Wall Street Journal, a $350,000 property can be rented out for $2500 per month. That’s a fair ROI, and you could easily rent out a vacation condo when you aren’t using it yourself.
7. The Massive Population of Renters
Two thirds of Miami residents rent, a rental rate rivaling that of New York City. This is partially due to the number of people working in seasonal and temporary jobs in the tourism business. It is partially due to the limited housing supply relative to demand. And it is partially due to the high cost of housing, even inland, relative to local wages. This is leading many investors in the Miami real estate market to buy single family homes to be carved up into multiple units, each one rented out individually.
8. The Strong ROI for Landlords
Investing in the Miami real estate market can give you strong returns. The high demand for properties in southeastern Florida relative to demand limits the ability of people to buy, creating a large pool of renters. Miami ranked second in the nation for the most cost-burdened renters in the country, paying more than half of their income in rent. Rents aren’t as high as they are elsewhere in the country, but given the lower property values than markets like Silicon Valley or NYC, it is a good ROI. For example, the median home price is around $350,000, while the median rent is $1900 a month. A $1900 a month rent would be considered a burden for a household earning $70,000 a year, while median incomes in the area are actually $50,000.
9. The Massive Student Market
As the largest city in Florida, it would end up with multiple large universities for that reason alone. However, Miami’s international appeal and unique position has made it an education and research hub, resulting in the creation of institutions like Florida International University. There are almost forty colleges and universities within forty miles of Miami, hosting over 350,000 students. Ironically, Miami University isn’t among them – that’s in Ohio. The University of Miami, though, is located in Miami and enrolls more than 17,000 students.
10. It Is Landlord Friendly
Whether you’re renting to students, low-income workers or snowbirds, potential investors in the Miami housing market will be glad to know this is a landlord friendly market. Florida doesn’t have laws on rent control. Security deposits aren’t capped, and you can start eviction is the rent is three days late. Damage to the property requires a seven day conditional quit notice, while repeated lease violations allow for a seven day unconditional notice.
The best Miami beaches for every type of sunbather
21st–45th Street Beach
What is it? A locals’ beach that lies slightly north of the South Beach chaos.
Why go? When you need a break from the sand, you can stroll down the Miami Beach boardwalk, which runs through this strip of beach and makes for a great jogging or people-watching spot. This beach also overlaps with some of the area’s best hotels, such as the Miami Beach.
Lummus Park Beach
What is it? The Miami Beach you’ve seen in movies and TV. Expect bright colors and eye-popping sights all around.
Why go? This might not be for the person craving a laid-back beach day but it can be a blast—especially for the Spring Breaker looking to get into some fun. The LGBT beach at 12th Street is always poppin’ too.
Haulover Beach
What is it? Miles of perfect sand and surf make this a great family beach—or a perfect pick for someone looking to enjoy the actual beach, and not just be seen.
Why go? Other than the natural beauty, about 30 minutes north of Lincoln Road, Haulover has a nude beach (between the two northernmost parking lots), a gay nude beach (north of the lifeguard tower) and an always-adorable dog park/beach (between Lifeguard Towers two and three). Sounds fun, huh?
South Pointe Park Pier
What is it? A verdant spot on the very tip of Miami Beach and part of a 17-acre park with picnic areas, a playground, a fishing pier (complete with cutting and washing stations, and recycling bins for fishing lines) and great views of cruise ships.
Why go? Surrounded by the Atlantic Ocean and Government Cut channel, it makes for a wonderful respite from the urban madness. During stone crab season, you’ll find plenty of locals hoisting bags of claws and other goodies from nearby Joe’s Takeaway for a beachside picnic at the park.
Surfside
What is it? A sleepy residential enclave less than a mile, Surfside exudes a small beach town vibe. Everyone knows each other and there's a true neighborhood feeling to the town.
Why go? Every first Friday of the summer months there’s a communal beach picnic that happens on the sand near the lifeguard station on 93rd. It’s mostly residents who gather to listen to music, feast and participate in kid-friendly activities.
Sunny Isles Beach
What is it? Two miles of public beaches, souvenir shops and hotels.
Why go? Architectural kitsch and older tourists once prevailed here, but an effort to change its reputation has seen a luxury beachside condo boom. So if you’re feeling fancy, this is the beach for you.
46th–63rd Street Beach
What is it? Pleasant, not too crowded and very family-oriented, with a play area at 53rd. On the downside, the otherwise vibrant Collins Street morphs into a soulless backdrop of bland condos around here with a few big-name hotels from Miami Beach’s golden era sprinkled in-between.
Why go? Parking is easier to come by than in South Beach, and it makes for a decidedly less chaotic beach day.
Bill Baggs Cape Florida State Park
What is it? What feels like an escape from Miami—even though it’s just a short ride over the Key Biscayne bridge. And Bill Baggs Cape Florida State Park feels unlike anything you’ll find on Miami Beach.
Why go? The beach is wide and overlooked by a historic lighthouse (one of the oldest buildings in Miami). Fishing, kayaking, windsurfing and cycling are all encouraged at this active beach. Pavilions offer picnic shelter and the nearby Lighthouse Café is good for a solid lunch.
Crandon Park
What is it? Crandon Park is a classy beach with postcard views on Key Biscayne.
Why go? This beach is a favorite of families out for a beach barbecue. Parking tends to be a breeze and a winding boardwalk is great for those who get bored lying on a towel.
Fort Lauderdale Beach
What is it? Our northern neighbor’s wide and handsome sandy strip with a brick promenade for skaters, joggers and cyclists.
Why go? Postcard-perfect, it comes complete with bronzed lifeguards and coconut palms, and draws an altogether more laidback crowd than the beaches in Miami (except during Spring Break). Just looking to cruise? Fort Lauderdale Beach offers direct water views from the street—like driving down the Pacific Coast Highway without all of the cliffs.
Matheson Hammock Park Beach
What is it? A man-made atoll pool flushed by the tidal action of Biscayne Bay.
Why go? The peaceful, circular swimming area is great for those who don’t have the energy or ability to trudge through beach surf. Boaters come and go from a nearby marina.
Bal Harbour
What is it? A small beach with a Vita course, nestled inside this famously well-heeled town just north of Surfside.
Why go? There are said to be more millionaires per capita in Bal Harbour than in any other city in the U.S. Spend an afternoon seeing how the other half lives.
Delray Beach
What is it? An intimate town between Fort Lauderdale and Palm Beach with wide beaches, trolley tours and an impressive cultural scene. The coast has always attracted visitors, from Spanish explorers in the 1500s to today’s retirees and sun-seekers.
Why go? The beach is picturesque, and not too populated. You’ll have no trouble planting an umbrella and beach chair and soaking up some rays for several uninterrupted hours.
Hobie Beach
What is it? The beach of choice for practitioners of windsurfing.
Why go? Windsurf, jet-ski and sailboat rentals are all available onsite. It’s also one of Miami’s few dog-friendly beaches, so expect lots of canines splashing around in the shallow waters—which are often murky and a tad rocky, so maybe don’t come here if you want to lay out in soft sand.
Hollywood Beach
What is it? The place to take your rum-loving uncle. He’ll love this pretty beach and boardwalk, catering to an older crowd.
Why go? Sandwiched between Broward and Miami, Hollywood Beach has always been famous for its wide, walkable boardwalk. More recently, it’s known as the home of Jimmy Buffett’s humongous Margaritaville Hollywood Beach Resort. Stop by for a few rum runners after the beach or—better yet—grab the best burger in town over at the famous Le Tub Saloon.
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