Miami’s luxury market in the 1st quarter of 2015 experienced a mild slow down but overall remains very strong. The sluggishness among foreign buyers is partially due to the weak Euro. However, east coasters continue to snap up properties (insert link) as either primary residences or vacation homes. The median sale price for luxury market single-family homes and condominiums combined in Miami-Dade was $1,700,000. The median sales volume was $1,209.954,066.
Since the great recession, the luxury market has continued on a steady upward trajectory. There were 1680 new listings on the market in the 1st quarter of 2015. Sales slowed slightly between the 4th quarter of 2014, and the 1st quarter of 2015. For luxury market properties, 562 homes sold in the 4th quarter, and 490 homes sold in the 4th quarter of 2015.
In the 1st quarter, the luxury condominium market peaked in February at $1,836,910 and dipped back down in March to $1,725,000. However, overall sales volume increased significantly from $167,925,601 in January to $227,340,000 in March. Globally, these luxury condos are highly desirable properties. The inventory in Miami is unique and differentiates itself from Boston, San Francisco, Los Angeles and New York. The residences offer state-of-the-art amenities in a world-class destination, and a large number of these properties are pre-sold to domestic and foreign buyers.
Luxury single-family home sales for Miami-Dade held steady with a median price point of $1.7 million, and also experienced a significant jump in sales volume from $143,188,250 in January to $260,277,050 in March. The market for both single-family homes and condominiums is strong and attract different types of buyers.
Miami-Dade also experienced a rise in the median sale price of luxury market homes from $1,550,000 in the 4th Quarter of 2014 to $1,700,000 in the 1st quarter of 2015. It took approximately three to four months to sell a luxury market property in Miami-Dade in the first quarter of 2015. Homes sold faster in the 1st quarter of 2015 than they did in the 4th quarter of 2014. With highly desirable inventory and global appeal, luxury real estate is a sellers market.
In short, despite the international market slow down, Miami’s luxury real estate continues to be robust and globally competitive. The weak Euro will continue to impact foreign buyers for the time being. For US buyers looking for places to invest cash other than the stock market, Miami’s strong luxury market offers a great investment opportunity. For New Yorkers pursuing luxury homes and tax savings, Miami is also a very attractive option. Stable market conditions, the lifestyle and low taxes are all strong selling points. Fluctuations in the Euro will be the wild card this year impacting the market. However, alone, it is not a strong enough factor to cause a significant luxury market slow down in 2015.