The Miami real estate market boomed in December as sales of single family homes and condominiums experienced significant growth, according to the latest data from the Miami Association of Realtors.
Sales of single family homes experienced a strong growth of 9.8% year on year and condo sales also increased, up 2.2% year on year.
The data also shows that there was a significant increase in the median sales price for single family homes and condominiums in December, up 15% and 7.4% respectively.
Listings of single family homes grew 24.4% and condo listings were up 11.9% compared with December 2012.
‘The strength and vitality of the Miami real estate market is certainly encouraging and exciting,’ said Liza Mendez, chairman of the board of the Miami Association of Realtors.
‘Both international and domestic buyers want to be in Miami because of our great weather, multicultural environment, global business opportunities, and enviable lifestyle. Miami continues to mature as a world class, global metropolis, attracting worldwide attention that is boosting the local market and economy,’ she added.
It is demand that if fuelling the price growth, according to Franciso Angulo, residential president of the Miami Association of Realtors. ‘Yet, while median prices have experienced growth, they remain affordable, an indication that the Miami real estate market favours both buyers and sellers,’ he added.
The median number of days on the market for single family homes sold in December 2013 was just 41 days, a decrease of 2.4% from the previous year. In addition, the average sales price was 96.3% of the listed price, up from 94.2%, indicating the properties are being priced The median number of days on the market for condominiums sold in December was 52 days, an increase of 13% from the same period in 2012, but consistent with historical averages and the average sales price was 97% of the asking price.
In December 2013, the number of traditional sales significantly outnumbered REOs (bank owned) and short sales. Last month, traditional single family home transactions were 62% of all single family homes sold in Miami, a significant increase of six points.
Further, REO and short sales were 21% and 17%, respectively. In contrast, in December 2012, traditional single family home sales accounted for 56% of all sales and REO and short sales were 20% and 24%, respectively.
The data also reveals a fall in cash buyers. In Miami-Dade County, some 57% of total closed sales in December were all cash sales compared to 64% in December 2012, but this was still significantly higher than the national average of 32%.
All cash sales accounted for 41% of single family home and 70% of condominium closings, compared to a year ago when cash sales were 49% of single family home sales and 76% of condominium sales.
This article was republished with permission from Property Wire.