The Miami luxury property market is seeing a boost from tax refugees from New York and California.
‘The real estate market in the US has been experiencing a slowdown nationally; however, the demand for the Miami luxury property market has increased considerably,’ says broker for Miami Luxury Real Estate LLC, Maria Kuzina.
Miami Luxury RE LLC is a boutique real estate Miami Beach brokerage specializing in High Net Worth Individuals (HNWIs), primarily overseas property investors from Russia, the UK, Brazil, Canada and other international buyers, but now sees interest in luxury condos and homes in Miami growing from New York and California buyers.
Based on recent data obtained from the Miami Association of Realtors, the revenue generated from the sale of houses and condos in Miami has increased significantly.
This is also evident from recent statistics that highlight an increase in the sale of townhouses and condos by 3.5 per cent, along with an increase in the sale of detached homes by 10.2 per cent. Additionally, the figures for the real estate market indicate sales of 1,441 for condo-townhouses, while the recorded number of single-family homes was assessed to be 1,355.
High-earning professionals over the past few years have been observed to acquire Miami luxury homes. Due to the implementation of stringent tax reforms, buyers from New York and California are flocking to Miami as tax refugees.
Consequently, the Miami luxury property market is increasing in value and is observed to be stable, while the prices in New York and California are declining as buyers are more attracted to areas offering lower prices, lower taxes, extra amenities and more space.
As compared to the preceding year, the inventory levels of real estate in Miami have increased significantly, which can be seen by an amplification in the supply of 8.7 per cent for single-family homes and 2.5 per cent for condos.
Even though the overall sale of luxury homes experienced an upward trend, the existing condo glut was not filled up by the influx of refugees. There are numerous indications reflecting a further increase in the market of single-family homes due to the growing preference among buyers from New York and California to acquire large houses in Miami. Thus, the luxury market in Miami offers high value and is expected to remain stable in the coming years.