MIAMI — Miami-Dade $1-million-and-up transactions surged triple digits versus pre-pandemic 2019 transactions as total pending home sales and showing appointments rose again for the second consecutive month, according to February 2023 statistics released today by the MIAMI Association of Realtors (MIAMI) and the Multiple Listing Service (MLS) system.
Miami real estate, which posted its second-most total home sales in history in 2022 despite an unprecedented doubling of mortgage rates, continues to see a surge in domestic and international wealth migration. Unlike other parts of the country, the Miami market continues to see price appreciation and sales are on par or above pre-pandemic 2019 transactions.
“Miami real estate continues to outpace national trends,” MIAMI Chairman of the Board Ines Hegedus-Garcia said. “Property prices in Miami continue to rise, albeit at a more modest rate. The region’s real estate market is unique due to the significant number of cash transactions and the high rate of migration. This normalization from the pandemic-fueled era of homebuying indicates that sellers are increasingly open to negotiating contract terms, offering greater flexibility.”
Miami-Dade Luxury Sales Jump Triple Digits Versus February 2019
Miami-Dade luxury ($1-million-and-up) transactions rose 111.5% in comparison to pre-pandemic, from 122 in February 2019 to 258 in February 2023. Comparisons to pre-pandemic are better comps as 2021 and 2022 South Florida sales surged to record highs due to pandemic-fueled homebuying, historic low 2% mortgage rates and other factors.
About 67.1% of Miami-Dade luxury buyers pay all-cash.
Homebuyers from high-tax, high-density states continue to relocate and purchase in South Florida. Florida ranked No. 1 in the U.S. in largest net gain of adjusted gross income (AGI) due to domestic migration, gaining $23.7 billion, according to most recent IRS-SOI migration data.
Miami-Dade’s out-of-state homebuyers with a mortgage earn nearly $100,000 in median household income, according to research by MIAMI REALTORS® Chief Economist Gay Cororaton.
“Current economic and lending conditions are favoring regions with strong real estate market fundamentals like South Florida,” Cororaton said.
The region remains a bargain for prime property ($1M and up) compared to other global cities according to the 2023 Knight Frank Wealth Report. For $1M, homebuyers can purchase 64 square meters of prime property in Miami. That is almost four times more than Monaco (17 square meters), nearly two times more than New York (33) and London (34) and more than Paris, Sydney, Tokyo and more.