The latest data on home and condo sales from the Florida Realtors showed both categories of residential units posting strong gains in August. Single-family sales in the Miami metro area (including Fort Lauderdale and West Palm Beach) grew by 3.5 percent annually, finishing the month at 4,293 total sales. The median sale price of those detached homes also rose 3.2 percent from last year to $353,000.
Condo sales continued a months-long streak of year-over-year growth, finishing August up 9 percent on the year with 3,936 sales. The median sale price for condos also grew 6.7 percent over last year, to $192,000.
Compared to the national housing market, the Miami area and Florida in general performed better than average in August. The National Association of Realtors reported existing home sales were down 1.5 percent annually nationwide in August, while remaining unchanged from the prior month. Price appreciation also slowed slightly, rising 4.6 percent from last year to a median of $264,800. Florida’s sales growth may have been helped by an increase in listing inventory, according to Florida Realtors.
“August marked the second month in row that Florida’s housing market experienced a rise in new listings, which is a good sign for potential homebuyers,” said President Christine Hansen. “New listings for existing single-family homes rose 6.6 percent compared to a year ago and new listings for condo-townhouse properties increased 4.1 percent from last August.”
In a separate recent report focused on the Miami condo market, the Miami Downtown Development Authority posits that a change in market dynamics may be underway. Over the past few years, surging condo construction has brought thousands of new units on the market, leading to depressed resale prices in older buildings. But sales of those brand-new developments have been strong, with towers like Brickell Flatiron nearly selling out before completion.
The Miami DDA projects that these trends will combine to lead to slower rates of new construction and resale price growth in the next 24 to 36 months. At the same time, strong sales volume on existing units should continue to keep the market relatively balanced between buyers and sellers for some time.