Miami home market was booming in the third quarter as both sales and median prices saw significant gains, according to the Miami Association of Realtors latest report. However, the association notes that third quarter sales from last year include some stalled sales due to Hurricane Irma.
Total sales in Miami rose 15.2 percent in the third quarter with 6,792 total sales — condo sales and single-family home sales rose 16.7 percent and 13.7 percent, respectively.
The median sale price for a single-family home grew 8.5 percent from $331,750 last year to $360,000 this year, while the median price for existing condos rose 3.3 percent from $227,500 to $235,000. This is the 27th consecutive quarter where median prices have increased.
“The statistics are being compared to a quarter that saw many South Florida home sales stalled, but a long view analysis of Miami real estate shows a market thriving with high demand and low supply,” said MIAMI Chairman of the Board George C. Jalil.
Hot markets push inventory demands
Active listings in Miami currently sit at a 6.2-months supply of inventory for single-family homes and 13.6-months supply for condos. The number of active listings rose 5.7 percent to 22,087, while total inventory for single-family homes grew 9.8 percent and existing condo inventory increased 4.1 percent.
However, certain neighborhoods are in such high demand that they are dropping below a 2-month supply. The top neighborhoods for single-family homes in the third quarter were:
- Richmond Heights, 1.7 months supply
- Westview, 2.4 months supply
- Palmetto Estates, 2.7 months supply
- El Portal, 2.8 months supply
- Palm Springs North, 3.0 months supply
The hottest condo markets were:
- Richmond West, 1.9 months supply
- Three Lakes, 2.2 months supply
- Tamiami, 2.2 months supply
- Naranja, 2.5 months supply
- Miami Lakes and Kendale Lakes, 2.7 months supply
Luxury homes in particular experienced a major surge, with 343 homes sold in Q3 2017 to 439 in Q3 2018, a 27.9 percent jump. Mid-priced condos, priced from $150,000 to $400,000, saw a 27.8 percent growth compared to last year.
“Miami single-family home sales are on pace to better last year’s total home sales numbers, and Miami condos have posted positive gains in three of the last four quarters,” Jalil continued.