Miami Condo Market’s Quick Rebound is Surprise to Many

by Isaac Benmergui, Esq on February 11, 2013

Hand shake hi resSince 2011, Miami has been experiencing a real estate market rebound much to the surprise of many realtors and residents. After homes values plummeted in the real estate slump, and the thousands of condos that had been built from 2003 to 2007 remained unsold, foreign investors started buying up the leftover inventory.

Investors intended to rent or resell them in bulk lots at huge discounts. The local residents began to take notice and wonder if perhaps they were missing out on something. As inventory fell, property values shot up, and Miami’s real estate recovery was underway.

As the economy began to regain its strength, market analysts, investors, and developers anticipated a rebound in real estate, but no one expected Miami real estate to gain so much. Population growth in the Miami area also contributed to a healthier market, along with inventory decrease, and foreign investment in the luxury condo market at bargain prices.

The condo market in Miami has shown the fastest rebound with prices in September 2011, the average condo price increased by 17 percent with the number of sales increasing by 58 percent. Sales of single family homes also picked up by 46 percent. In February 2012, the average increase in a downtown Miami condo was 9.1 percent. In the second quarter 2012, 49000 condo units were built at year’s end only 3400 units remained available.

Developers believe the condo boom in Miami is just at the beginning stages.

Getting Legal Help

The law offices of Isaac Benmergui can help you with your legal real estate needs; call 780-800-2510 or email Isaac@benmerguilaw.com for more information or to set up an appointment today.

 

 

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