The Miami real estate market is one of the most substantial, popular, and profitable real estate markets in the United States. Real estate agents moving their business into southern Florida are poised to be a part of a massive and continually growing property market, particularly over the new few decades. Miami has been a strong tourist destination and residential and commercial hub for decades. But in recent years, Miami has grown exponentially in economic vigor and international desirability.
So, why is Miami a prime place to consider buying real estate in today’s economy? Here are 9 reasons to make Miami your first choice.
The Market Is Booming
Ever since the market bust of 2008, many people have been rightfully cautious about choosing which real markets to jump into. They want to make sure that the latest available data and the best estimations of economic and real estate experts predict a safe investment. Every real estate agent wants their business to thrive, so beginning in or migrating to a winning market is naturally a major priority.
It is important to consider how a particular real estate market stacks up when compared to similar ones. In that vein, how does Miami perform?
Actually, Miami compares astonishingly well to its major competing cities, not just in the United States but around the world. Miami is a buzzing metropolitan area in a highly desired region: southern Florida. In fact, this state has the second-highest number of new residents each year (over 325,000, coming second behind Texas). According to the latest U.S. government statistics based on census data, the population of Miami-Dade County is up more than 10 percent since 2010 alone.
The Miami real estate market is full of cautious but optimistic and forward-looking investment opportunities. Developers have learned from the past and are no longer outpacing the local demand for building and construction. This means the economy is growing at a steady and sustainable pace, laying a secure financial foundation for its residents, customers, and investors for decades to come. More than half of sales are cash-only transactions, meaning real estate agents are protected from the risks of a financing bubble. Realtors in the Miami market can feel assured they are building their business in a stable economy that will abundantly reward their investment.
The Market Shows Signs of Continuing to Boom
Not only is the Miami real estate market in remarkably good economic shape, but experts predict it is only going to get better in the next few years. Because it is one of the most popular vacation, retirement, and relocation cities in the United States, this means that Miami’s population is predicted to climb to 7.5 million residents by 2040. That is an increase of 2 million people in just over 20 years, a truly staggering projection. This puts real estate agents in a prime window of opportunity to capture a steady stream of interested and invested buyers for the duration of their career.
Commercial investment in Miami real estate is increasing by the day and shows no signs of letting up anytime soon as customer demand is strong throughout the city. All of this means that whether a real estate agent is interested in commercial or residential sales transactions, Miami is a solid pick. Miami has no lack of opportunities for business investments and growth in practically any kind of property imaginable.
The Location Paves the Way for a Market in High Demand
If there’s one thing Florida is known for, it is beautiful weather throughout the year, and Miami is certainly no exception. The city experiences an average of 248 sunny days annually, which is more than 40 days over the national average. Snow is essentially nonexistent this far south, and even the so-called wintery weather tends to stay above a comfortable 60 degrees.
In addition to these attractive attributes, there are thousands of opportunities for tourism, recreation, and vacation activities in the city and the surrounding area. Miami boasts beautiful beachfronts with thousands of prime properties nearby or even on the water, as well as a climate that exquisitely suits these locations.
Considering the sheer enjoyment Miami residents and visitors get from the unbeatable weather, the unique melting pot of culture, and the unmatched scenery, it is no wonder that the city maintains an unparalleled reputation as America’s most popular and beautiful destination. Many people are even returning on a regular basis with a need for vacation properties to further enhance their time here.
Real Estate Costs Make the City More Popular Than Other Top Markets
In addition to its reputation as a beautiful place to live, Miami is also the most popular foreign residential and commercial city in the United States, dramatically outpacing its competitors both domestically and internationally. Real estate prices are consistently more affordable than in other top markets, like New York City and San Francisco. This makes Miami a premier location for individuals looking to make the United States their new home and for businesses seeking a new market in which to expand their audience. International property buyers make up more than 25 percent of the local market, and Florida itself is the top state in the country for international property sales.
Everything from the unique cultural scene to the enjoyable climate and the sustainable economic growth work in Miami’s favor, making it an unbeatable hotspot for buyers from every corner of the world. Above all, price comparisons with its major competitor cities show that it makes sense to choose Miami over other metropolitan areas, and sensible buyers are doing just that.
Tourism and Snowbirds Open Opportunities for a Strong Rental Market
In addition to the city’s impeccably strong real estate market, it also supports an impressive market for rentals. Miami is one of the most popular cities for “snowbirds,” individuals who travel annually from colder regions, such as New England, New York, and Pennsylvania, during the winter to spend their time in a relaxing, sunny climate. Each year, Florida’s population grows by roughly 5 percent with the addition of almost a million winter residents and tourists.
Additionally, the region experiences a steady flow of tourism from Central and South America throughout the entire year. On top of all this, the number of state universities means there is an abundance of students who are contributing to the local economy and looking for rental properties to boot.
Nine hundred people are flooding into the state on a daily basis — and almost half of them are finding their way to the Miami area. This paves the way for a thriving rental market because of the increasing demand for vacation properties and seasonal second homes. The demand for a wide variety of properties means that the Miami market is diverse in opportunity for Realtors, buyers, and renters alike.
There Are Lots of Opportunities for Real Estate Agents Willing to Provide Some TLC
For real estate agents who are interested in putting in a little bit of extra work, there are hundreds of opportunities to buy fixer-uppers in the Miami real estate market. Many neighborhoods have been revitalized in recent years, and their economies are now booming, with new businesses opening that create a strong pull for new residents. This means that areas that were once on the sidelines are becoming more popular and, therefore, profitable.
Some of the properties in these neighborhoods are still on the market but haven’t been revamped, which translates to lower prices for real estate agents who are willing to spend some extra time on their investments. These properties offer the chance to help change the trajectory of certain areas of Miami without huge investments, allowing Realtors to turn them for buyers streaming into southern Florida.
Lots of Properties Means Developers Are Eager to Sell and Move On
Over the past decade, developers in Miami met the local demand while they built a huge number of condos, apartment complexes, and housing developments. Now, they are looking to move on to their next projects in other markets. This means that they are very eager to sell their newly finished properties.
Therefore, real estate agents who are interested in moving into the market have the opportunity to snag impressive discounts and competitive price cuts. These amazing opportunities can set up a Realtor for a powerful entrance into a new area and leave them poised to make a sizeable profit when turning properties for potential buyers.
The Local Economy Is Growing, and Unemployment Is Down
Employment in the Miami area has been going nowhere but up in recent years, leading to an even better quality of life. This has also increased the pool of potential real estate buyers as new hires move into the area. Unemployment has been in steep decline ever since 2010 and continues to drop, with the state’s unemployment rate even beating the national average. As of July 2018, the unemployment rate in Miami-Dade County was an impressive 4.3 percent. Innumerable local, state, and federal economic initiatives are working together with massive private investment to make Miami a phenomenal place to build a real estate business.
Different Properties for Different Types of Demand
Miami is currently a hotbed for new and expanding business activity, corporate operations, and small startups. The tourism industry is a massive part of Miami’s economic foundation and continues to grow as tourists have begun to visit the area year-round (instead of merely in the winter months).
Miami’s location near Latin America, as well as the Caribbean, makes it an ideal place for international trade and an attractive spot for importers and exporters to relocate. Additionally, the Port of Miami is a major boon to the area’s economy, and the Miami International Airport is the top carrier of international freight in the United States. The city is the location of more than 60 consulates and dozens of international trade offices, helping solidify it as an irreplaceable part of the global economy.
International banking is another expanding sector of the economy. In fact, Miami has the largest collection of banks on the eastern seaboard south of New York City. The diversification of the city’s economy continues to impress businesspeople throughout the country and marks it as an ideal place to start a company.
As the above points can truly only begin to illustrate, Miami is a prime spot for any real estate agent who is looking to begin or grow their business in a thriving, dependable market. It is the kind of economy that so many real estate agents can only dream of being a part of, and the city’s need for skilled Realtors is more pressing by the day.
If you have not given Miami any serious consideration before, it would be in your best interest to think about how it could be a wonderful place for your business. And if you have thought of Miami before and given it a pass, perhaps it is time for a second look. After all, while Miami has been going strong for quite some time, few had predicted the exponential growth seen in recent years, and the future of the region is looking even brighter.
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