Yet Miami’s $1 million-plus luxury homes buck sales trend and rise 4%
Recent data from the Miami Association of Realtors shows that total sales in Miami-Dade County decreased by 14.8% in March 2024, from 2,513 to 2,141 units sold. Miami single-family home sales saw a 4.8% year-over-year decline from 1,093 to 1,041, while existing condo sales fell 22.5% from 1,420 in March 2023 to 1,100 in March 2024. The condo market has been particularly affected by a shortage of inventory at certain price points and higher mortgage rates.
Despite the overall slowdown, sales of homes priced above $1 million increased 4.47% year-over-year in March 2024, from 403 to 421.
Miami saw a significant increase in new listings, attributed to comparisons to the unusually low numbers recorded in late 2022 and early 2023, which were influenced by the initial shock of rising interest rates. For seven straight months, new listings have increased, approaching pre-pandemic levels, expanding total inventory and providing more options for buyers. New listings in Miami increased 8.9% year over year in March 2024, from 3,421 to 3,725.
However, total inventory remains 36.7% below Miami’s historical average, with current inventory sitting at 12,856 compared to the monthly average of 20,302. As of the end of March, active listings saw a 30.9% year-over-year increase from 9,818 to 12,856.
Single-family home inventory increased 14.2% year-over-year to 3,768, and condo inventory jumped 39.4% to 9,088 listings. The supply of single-family homes is at 4.3 months, indicating a favorable sellers’ market, while the supply of condominiums is at 8.2 months, suggesting a balanced market.
Median single-family home prices in Miami-Dade County increased 14% year-over-year in March 2024, to $650,000, marking 148 consecutive months of price increases, a record duration. Median condo prices increased 11.3%, from $400,000 to $445,000, with prices either remaining stable or increasing in 148 of the past 154 months.
Distressed sales, including REO properties and short sales, made up just 0.8% of all residential sales in Miami last month, down from 1.2% in March 2023. In 2009 , distressed sales accounted for 70% of Miami’s total sales. Of total sales in Miami in March 2024, short sales and REOs accounted for 0.1% and 0.7%, respectively.
Nationally, distressed sales accounted for 2% of total sales in March 2024. In Miami, the median percentage of initial list price received for single-family homes was 96.6% and for condos, 95.5 %.
The median number of days from announcement to contract closing for single-family homes was 31 days, an improvement from 35 days last year. The time to sell these houses has been reduced from 73 to 70 days. However, for condominiums, the median time from listing to contract increased from 37 to 43 days, and the time to sale increased from 76 to 80 days.
Cash sales accounted for 37.2% of all closed sales in Miami in March 2024, up from 40.7% the previous year. This high rate of cash transactions underscores Miami’s appeal as a preferred market for international buyers and those relocating from more expensive U.S. regions, often purchasing entirely with cash. Cash sales accounted for 49.5% of all existing condo transactions and 24.2% of single-family home sales.
