Is Miami heading towards another Real Estate Bubble?



Over 100 of the most influential real estate players in Miami anonymously and honestly answered some of the most important questions on today’s local real estate market.

As opposed to what some people think, the majority of them answered NO when asked if Miami was heading towards another so called bubble. In fact, most of them think Miami still has undervalued areas where investors can find great options to buy.

It is not a secret Miami’s home prices have increased up to 40% since 2012, which has caused the local median income family to be priced out of some areas again; but with less strict guidelines, and a reduction on the mortgage insurance for FHA financing, local buyers can still opt for a purchase, and end up with a lower monthly mortgage payment compared to a rental for the same type of property, reason why they advise those who are trying to decide between renting or buying to pre-qualify for a mortgage and make an educated decision on the matter .

In regard to who is driving the Miami market, buyers in Miami are still primarily foreign due to the political and economic instability in some Latin American Countries, and prices per square foot that are considerably lower compared to other major cities around the Globe like London, New York, Paris or Tokyo for example.

Although a good school system is still a priority for most families, nowadays buyers are looking for walkability, they demand to have fast access to restaurants and shops, and developers are listening, with most of new communities focusing on mixed projects to meet these needs.

If you are wondering whether to Buy or Rent, what financing option is better for you, or what the process is to start on either route call me, I can answer these, and any other question you might have regarding your Real Estate Needs.

For a detailed explanation on the results of the poll read the article below by the Miami Herald:

Maria T. Villalobos
Real Estate Advisor
Public Notary
Florida Capital Realty
Cell. 786-285-5855

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