Just when we think the real estate market might finally run out of surprises, we get a report like this one: Last month, home values increased, yet again, in Miami-Dade County. The median home price in May reached $620,000, up from $600,000 in April and up from $575,000 a year ago.
Prices have increased despite the Federal Reserve’s aggressive interest rate increases designed to curb inflation. Prices continue to climb amid soaring home insurance rates that have made buying property more expensive for many Florida residents.
With its rising prices, Miami-Dade’s housing market is an outlier nationally: Median nationwide prices have decreased over the past year. Miami-Dade is also an outlier in South Florida: Neighboring Broward County’s median home price dropped slightly in May (though its median still towers above the national median).
So, why have Miami-Dade’s prices continued to rise despite all the downward pressure on the housing market? In a word: Inventory. There aren’t enough homes on the market to keep up with demand. It turns out what we learned in Economics 101 is still true: When demand surpasses supply, prices tend to rise.
Why is there so much demand for housing now compared to other times? In South Florida, demand is fueled, in part, by newcomers — especially people moving in from other parts of the U.S. Florida was the nation’s fastest-growing state in 2022, according to the U.S. Census Bureau, and South Florida, specifically, is always a popular destination.
Since we’re South Florida residents ourselves, we can understand why: Our community is a fantastic place to live, work, and play. That’s one reason why, at Butler Title, we’re always glad to help property buyers navigate the closing process.
Whether our clients are first-time buyers from out of state or established real estate investors with deep roots in the community, we always provide the most client-friendly, cost-effective closing process in the industry.
If you’re buying or selling real estate anywhere in Florida, we invite you to experience the Butler Title difference for yourself.
Butler Title is a full-service, attorney owned and operated title insurance agency. We keep it simple and focus on what we do best: real estate closings. From first-time buyers to local moguls, BT provides an industry-leading fee structure and unparalleled experience.
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