Home values in Coral Gables and Homestead, two ZIP codes in Miami, have experienced the highest increase compared to a year ago, according to data from Zillow.
The real estate market in Miami is experiencing a significant increase in home values, particularly in the ZIP codes of 33146 in Coral Gables and 33030 in Homestead. According to Zillow chief economist Skylar Olsen, the typical home values in these areas have seen a 14% increase since March 2023. In Coral Gables, the typical home value now stands at $1.76 million. This growth in home values is attributed to the limited supply of homes on the market, which has driven up prices despite decreasing affordability.
Despite the perception that only luxury properties are experiencing surging home values, three out of the top five ZIP codes with the highest appreciation rates in Miami have typical home values below $500,000.
Homestead, with a typical home value of $492,000, saw a significant increase in its property values. ZIP codes 33167 (Westview) and 33147 (West Little River) also experienced a 13% jump in values, with typical home values of $446,000 and $417,000, respectively. Redland (33031) had a typical home value of $875,000 and also saw a 13% increase in values.
This data suggests that the rising home values are not limited to the luxury market, but are also impacting more affordable housing options in Miami.
The housing market in Miami is currently experiencing a surge in activity, according to Gay Cororaton, chief economist for the Miami Association of Realtors. Cororaton attributes this growth to a combination of in-state migration, job growth, and a limited supply of available housing.
Cororaton explains that the demand for housing in Miami is not only coming from affluent buyers but also from those who can afford homes in the typical price range. This suggests that the strong housing market in Miami is not limited to a specific segment of buyers but is instead fueled by broad-based growth.
Overall, the housing market in Miami is thriving due to a variety of factors, making it an attractive destination for both high-end buyers and those looking for more affordable options.
According to a recent report by Cororaton, home prices in Miami-Dade County have been consistently rising every year since 2012. This trend is expected to continue due to the high demand for housing in the city. In the first quarter of this year, 93% of Miami-Dade’s submarkets saw an increase in the median sales price for single-family homes compared to the same period in 2023. This indicates a strong and sustained growth in the housing market. Cororaton emphasized the need for more construction to meet the growing demand for housing in the area.
In 1800, the median sales price in the county increased by 15% to reach $645,000. The city with the highest price gain was Florida City, which experienced a significant increase of 54%.
Interestingly, there were eight submarkets that were identified as being the most affordable, with a median price below $500,000. These submarkets include Opa-locka, West Little River, Brownsville, Leisure City, Miami Gardens, Homestead, Golden Glades, and Richmond Heights.
It’s important to note that the growth in housing prices can vary from one location to another due to factors such as job opportunities, development, and population trends. These factors directly impact the supply and demand dynamics of the housing market.