MIAMI — Broward County total $1 million-and-up home sales increased year-over-year, according to November 2023 statistics released by the MIAMI Association of Realtors (MIAMI) and the Multiple Listing Service (MLS) system.
Broward total $1 million-and-up home transactions increased 17% year-over-year to 168 sales in November 2023.
“Fort Lauderdale and Broward County luxury real estate sales continue to surge late in the year,” Broward-MIAMI President Alfredo Pujol said. “Nicknamed the Venice of America for its unique inland waterways, the greater Fort Lauderdale area remains in high demand. Inventory is coming off all-time lows, which is great news as we head into the spring homebuying season.”
Southeast Florida Home Sales Forecasted to Expand by 7% Year-over-Year by End of 2024
MIAMI REALTORS® Chief Economist Gay Cororaton forecasts mortgage rates to fall to 5.25% by the end of 2024 given the overall effect of the Fed’s planned cumulative rate cut of 0.75% and cooling inflation. Mortgage rates hit a 23-year high of 7.8% in October 2023, impacting November 2023 sales numbers across the nation.
“Southeast Florida’s home sales could expand by about 7% year-over-year by the end of 2024 while prices will continue to appreciate at a modest pace of 5%,” Cororaton said. “In the low to mid-price segment of the market, the lower mortgage rates will drive up demand from first-time buyers and renter households. In the high-price and luxury segment, the wealth effect from rising stock prices, a pickup in economic growth in 2024, and sustained migration of high-income households into Southeast Florida will push up demand.”
Total Broward sales decreased 4.7% in November 2023, from 1,920 to 1,830, due to elevated mortgage rates and low inventory in key price points. November home transactions came to terms in October, which saw rates peak at 7.8%. The statistics don’t include South Florida’s robust developer new construction market and volume.
Broward single-family home sales decreased 5.7% year-over-year, from 871 in November 2022 to 821 in November 2023. Broward single-family home sales still has a lack of inventory in key price points as elevated mortgage rates have impacted buyers looking to finance.
Broward existing condo sales decreased 3.8% year-over-year, from 1,049 in November 2022 to 1,009 in November 2023. The condo market has been more impacted by lack of inventory at key price points and elevated mortgage rates.
Total Broward County New Listings Increase
Broward new listings increased 14.91% year-over-year in November 2023, from 2,783 to 3,198. The Broward market remains in a seller’s market but the fresh supply of listings will give buyers more options.
Broward single-family homes new listings increased 10.85% while Broward condo new listings jumped 17.90% year-over-year.
Mortgage Rates at Near Lowest Levels Since May 2023
According to Freddie Mac, the 30-year fixed-rate mortgage averaged 6.95% as of December 14, falling below 7% for the first time since August 10. That’s down from 7.03% the previous week but up from 6.31% one year ago.
Another leading indicator for sales are showing appointments. South Florida showing appointments declined 1% year-over-year in November 2023 to 157,242 appointments. South Florida showing appointments increased five consecutive months year-over-year before October 2023.
Broward Inventory is Still Down 57.6% From Historical Average
Total inventory is down 57.6% from the historical average for Broward. The monthly historical average for Broward existing inventory is 15,411 and current inventory is at 9,779.
Total active listings at the end of November increased 23.2% year-over-year, from 7,935 to 9,779.
Inventory of single-family homes decreased 5.1% year-over-year in November 2023 from 3,822 active listings last year to 3,627 last month. Condominium inventory increased 49.6% year-over-year from 4,113 to 6,152 listings during the same period in 2022.
Months’ supply of inventory for single-family homes is 3.5 months, which indicates a seller’s market. Inventory for existing condominiums is 5.1 months, which also indicates a seller’s market. A balanced market between buyers and sellers offers between six- and nine-months supply.
Nationally, total housing inventory registered at the end of November was 1.13 million units, down 1.7% from October but up 0.9% from one year ago (1.12 million). Unsold inventory sits at a 3.5-month supply at the current sales pace, down from 3.6 months in October but up from 3.3 months in November 2022.
Broward Home Price Appreciation Continues Trending Up
Broward County single-family home median prices increased 11.1% year-over-year in November 2023, increasing from $540,000 to $600,000. Existing condo median prices increased 9.8% year-over-year from $255,000 to $280,000.
South Florida’s Incredible Wealth Migration
Local home prices have risen with South Florida’s wealth migration. In-migration boosted South Florida household income by $16 Billion in 2021, according to MIAMI REALTORS® analysis of the 2020-2021 migration data released by the Internal Revenue Service.
New households moving into Miami-Dade in 2021 had an average adjusted gross income of $229,300. New households moving into Broward County had an average adjusted gross income of $102,600. New households moving into Palm Beach County had an average adjusted gross income of $242,200.
Broward Real Estate Posts $223 Million Local Economic Impact in November 2023
Every time a home is sold it impacts the economy: income generated from real estate industries (commissions, fees and moving expenses), expenditures related to home purchase (furniture and remodeling expenses), multiplier of housing related expenditures (income earned as a result of a home sale is re-circulated into the economy) and new construction (additional home sales induce added home production).
The total economic impact of a typical Florida home sale is $122,000, according to NAR. Broward sold 1,830 homes in November 2023 for a local economic impact of $223 million.
Broward total dollar volume totaled $1 billion in November 2023. Single-family home dollar volume increased 7.43% year-over-year to $648 million. Condo dollar volume increased 10.5% year-over-year to $388 million.
Broward Distressed Sales Remain Low, Reflecting Healthy Market
Only 0.8% of all closed residential sales in Broward were distressed last month, including REO (bank-owned properties) and short sales, lower than 1.1% in November 2022.
Short sales and REOs accounted for 0.2% and 0.6% year-over-year, respectively, of total Miami sales in November 2023.
Broward’s percentage of distressed sales are lower than the national figure. Nationally, distressed sales represented 1% of sales in November 2023, virtually unchanged from last month and the prior year.
Broward Median Price Appreciation Outperforming Nation, State
In Florida, closed sales of single-family homes statewide totaled 17,722 in November 2023, up 4.2% year-over-year, while existing condo-townhouse sales totaled 7,108, up 0.3%. Closed sales may occur from 30- to 90-plus days after sales contracts are written.
Nationally, total existing-home sales transactions elevated 0.8% from October to a seasonally adjusted annual rate of 3.82 million in November. Year-over-year, sales fell 7.3% (down from 4.12 million in November 2022).
The statewide median sales price for single-family existing homes was $413,000, up 3.3% from the previous year, according to data from Florida Realtors Research Department in partnership with local Realtor boards/associations. Last month’s statewide median price for condo-townhouse units was $321,990, up 3.9% over the year-ago figure. The median is the midpoint; half the homes sold for more, half for less.
Nationally, the median existing-home price for all housing types in November was $387,600, an increase of 4.0% from November 2022 ($372,700). All four U.S. regions posted price increases.
Broward Real Estate Attracting Near List Price
The median percent of original list price received for single-family homes was 97.2% in November 2023. The median percent of original list price received for existing condominiums was 95.7%.
The median number of days between listing and contract dates for Broward single-family home sales was 23 days, down from 29 days last year. The median time to sale for single-family homes was 62 days, down from 68 days last year.
The median number of days between the listing date and contract date for condos was 31 days, up from 25 days. The median number of days to sale for condos was 70 days, up from 64 days.
Broward Cash Sales 54.4% More than National Figure
Cash sales represented 41.7% of Broward closed sales in November 2023, compared to 42.6% in November 2022. About 27% of U.S. home sales are made in cash, according to the latest NAR statistics.
Cash buyers are not deterred by rising rates. The high percentage of cash buyers reflects South Florida’s top position as the preeminent American real estate market for foreign buyers, who tend to purchase with all cash as well as some moving from more expensive U.S. markets who can buy more with their profits from real estate sales.
Cash sales accounted for 52.9% of all Broward existing condo sales and 28% of single-family transactions.
To access November 2023 Broward Statistical Reports, visit http://www.SFMarketIntel.com
Note: Statistics in this news release may vary depending on reporting dates. MIAMI reports exact statistics directly from its MLS system.
About the MIAMI Association of Realtors®
The MIAMI Association of Realtors (MIAMI) was chartered by the National Association of Realtors in 1920 and is celebrating 103 years of service to Realtors, the buying and selling public, and the communities in South Florida. Comprised of six organizations: MIAMI RESIDENTIAL, MIAMI COMMERCIAL; BROWARD-MIAMI, a division of MIAMI Realtors; JTHS-MIAMI, a division of MIAMI Realtors in the Jupiter-Tequesta-Hobe Sound area; MIAMI YPN, our Young Professionals Network Council; and the award-winning MIAMI Global Council. MIAMI REALTORS represents nearly 60,000 total real estate professionals in all aspects of real estate sales, marketing, and brokerage. It is the largest local Realtor association in the U.S. and has official partnerships with 260 international organizations worldwide. MIAMI’s official website is www.MiamiRealtors.com
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