By Gay Cororaton, MIAMI REALTORS Chief Economist
Southeast Florida’s single-family homes market remains competitive, with strong demand for homes across price points from wealthier buyers and those seeking more affordable properties.
Among 90 Southeast Florida market areas with at least five sales in January 2024, 69 markets (77%) had a higher median single-family sales price compared to one year ago and half of those areas remarkably experienced double-digit gains. The median sales prices rose at a higher pace than nationally (5%) in Miami-Dade County (15.6%), Broward County (6.5%), Palm Beach County (5.6%) and in St. Lucie County (5.9%), but slightly fell in Martin County (-0.7%).
Lower mortgage rates in November and December that climbed down to below 7% nudged buyers and sellers back into the market, reflecting in higher closings and firm prices in January 2024. Housing demand continues to be bolstered by the area’s strong job growth, with Miami-Dade as the 4th largest job creator among the 360 largest counties, while Broward (10th) and Palm Beach (19th) are in the top 20.[1] Sustained migration, including high net worth retirees, continues to bolster housing demand across the price spectrum, including luxury properties, that MIAMI now estimates to be at least $2.3 million for single-family homes and at least $1.6 million for condos/townhomes.[2]
Miami-Dade County: +15.6% price growth, 76% of markets had price gains.
In January, the median single-family sales price in Miami-Dade County rose at a searing rate of 15.6%, to $630,000, a 12-year run of year-over-year gains since December 2011 (when the median sales price was just $180,000!)
Among 38 municipalities with at least 5 single-family sales, 29 markets (76%) had price gains and 21 markets (55%) experienced double-digit price growth.
The highest price growths were in South Miami (68.0%) and Kendall (56.1%) where month’s supply was about 3 months and properties are typically on the market for less than 30 days. The median prices in these markets are over $1 million, indicating a strong demand among wealthy buyers for the properties in these areas.
The major markets logged in double-digit gains: Miami (22.1%), Hialeah (16.7%), Coral Gables (29.1%), and Miami Gardens (15.3%), where the median sales prices are above the county median.
Half of the markets with double-digit price gains were unincorporated areas, with median sales prices that are lower than the overall county median price.
The strong price growth across all price points indicates a broad-based demand for single-family properties across income groups.
Broward County: 6.5% price growth, 68% of markets had price gains.
In Broward County, the median single-family price rose 6.5%, to $575,000. Among 25 municipalities with at least 5 closed sales in January, 17 submarkets (68%) saw an increase in the median single-family sales price, and 12 markets (48%) had double-digit gains.
Several large markets saw double-digit gains like Hollywood (19.7%), Tamarac (12.5%), and Pembroke Pines (19.6%).
The largest increases in the median sales prices were in Lighthouse Point (81.6%), although that is a small market with many luxury homes. Except for Davie (25.7%), the markets with the highest price growth—Oakland Park (29.8%), Lauderhill (26.3%), and Lauderdale Lakes (25.0%)—were areas where the median sales price was below the Broward County average, indicating a demand for affordable homes.
However, even affluent markets like Davie (25.7%) and Weston (13.1%) had double-digit price gains, with lower than 3 months’ supply, an indication of the robust demand from high-income buyers.
Palm Beach County: 5.6% price growth, 82% of markets had price gains.
in Palm Beach County, the median single-family sales price rose 5.6% to $615,000. Among 17 markets, 14 markets (82%) had price gains, and nine (53%) had double-digit price gains, including major markets like Palm Beach Garden (31.4%), Boca Raton (10.1%) and Wellington (15.1%). However, the large coastal markets of West Palm Beach had modest price growth (3.8%).
The highest median sales price growths were in Tequesta (35%) and Palm Beach Gardens (31.4%) where the median sales price was over $1 million, with less than 6 months’ supply and homes selling within two months. This indicates a strong demand for wealthy buyers in these markets.
On the other hand, Lantana, a market where the median sales price is lower than the county median, also saw robust price growth (26.2%) with half of homes on contract in two weeks.
Martin County: 0.7% decline in the overall median sales price; all major markets had price gains.
In Martin County, all four markets that had at least 5 single-family sales in January saw price gains (100%). Salerno had the highest price growth (34.7%) , also the only market to see double digit price gains (25%). However, the median sales price (across all markets) dipped 0.7% slightly to $570,000.
St. Lucie County: 5.9% price growth, 83% of markets with 5+ sales had price gains.
In St. Lucie County, the median single-family sales price rose 5.9%, to $390,000. Five of the six markets with at least 5 single-family sales saw an increase in the median sales price (83%) and two had double-digit gains (33%). In Port St. Lucie, the largest market, the median sales price rose 8.9%. The double-digit price gains were in Hutchinson Island South (75.2%) and Indian River Estates (29.8%), although these are small markets with less than 10 sales so prices tend to be volatile.
What This Means for Buyers and Sellers:
The Southeast Florida single-family market remains competitive, and conditions could become even more competitive with mortgage rates likely to fall in 2024. A REALTOR® can help you navigate this challenging market.
[1] Miami-Dade is 4th largest job creator among 360 largest counties – MIAMI REALTORS®
[2] Single-Family Luxury Home Sales Price Rose to at Least $2.3M in 2023, According to MIAMI Luxury Report – MIAMI REALTORS®
