“On the heels of a record-breaking 2021, the Miami housing market is off to another booming start. Throughout the first quarter of 2022, buyers continued to choose Miami for its lifestyle, sunny weather and favorable tax benefits. Condo closings in the Miami Beaches climbed 16% annually, the highest we’ve seen since 2013, while a lack of available inventory pushed the number of single family sales down annually.
Eager for their piece of the vibrant South Florida lifestyle, signs are point to buyers shifting toward the mainland, where trends are echoing what we’ve seen in Miami Beach. With condo/co-op sales spiking 33% year-over-year, demand in Miami’s Coastal Mainland are showing zero signs of slowing down, with pricing leaping to record highs amid eroding inventory and minimal negotiability. At this rate, 2022 will be another historic year for the Miami real estate market.”
– Pamela Liebman, President & CEO
Miami Beaches Highlights
The housing market in Miami Beach continues to be red hot during the first quarter of 2022.
- Even after a record 2021, buyers continue to choose South Florida for its live-work-play lifestyle, more space, low taxes, and desire for second homes.
- Looking at both the single-family and condo/co-op markets, prices increased, as days on market and discounts moderated versus a year ago.
- Condo closings were record-setting, but a lack of available homes pushed the number of single family sales down.
The Miami Beach condo/co-op market experienced robust demand in the first quarter of 2022 – while supply fell by half versus a year ago, sales rose 16% year-over-year to their highest level since 2013.
- Closed sales climbed 16% annually to nearly 1,700, the highest first quarter figure since 2013.
- Listed inventory dropped 50% to a new historic low of just over 2,400 units.
- Average price rose 4% year-over year to $1.2M, thanks largely to luxury waterfront sales.
- With fewer large units to choose from, median price fell 2% versus the 1Q 2021 record.
Miami Beach’s single-family home market continued to be influenced by a combination of historically high demand and chronically low supply.
- Amid low inventory, single-family closings fell 50% annually, but still reached their second-highest first quarter level since 2013 after 1Q 2021, when nearly 300 single-family homes sold.
- Average and median price rose by over 10% as a greater percentage of homes sold above $5M.
- Days on market fell versus both last quarter and last year to about four months, an all-time low.
Miami Coastal Mainland
In 1Q 2022, all signs pointed towards a stronger and more attractive Miami Coastal Mainland market, with most trends echoing those in the Miami Beaches.
- Market wide, demand showed no signs of slowing as sales soared and pricing leaped to record highs amid eroding inventory, faster marketing times and minimal negotiability.
The condo/co-op market in the Miami Coastal Mainland continues to witness high demand. In 1Q 2022, condos/co-ops absorbed faster than new inventory was able to come to market. As a result, pricing climbed to all-time highs, while listed inventory fell to an all-time low of about 2,000 units.
- Condo/co-op closings spiked 33% to just over 1,900, their highest first quarter level since 2016.
- Average price reached $749K, a record-high for Miami Coastal Mainland condos/co-ops.
- Median price also reached a record high of $535K, as a greater proportion of homes achieved over $1M.
- Negotiability was extremely limited, averaging -2.5% off last ask, 3% shallower than a year ago.
- Listed inventory fell a staggering 59% annually to about 2,000 units, a historic low
Like the Miami Beaches, single-family home sales also declined in the Miami Coastal Mainland market due to inventory constraints. In 1Q 2022, inventory was about half of what it was versus a year ago, totaling fewer than 200 homes. As a result, prices soared by more than 40% year-over-year and continued to reach levels never seen before.
- Closings fell 32% year-over-year to 225 sales, a drop largely driven by dwindling supply.
- Average and median price at $2.8M and $1.9M, respectively, reached all-time highs.
- Days on market dipped under three months and discounts were nearly non-existent at -1.5% off last ask.