Miami Housing Market: A Shift Towards a Buyer's Market
The Miami, FL metro area housing market in November 2024 presents a complex landscape characterized by rising prices and declining sales activity. The Median Sales Price has increased to $569,900, reflecting a year-over-year (YoY) growth of 2.7%. Similarly, the Median List Price has risen to $619,000, marking a 3.2% increase YoY. This upward trend in pricing is further supported by the median Price Per Square Foot, which has climbed by 4.6% YoY to $384.62, and the Median List Price per square foot, which has surged by 5.9% YoY to $447.94.
Despite the increase in prices, the market is experiencing a notable decline in sales activity. The number of Homes Sold has decreased by 9.6% YoY, with a total of 1,658 Homes Sold in November 2024. Pending Sales have also dropped significantly by 12.4% YoY, totaling 1,848. This decline in sales is accompanied by a reduction in New Listings, which have decreased by 4.0% YoY to 3,211. However, the inventory has expanded considerably, with a 24.9% YoY increase, reaching 15,588 homes. This increase in inventory has resulted in a substantial rise in the Months of Supply, which now stands at 9.4 months, a dramatic 260.0% increase YoY.
The extended time homes are spending on the market is another indicator of the shifting dynamics. The Median Days on Market have increased by 23.0% YoY, reaching 77 days. This extended duration suggests a cooling market where buyers have more options and time to make decisions. The average sale to list ratio has slightly decreased by 1.0% YoY to 95.3%, indicating that homes are selling closer to their list prices but not exceeding them as frequently as before. The percentage of Homes Sold above list price has dropped by 7.1% YoY to 8.1%, further emphasizing the shift towards a buyer's market.
Price adjustments are becoming more common, with 17.9% of listings experiencing Price Drops, a slight increase of 0.5% YoY. Additionally, the percentage of homes going off the market within two weeks has decreased by 8.6% YoY to 14.6%, suggesting that homes are taking longer to sell.
Overall, the Miami housing market in November 2024 is characterized by rising prices amidst declining sales and increased inventory. This shift suggests a transition towards a buyer's market, where buyers have more leverage and options, while sellers may need to adjust their expectations and pricing strategies to attract potential buyers.
