Hardest Hit Areas See Highest Gains

Dated: August 19 2016

Views: 458

Areas hit hard by downturn now see highest gains

MIAMI – Aug. 18, 2016 – The markets hardest hit by the real estate downturn have been registering the sharpest increases in home prices for more than a year.

A decade after becoming the epicenter of the crash, Miami's property market is seeing the highest price jumps since 2006 – the peak of its last housing boom.

Several critical factors are separating this property rise in South Florida from the last one, however. Condominium buyers are putting up bigger deposits, for example – generally 50 percent of the purchase price, compared to 10 percent to 20 percent deposits during the last buildup.

Banks are also beginning to fund more projects in South Florida, but they're asking developers for a larger financial stake, typically a substantial level of pre-construction sales.

"People are calling this another boom in Miami, but this is different," says Gil Dezer, president of Dezer Development, which is developing the Residences by Armani/Casa project in Miami's Sunny Isles Beach in partnership with Related Group. "Today's buyers have learned from the last boom – and so have developers."

It's not just Miami. The same higher-price trend can be seen in Las Vegas and in parts of Arizona and California. In Phoenix, one of the U.S. cities hit hardest by the real estate crash, home values have risen 29 percent from their previous low point.

Source: Washington Post (DC) (08/18/16) McMullen, Troy

© Copyright 2016 INFORMATION, INC. Bethesda, MD (301) 215-4688

Want to Advertise on this Site?

Latest Blog Posts

5 Criteria For Pricing A Home

 When you put your home up for sale, one of the best ways to determine the asking price is to look at comparable sales. There’s rarely a perfect apples-to-apples comparison, so a pricing

Read More

Real Estate Is Americans Preferred LongTerm Investment

Real Estate Is Americans’ Preferred Long-Term Investment From Florida Realtors When asked about the best investment for 10-plus years, 31% picked real estate

Read More

Text FIXERUPPERS To 760 712 4088 For A Complete List Of Fixer Uppers In Pinellas County

Looking for a good deal on a Pinellas Property? Use that text code above, for a complete current list of Fixers.;

Read More

NAR Existing Home Sales Surge

NAR: U.S. existing-home sales surge 11.8% in Feb.WASHINGTON – March 22, 2019 – Existing-home sales rebounded strongly in February, with the largest month-over-month gain since December 2015,

Read More